Audit Failure Of Huaiji Dengyun Auto Parts Co.,Ltd Case Analysis

With the continuous progress of socialist economy and the continuous development of economic globalization,China’s economy is showing a gradual and stable growth.In order to achieve the purpose of listing and reduce the pressure of competition,some enterprises “modify” the actual business situation and financial information of the enterprise.The perfect financial information statement will be presented to the public,Therefore,the accuracy and reference value of financial information will be greatly reduced,which seriously affects the long-term healthy development of China’s capital market,the use of information users,and even the judgment of investors.Therefore,a detailed analysis of audit failure cases is of great significance to improve the quality of audit information reports,enhance the professional ability and professional ethics of the CPA industry,and purify the audit market.Shine Wing certified public accountants Co.,Ltd.has maintained high-quality work results and convincing public praise since its employment.However,during the audit of Dengyun Auto Parts Co.,Ltd.in 2017,the firm failed to perform its duties diligently and issued a false audit report,so it was punished by the CSRC.This paper will combine the failure cases of Shine Wing Certified Public Accountants audit HUAIJI Dengyun Auto Parts Co.,Ltd.,explore the real causes of audit failure,analyze the future impact of audit failure on China’s socialist capital economic market and preventive measures.The first chapter introduces the research background and significance,research methods and content,literature review at home and abroad.The second chapter is the theoretical basis of this paper,mainly including the meaning of audit failure,the related concepts of audit risk,the impact of audit failure and the theoretical basis of audit.In the third chapter,the author introduces the related enterprises and reviews the case,the fourth chapter makes a detailed analysis of the audit failure cases in this paper,and then puts forward the preventive measures of audit failure in the fifth chapter,and finally summarizes the research conclusions of the audit failure cases.I hope that through the study of audit failure cases in this paper,from analyzing the causes to put forward the corresponding measures for improvement,we can optimize the threshold of enterprise listing,improve the audit quality,enhance the professional and technical ability and moral cultivation of auditors in the implementation of audit tasks,and make a small contribution to the development of audit industry in China.