| Along with Chinese economy development,people’s demand for spirit has gradually increased,and the film and television industry has gradually developed.However,due to the characteristics of listed companies in film and television industry such as high risk and high return,their trading methods are complex and diverse,the accounting methods are also more complicated,and there are many risks of material misstatement in the financial statements,which puts forward problems for the audit work of Certified Public Accountants.Therefore,combined with actual cases,this paper analyzes how certified public accountants should identify and assess the material misstatement risks of listed companies in the film and television industry and implement the corresponding audit procedures,which provides certain reference value for certified public accountants to audit listed companies in this industry in the future.On the basis of sorting out the relevant literature at home and abroad,this paper defines the concept of listed companies in film and television industry and risk of material misstatement,combined with the characteristics of these companies,points out that these companies are prone to risks such as uncertain returns and capital chain breakage.According analyzing the audit risk of material misstatement of listed companies in film and television industry,the risk at the financial statement level is mainly related to factors such as depressed industry environment,increasingly strict film and television regulatory policies,uncertain continuing business ability,and great pressure on financial performance,while the risk of material misstatement at the recognition level is mainly concentrated in revenue,goodwill,inventory and other aspects.Then,some suggestions are put forward on what audit procedures should be adopted to deal with the above material misstatement risks.This paper tests the foregoing argument by combining the case of Beijing Jingxi Culture and Tourism Co.,Ltd.’s2018 annual audit by ZHONGXI CPAS.Analysis in ZHONGXI CPAS did not identify and assess the industry environment changes,the financial statements of the internal control is weak in levels of material misstatement risk and income,the cognizance of goodwill,fraud related level of material misstatement risk,and then to solve these problems to ZHONGXI CPAS and certified public accountants corresponding Suggestions are put forward,such as appointing film and television industry experts,maintaining professional skepticism,not the designed audit procedures become a mere formality and so on. |
