Research On Audit Risk Of Pharmaceutical Circulation Enterprises Under The Background Of Two-Invoice System

With the steady growth of economic and the aging of population structure,people’s demand for high-quality and cost-effective medical care is increasing.In order to solve the problem of difficult and expensive medical treatment for the public,the country comprehensively deepened the reform of the medical industry and steadily promoted a series of medical reform measures.Under this background,the two-ticket policy gradually came onto the stage.Under the two-invoice system,drugs only circulate twice from production to use--once from the manufacturer to the distributor,and once from the distributor to the medical institution.It aims to solve the problem of multi-level circulation and multi-level increase of drugs,and to crack down on unfair competition and commercial bribery in the sales cycle and reduce the price of medical products through the forced flattening of sales channels.The implementation of two-invoice system has changed the distribution mode of drug circulation,compressed the overall profit of the drug circulation industry,intensified the reshuffle of the medical industry,and accelerated the reconstruction of the business logic and financial structure of drug circulation enterprises.Under the new situation,the financial,tax and compliance problems of pharmaceutical enterprises are gradually exposed,and the audit risks faced by external certified public accountants are also changing.At present,most of the researches focus on the overall financial fraud and audit risk of the pharmaceutical industry.There are few researches on the subdivision of pharmaceutical circulation industry,and the literature on the audit risk of pharmaceutical enterprises under the two-invoice system reform is very limited.As one of the key industries supervised by the state,the pharmaceutical industry is a typical policy-driven industry,and the development status and risk characteristics of pharmaceutical enterprises are deeply affected by national policies.Under the new situation,the reform of two-vote system will certainly inject new background characteristics into the risk characteristics of the pharmaceutical industry,and put forward new requirements for certified public accountants to identify and deal with audit risks.In this paper,the case study method was adopted and select Guoke Hengtai as the representative of pharmaceutical distribution enterprises,and the risk-oriented model was used to explore the audit risk characteristics of pharmaceutical distribution enterprises under the background of two-invoice system,as well as the identification and response methods of certified public accountants.This paper is divided into the following six parts: The first part,the two-invoice system,audit risk and pharmaceutical enterprise audit related literature review;The second part introduces the concept of two-invoice system,principal-agent theory,information asymmetry theory and other theoretical foundations.The third part,the statistics and collation of China’s pharmaceutical circulation industry and listed companies data,analysis of the implementation of the two-invoice system on China’s pharmaceutical circulation enterprises operation and audit changes and characteristics;The fourth part introduces the basic situation,business model and influence of the case company Guoke Hengtai;The fifth part uses the risk-oriented model to analyze the material misstatement risk of Guoke Hengtai;In the sixth part,on the basis of the foregoing,the countermeasures and prevention of audit risks of pharmaceutical circulation enterprises under the background of two-invoice system are put forward.The research conclusions of this paper are as follows :(1)the introduction of the two-invoice policy intensifies the policy risks,compliance issues and industry competition faced by pharmaceutical distribution enterprises,thus amplifying the risk of major misstatement.(2)The material misstatement risks of Guoke Hengtai are mainly reflected in the financial statement level risks related to policy risks,internal control risks and continuing operations risks,as well as the identification risks related to revenue and inventory.(3)Certified public accountants may have insufficient knowledge of professional knowledge and difficulty in obtaining audit evidence.(4)Certified public accountants can cope with it through the following measures:(1)Pay attention to industry policy changes;(2)Conduct a comprehensive assessment of internal control;(3)Pay attention to the financing needs and the ability to continue operations;(4)Strengthen the audit of dealers to prevent related transactions,implement audit procedures for upstream and downstream rebates,and strengthen substantive procedures related to income;(5)Make full use of upstream supplier information,strengthen inventory inventory to evaluate the impairment situation,and expand the scope of audit by analytical procedures or entrusted audit.