Research On Audit Quality Control Of China’s Accounting Firms In The Context Of Information Technology

The exposure of a series of financial fraud cases,such as ST Guoyao,Huazhe Cobalt Nickel,and Jiadian shares,has led to many accounting firms being punished accordingly,which has not only affected the quality of audits,but also weakened investors’ trust in regulators and the capital market,while audit risks have risen sharply,seriously hindering the sustainable development of China’s audit industry.In order to prevent audit risks and improve audit quality,the Ministry of Finance promulgated Audit Quality Control Standard No.5101 in 2006,and revised it twice more in 2010 and 2019,reducing the 7 elements of audit quality control to 6 elements,the most significant change of which is the merging of operational working papers and operational execution.In addition,the General Office of the State Council issued the Opinions on Further Regulating the Order of Financial Auditing and Promoting the Healthy Development of the CPA Profession in August 2021,which requires strengthening the information technology of accounting firms with the main goal of improving audit quality.However,at present,except for the top-ranked large accounting firms that can apply information technology to the audit business,most firms do not fully integrate their own reality,and the construction and application of information technology is only formal.Therefore,it is necessary to propose an optimization plan for audit quality control of accounting firms in China from the perspective of information technology.Firstly,This paper takes the regulations related to accounting firm informatization as the basis and divides the development of China’s accounting firm informatization into four stages with the help of Nolan model,namely,initial promotion stage,control stage,integration stage and maturity stage;secondly,it analyzes the development status of China’s accounting firms in recent years and finds that China’s accounting firms show fluctuations in revenue,while the frequency of punishment increases and the strength of punishment However,there are still various problems with the audit quality of accounting firms,such as auditors failing to follow the code of professional ethics,rough business execution,and formal business quality review.Again,introducing Dahua CPA firm as a specific case,the analysis finds that at present,Dahua CPA firm has relatively good information development and is in the integration stage,but the announcements of Dahua firm that have been dealt with and punished in recent years are collated and summarized,and it is found that there are various problems in audit quality of Dahua firm,and the degree of influence is ranked by the number of times the same element appears,in order: professional ethics,business working papers,the Client relationship and acceptance and maintenance of specific business,business execution and monitoring,these issues seriously affect the audit quality of Dahua.Finally,in order to improve the audit quality of accounting firms,this paper proposes an optimization plan for audit quality control of accounting firms based on PDCA cycle theory by using information technology as a means,combined with the problems related to audit quality of Dahua Accounting Firm,including information technology to realize the templating of audit drafts,information technology to improve the standardization of correspondence procedures,information technology to enhance the accuracy of risk assessment,information technology to promote The six aspects of information technology,including information technology to realize the templating of the audit brief,information technology to improve the standardization of the correspondence procedure,information technology to enhance the accuracy of the risk assessment,information technology to promote the refinement of the three-level review,and information technology to improve the timeliness of the audit process supervision,can provide reference for the audit quality control of other accounting firms of the same scale.To ensure the smooth implementation of the optimization program,safeguards are proposed from three aspects: system,personnel and capital,in the hope of providing a new idea for Chinese accounting firms to further improve audit quality.