Research On The Disclosure Of Key Audit Items Of GEM Companies Under The Registration System

In December 2016,China CPA Standards on Auditing No.1504 was officially issued,specifically proposing to add relevant contents of key audit matters in the audit report.In March 2020,the new "Securities Law" officially came into force,stipulating that the securities issuance system will be changed from the approval system to the registration system.Since then,the government regulatory authorities will no longer assume the role of "gatekeeper",but will transfer the audit power to the market more,which also makes the market put forward higher requirements for the quality of information disclosure.As an important part of information disclosure,research on key audit matters is of great significance to the improvement of information disclosure system under the reform of registration system in our country.This paper takes 358 companies listed on GEM from 2019 to 2021 as the sample.Firstly,the relevant policy background and relevant literature of key audit matters are sorted out,and the theoretical basis of this paper is briefly described.Secondly,a total of 358 prospectuses and IPO audit reports of the companies listed on the GEM were collected manually,and all the contents of the key audit matters in all the reports were sorted out.Starting from the disclosure quantity,disclosure quality and disclosure form of the key audit matters,the disclosure changes of the key audit matters of 358 companies listed on the GEM before and after the implementation of the registration system reform were discussed,and the following conclusions were drawn: the overall disclosure quantity increased,the disclosure quality was higher,and the disclosure form was clearer and clearer.Thirdly,in order to show the changes of key audit disclosures more clearly and stereoscopically,this paper looks for three groups of typical case companies to carry out specific analysis on the above changes.In the end,the paper summarizes the problems in the disclosure of key audit matters in the GEM market in view of the changes before and after the registration system reform,and puts forward corresponding suggestions from three aspects of optimizing the disclosure quantity,disclosure quality and disclosure form.To sum up,studying the changes in the disclosure of key audit matters after the registration system reform is the first step to test the effectiveness of the registration system reform.This paper not only aims to study the disclosure of 358 listed companies,but also hopes to provide practical reference for improving the quality of information disclosure on the GEM.