Research On The Transition Of Chinese National Audit Standards

After 30 years of exploration and development, the audit system with Chinese socialism characteristics has been gradually set up. In recent years, with the increasing influence of the national audit, the improving ability and level of audit institutions'administration, the national auditing standards, as a norm of audit institutions and auditors conducts, are playing an important role in national audit services in national governance system and governance ability modernization. Researches on the transition of Chinese national auditing standards enrich the national auditing standards theory, explore the state auditing standards changes, broaden the theoretical foundation of the national auditing standards, and help to promote the development of the audit work by using the national auditing standards. This dissertation found that audit institutions play a leading role in the path dependence of national audit standards transition. The process of transition is to improve the evaluation ability to accountability. It reflects the pursuit of performance and accountability continuously improving, adapting to the changes in national governance requirements.This dissertation uses the methods of theory normative research and comparative study, establishing the research framework of Chinese national audit standards changes. Using literature research, comparative study, qualitative and quantitative analysis and other research methods, reviewing the domestic and foreign literature of national auditing standards position and role, development and changes, practical application and so on, this dissertation found that there were no systematic combing of the process of national auditing standards changes, economics were used for the research foundation, research methods were relatively limited, focuses were mainly on one particular aspect, etc. For the need of further research, this dissertation defines the concepts of the national audit standards' connotation and function, institutional changes' contents and form, combs the main points of institutional evolution theory and national governance theory, and introduces the two theories application and development of the national audit theory.In the process of setting up national audit standards evolution framework, this dissertation has carried on the theoretical analysis of national audit standards changes from the perspectives of supply, demand and balance. On the supply side, the supply costs and supply benefits are analyzed; on the demand side, audit risk avoidance, the economic and social development needs, security rights needs were discussed. The national audit standards are a state of unusual accident, and imbalance is the norm. From the time point, in the process of analyzing the changes, the change process is divided into infancy stage, exploration stage, developing stage and perfecting stage. It conducts a descriptive analysis of the standards progress for each stage, and summarizes the standards characteristics respectively. From the contents point, it mainly includes six aspects:the general guidelines, audit evidence, audit professional ethics, audit plan, audit quality control and audit reports. On the basis of introduction and analysis of the status and main contents of each parts of the standards system, it compares the changes in the various stages, and sums up the characteristics respectively. By applying system and system evolution theories, this dissertation found that the audit institutions, as the main body of changes, have the characteristics of cost-saving system changes, timely satisfy the need economic and social development for auditing standards, and reflect the interests of related stakeholders. China's national auditing standards have the characteristics of giving priority to mandatory institutional changes, institutional change being complementary, adopting the method of progressive change, having strong path dependence, being in line with international standards and convergence. In international comparison, selecting INTOSAI (International Organization of Supreme Audit Institutions) and the United States, on the basis of introduction and analysis of basic framework, the main contents, evolution process and reasons, change characteristics of their auditing standards, this dissertation found that the audit independence has always been the stress in the national auditing standards, and the compatibility with public audit and internal audit. On the choice of setting direction on the pros and cons, they can be used as reference to Chinese national auditing standards'changes.From the reasons of the change of national audit standards, the factors influencing standards change can be divided into internal motivation and external motivation. In terms of internal motivation, the change entities play a subjective initiative role, embodied in the understanding of the national audit and standards improving, applying the academic attention as an alternative variable, this dissertation found that academic attention is closely related to national auditing standards change process. The evolution of audit goals determines the directions of national auditing standards change, in all levels of the national audit targets. The practical goals are different in different stages of economic development, and the evolution process of practical goals reflects in the changes of national auditing standards. In terms of external motivation, the auditing practice in the process of auditing standards change for various stages played a direct role in promoting the standards change. The progress of technology and methodology, auditing standards make timely adjustments to deal with the challenges of information technology at different stages, to provide an institutional guarantee for development of practice. In the interactive development of fiscal system reform and the national audit, national auditing standards played the bridge and link role at different stages. The national auditing standards absorbed the beneficial experience and practice at different stages the accounting principles and auditing standards concerning national audit.In the test of change effects, this dissertation uses the audit quality and audit results as reference indexes. In the analysis of impacts of audit project quality,1996-2013 CNAO (China National Audit Office) audit projects quality inspection is used as samples. Through the statistical analysis of 43 inspection reports, comparing with various stages of standards change, this dissertation found that national auditing standards change significantly affect the quality of the projects. In the analysis of the influence of the audit results' statistics from 1993 to 2013, this dissertation found that the standards changes have a significant influence on the audit results application, the implementation of the audit results, the audit authority transferring handling matters, and the units number of audit or audit survey.China's current national audit standards need to adapt to environmental change, to promote the development of audit work. In terms of highlighting the audit based on laws and standards, guaranteeing the audit independence, it forms its unique characteristics. In the process of serving national governance, the new standards have a unique path of setting up norms system, promoting establishing responsible government and strengthening the realization of the power supervision and so on. But there are some shortcomings in structural design and practical operation. Along with the development of the situation, such as the adjustment of the audit target, audit practice exploration development, the requirements to establish a modern financial system, and the new development of computer technology, etc., the national auditing standards need timely following up. For the future development of the national auditing standards, it not only requires highlighting China's national audit characteristics, but also draws lessons from advanced experience. And it is advised to explore and establish of national auditing standards operation tracking evaluation mechanism, to master the applicable degree of national auditing standards, and to select the appropriate changes path.