Study On The Market Effect Of The Modified Audit Opinions From Listed Companies Of Shanghai Stock Exchange

What characteristic on earth does the market effect of audit opinions has? Until now there are no a unanimous conclusion on this question in either foreign or domestic documents.Since 2001,our country strengthened the supervision of the information disclosure of listed company.This may improve the credibility of the financial statement,and in 2006,New Audit Criterion was issued,the audit quality has been improved in a certain extent.This article attempts to select the data from 2005 to 2007 years of the listed companies in Shanghai Stock Exchange as samples,and then studies the characteristics of the market effect of audit opinions on the foundation of the analysis of relevant documents and of the theoretical analysis.So as to offer all parties relating to the security market references.Five parts in this dissertation are as follows:In the first part,introduction.In this section,we mainly introduced the background of this article and some relevant documents,both at home and abroad,through the analysis of some relevant documents,it could provide some ideas for the article.In this section,it also raised the idea of research papers and research methods,as well as the breakthrough point of this article,and arranged for the research framework of this article.In the second part,the analyzing theories of market effect of audit opinion.In this section,we mainly introduced the theory of market effect of audit opinion-the Signaling Model,and analyzed the response of certified public accountants, management,information users(investors) and shares on the audit opinion.In the third part,the analysis of the market effect of audit opinion.In this section, we mainly introduced the State Department issued a number of information disclosure policies and regulations of the brief,since 2001,particularly in 2006,publicating of auditing standards,and statistical analyzedthe changes of background of the system in the audit market.In the fourth part,empirical study design.On the basis of literature review and analysis,this study selected samples of companies of modified audit opinions in Shanghai Stock Exchange from 2005 to 2007 years and then established the model using abnormal return analysis and multielement regression analysis,and the following four variables of multiple regression were:the type of audit opinion,the value of corporate assets,the distribution of dividends and rate of return on common stock holders' equity.Through analysis we found that modified audit opinions have significant negative reaction.In the fifth part,results and suggestions.First of all,it was to sum up this article; and then from the securities market regulation and supervision of certified public accountants,it suggested a number of recommendations to help improve China's listed companies of disclosing the annual report of the information content and strengthening the market effect,finally it gave up the limitations of the article in order to improve the research.