The Empirical Study On The Determinants Of Audit Price

The effect of independent audit is becoming daily more and more severe in the capital market. Independent audit could help safegarding the function of resource allocation, keep the capital market stable and plays key role in keeping social economy stable. However, whether independent audit can play above-mentioned role depending on audit quality. During CPA's auditing, audit pricing is the most important link. Audit pricing has a close connection with audit behavior. It could influence audit quality directly.So, independent audit plays a very important role in the domain of auditing. The research of audit price has a long history in the west especially the empirical research. There are many theoretical achievement. Audit pricing have already become the focus of the theory and practice circle. Many accounting offices has been drived by profit. In order to occupying the auditing market, They lower prices even selling auditing opinions disregard of professional ethics. They has severely damage the auditing market and audit quality, decreas audit trade social prestige. Although the research of west have gain a lot of achievement. But these achievement obviously are incapable of our country newly-emerging, having different economic situation audit market. According to this situation, my dissertation study on empirical research on the determinants of audit price. On the basis of former research achievement, I collect 640 listed companies at Shanghai and Shenzhen A stock market, which disclosed audit fees in 2006. This dissertation study on the impact factors of audit price on multivariate linear regression. Main results:customer asset gross, consolidate statement subsidiary company numbers, proportion inventories to assets, return rate, non standard without reserved report have significant influence on audit price. But wether lose recen three Years, financial adaptability and iquidity have no significant influence on audit price. Advancing analyses the situation of change audit office influence audit price and effect degree. The results show that our audit market now have "low-balling" competition behavior. So going with development of china capital market, more and more problems will appear and we must pay more attention on this situation. So it is very important and valuable to make research in this field. Main results:customer asset gross,consolidate statement subsidiary company numbers.