Research On The Related Problems Of Audit Bidding

Twenty-first Century is in an era of economic globalization, the formation of globaliza tion more to promote the economic development of all countries, China many enterprises a lso thrive in this background in order to increase the strength of enterprises listed, while nat ional investment supervision department is corresponding to meet more challenges. The CP A is independent from the client and the audited enterprise the individual, not by the constr aints, can be from a neutral perspective through the audit of enterprise financial statements give a fair external report, to prove the audited enterprise’s financial situation is true lawful and effective, and has found that financial loopholes exist in the function etc.. With the rec ent economic situation continues to expand, more and more enterprises need to audit and a udit, this form is also more regulators use, for fair consideration and staffing problems, the vast majority of enterprises and supervision part of the choice of accounting firms to undert ake this task, since the choice of the accounting firm, then its fairness must be the primary consideration, through analysis of domestic and foreign practical experience, audit tenderin g system was officially introduced in 2005 China, provides a fair platform for the audit of t he business solicitation. China promulgated the CICPA issued "accounting affairs so tender to undertake the audit business guidance in 2003(Draft)", "after two years of accountant af fairs so tender guidance to undertake the audit of the business(Draft)" the second draft also emerge as the times require, and in order to make bidding more explicit specification of au dit the financial sector in China, in 2006 promulgated the "commissioned by the accountin g firm audit tendering regulations", to audit the bidding behavior execution issued a unified criterion, these norms without doubt in some aspects of protection of each audit tendering party and accounting firm rights without restrictions, the standard audit Tendering Market i n certain extent. In this paper, from the establishment of the domestic and foreign audit bid ding system, application and implementation of the encounter difficulties, on the principlesof economics explains the audit bidding system for positive and negative affect audit mark et, combining with the experience of time at home and abroad, summed up the audit for vot ing system superiority, it can show the game through the market make full use of the comp etitive bidding system to eliminate the monopoly industry, for more open and transparent a udit business contracts, for small and medium-sized accounting firm to undertake more bus iness opportunity; At the same time this paper also points out that due to audit the bidding i n an asymmetric information market, it may produce microeconomic theory of "adverse sel ection" and "moral hazard", popular, the problem can be characterized by: first, the audit bi dding relevant laws and regulations is not sound is not meticulous, make no punishment; S econd, the establishment of the bid evaluation committee and form defects, may be subject to the management of the auditees, and so cannot be fair to determine the winning firm; Th ird, the audit cost is hard to predict, certified public accountants can only be determined by experience forecast its costs and charges, to later for cost reduction audit procedures which affect audit quality left a space; Fourth, the lack of advance, the supervision of the matter, a fterwards, make some accounting firm, despise audit quality cannot be completely in accor dance with the provisions of the contract to fulfill obligations; Fifth, pay attention to achiev ements rather than performance, local protectionism is serious, foreign accounting firms in the bidding to set up many "threshold"; Sixth, endanger the audit professional ethics, affect the reputation of the auditing profession in the public mind; Seventh, stimulate the price w ar, "bad money after bad money" phenomenon, makes the low quality of certified public ac countants with industry, and good quality of the firm cannot undertake to business, vicious competition; The deficiency in the eighth, the bid assessment standards, the various indexe s cannot very good quantitative. This paper puts forward some perfecting Suggestions, suc h as perfecting the relevant laws and regulations; Set up a professional audit tendering agen cy, reduce the management for the control of the bid assessment committee; Strengthen the industry regulation and self-discipline, to set up a good image; To establish a unified datab ase, making the evaluation standard of quality control index of the accounting firm can be a good quantitative; Set the control price, to avoid price war; Detailed evaluation standard,make the users of the journal entrust certified public accountants audit the tender specificat ion more clarity to the relevant laws and regulations, make audit the bidding can better serv e the Chinese audit market.