Research On Present, Problems And Solution Of Final Financial Account Audit Of Counties With Extended Powers

The16th National Party Congress put forward accelerating the development of the county economy as the country’s important strategic deployment. Many of the country’s provinces actively explore the financial system to the development of the county economy. The province-directly-governs-county financial system becomes an important reformation. Counties with extended powers are given more economic and administrative authorities. County economy quickly speed up, economic environment continually improve, economic power grow noticeably.In2007and2009, Sichuan Province has adopted experimental reform of giving counties extended powers in batches,59counties are included. Ever since2008, Sichuan Provincial Audit Office has gathered some experiences by auditing43counties with extended powers according to the province-directly-audit-county thoughts. As a new form of organization and mode of province-directly-governs-county financial system, province-directly-audit-county is the rebuilding of provincial auditing framework. Provincial audit office need to research constantly on how to conduct final financial account audit in counties with extended powers under new financial system, in order to solve the difficulties that we face at present, construct financial audit pattern and promote further development of financial audit.This paper start with the case of26final financial account audit in2012conducted by Sichuan Provincial Audit Office. Under the guide of public accountability theory and principal-agent theory, analyze the current situation of final financial account audit of counties with extended powers and the problems exist in audit objective, audit emphasis and audit methods. Explore how to improve final financial account audit of counties with extended powers in current management system from aspect of audit objective, audit emphasis, audit evaluation index system and audit risk.The main contribution of this paper is making suggestions to improve final financial account audit of counties with extended powers. Considering audit emphasis, audit evaluation index system and audit risk from nine aspects. Aim to achieve the goal that final financial account audit of counties with extended powers can put forward countermeasures to improve issues of fiscal system. Although some progress has been made in this research, simplification of theoretical analysis weakens the explanatory power of this paper. And the discussion of the case remains primary level, lack of enough persuasion.