The Research On Improving The Audit Quality Control System Of PY Accounting Firm’s Dalian Branch

The audit quality is a critical factor for the existence and development of accounting firms. Furthermore, it is an important safeguard for the healthy development of the capital market. However, the constantly emerging financial statement fraud requires the accounting firm to provide better audit quality. In recent years, PY Accounting Firm, Dalian branch have being developing continuously. It is facing more serious challenge on its audit quality and audit quality control system.Based on the PY Accounting Firm, Dalian branch, we take the methods of regulating research, documentary research and case study to do this paper. We firstly conclude the existing researches. Then, according to the comprehensive quality control system, we set a model to analyze the audit quality control of PY Accounting Firm, Dalian branch. And finally, we analyze its existing risk and problems, and propose measures to avoid or optimize them.The main conclusions are as follows:(1) The audit quality control system of PY Accounting Firm, Dalian branch can be divided into three levels to be analyzed:External governance environment, quality control of the accounting firm and quality control of business.(2) The risk of external governance environment is hard to be controlled. It should be avoided through proper measures. The main risks are the imperfection of law, business failure of the audit unit and the low-price competition in the audit industry. The measures to avoid these risks are mainly hiring the professional lawyers and external experts, setting up better acceptance approving system and focusing on the business with large listed companies and MNC.(3) The problems of the accounting firm are mainly the defects of control system, the re-check on the acceptance of client and business, the non-independence of human resource, the ignorance of accounting firm’s culture and unicity of salary system. The measures to optimize these problems are mainly enhancing the check of independence, enhancing the responsibility of senior managers on the acceptance of client and business, hiring local university students as interns, adding audit control training into culture construction, and adding audit control’s check into salary system.(4) The problems of business are mainly the fuzziness of responsibility allocation, the fixity of business allocation and simplicity of human resource examination. The measures to resolve these problems are mainly enhancing the responsibility of performer, increasing the transparency between the auditor and audit projects, adding senior auditors’opinions into lower auditors’performance evaluation.