Probeinto The Auditing Failure Of The Cpa

Since the last century,China's CPA industryscale and business scope is constantly expanding,especially with the development of China's economy also provides a broad space for the CPA industry grows,also let the folk audit and supervision are constantly active in the view of the majority of investors.Certified Public Accountants as the majority of small and medium-sized investors has been widely concerned by the community.The fairness,rigor,practice procedures,quality management and so on of the CPA seriously affect the quality of the audit.The audit process runs through the entire audit process the CPA should strictly implement in the audit process.However,with the continuous growth of the enterprise,the implementation of the audit process of the economic business becomes more and more complicated,and the audit procedure is not in place The phenomenon is also more and more.Some auditors in the audit process often in accordance with the audit practice or the previously work methods to carry out new audit work,which led to the implementation of audit procedures are not in place,but also lead to serious deterioration of the audit quality and even lead to audit failure.In recent years,the audit failed,the audit of the voice of fraud.Such as the impact of large-scale South China's audit cases in recent years,Galaxy science and technology audit cases not only the implementation of the audit of the impact of the reputation of the firm,but also a serious impact on the majority of investors.Although the recent study of the failure of the audit a lot of many scholars have put forward a lot of effective advice,but with the continuous development of the economy,the growing business,new things continue to appear,and with the continuous development of the global financial industry and The new audit quality control method is particularly important,so the audit failure is a cliché problem,but in the new audit environment,the new audit quality control method is very important.The economic environment to re-examine the audit failure is still of great significance.July 2,2014,lasted a year of Hainan Kang Chi pharmaceutical financial fraud incident finally has the findings and punishment decision.The book shows that there are2 illegal facts: first,the early recognition of income;the second is no mention period expense,In this regard,the Commission decided to give warning to the pharmaceutical industry,and fined 350 thousand yuan.The chairman shall be given a warning and a fine of 100 thousand yuan Impose a fine of 50 thousand and 30 thousand on the other persons liable and give warning.Although the health care industry by the Commission'spunishment,but 350 thousand of the fines and fraud is still difficult to quell the dissatisfaction of the majority of investors,compared to 5 million.based on the audit of Hainan Kangzhi Pharmaceutical Company,this paper analyzes the reasons for the failure of auditing the Asia-Pacific Certified Public Accountants on the basis of understanding the relevant theoretical knowledge,and from the perspective of the whole industry Based on the basis of the firm itself and the social environment put forward the implementation of the industry mutual investigation mechanism,Must be independent does not exist competing interests or cooperative relationship between the competing mechanism hypothesis on the market firm,then these individuals have a competitive relationship between mutual check to some extent can play the role of mutual supervision,to reduce business as between civil supervision institution and the audited entity collusion.and learn from the manufacturing industry's overall quality management system put forward the firm with reference to the specific practices of the system,In order to further improve the audit quality of the firm.