Research On The Application Of Modern Risk-oriented Auditing In Identifying Financial Fraud

Over the years the market changes,economic development requires the audit industry to keep pace,make changes.The traditional risk-oriented audit model is not enough to deal with the overall environment of complex and troubled.And financial fraud cases appear one after another,especially the management involved in the fraud,not only increased the difficulty of the audit business,but also to the traditional risk-oriented audit model of the drawbacks of the exposed.The large number of audit failure cases have shaken the status of the audit industry in the financial market,and the CPA's professional competence has experienced a crisis of trust.The application of modern risk-oriented audit model can better identify financial fraud,reduce audit risk,increase investor trust in audit report,and reinvent investor confidence in the audit industry.However,the modern risk-oriented audit model originated from abroad,and there are many problems in the application of our country.Therefore,this paper chooses the case of financial fraud,analyzes the factors that lead to the failure of the audit,and points out the shortcomings.In early December 2014,Senate source in the new three board listing.Senate source so known as "wild ginseng first shares." At the end of July 2015,the Senate listing was only seven months to be investigated by the SFC.In May 2016,that is,one year later,the SFC for its administrative penalties,the new three board so the first case of financial fraud.In particular,because of its agricultural enterprises,agricultural enterprises for the high incidence of financial fraud.The analysis of the case of financial fraud is a certain representative.This paper studies the current situation of modern risk-oriented audit,and explains the meaning of modern risk-oriented audit and financial fraud.According to the causes of financial fraud,it clarifies the role and importance of modern risk-oriented audit in identifying financial fraud,and provides the theoretical basis for the case analysis of the following.And then according to the beginning and end of the financial analysis of the company,the company in the management and accounting problems.It is envisaged that the audit procedure should be implemented in the modern risk-oriented audit mode to find out what problems exist in the audit process of Beijing Xinghua Certified Public Accountants.Comprehensive and specific analysis of Sinian source financial fraud case.According to the analysis results,this paper points out the application of modern risk-oriented audit in identifying financial fraud and puts forward the corresponding improvement measures.