An Analysis Of The Failure Of Certified Public Accountant In Audit And The Preventive Measures

In the economic high-speed,steady growth today,the certified public accountants issued by the audit report on the investors and other reporting users reference value and reference value is significant,because many stakeholders such as creditors need to report the information to see if the debt can be credited,Investors in accordance with the information provided by the decision-making arrangements,and government departments can also be based on the report information to understand the tax status of enterprises,so the public audit of the quality of CPA placed a high expectations.However,from the well-known "Zheng Baiwen","Guangxia" case,and then in recent years,the green earth,lotus monosodium glutamate,Po Shuo shares,Sinovel,Wanfu Health Branch,Jin Li science and technology audit failure,Audit failure cases and corporate financial fraud scandal makes the public confidence in the accountant greatly reduced,for a series of audit failure and the improvement of the reasons worthy of our in-depth study.This paper is divided into six parts:The first part of the domestic and foreign scholars on the audit failure and related issues of the most cutting-edge point of view.The second part puts forward the definition of audit failure and the related theory,introduces the theory of principal-agent and the theory of rational economic man.The third part explores and summarizes the reasons leading to the failure of CPA audit from the perspectives of independence,professional competence,professional ethics and the lack of necessary auditing procedures for certified public accountants.The fourth part gives the improvement measures of the audit failure problem according to the reasons of the audit failure.The fifth part introduces the case of Bao Shuo shares audit failure,and analyzes the problems existing in the audit process of Hua An Certified Public Accountants.The sixth part gives the conclusion of the study and the limitations of the article.Through the study,it is of practical significance to reduce the loss of auditing failure by reducing the loss of financial performance and improving the efficiency of economic operation to maintain market fairness and create a higher quality audit environment.