Case Study On Completed And Unpaid Assets Audit Of C. Construction Enterprise

In recent years,with the increasing investment of government and enterprises in engineering projects,a large number of engineering projects have created a large number of jobs for the society,while these projects generally have the characteristics of longer cycle,higher investment amount,complex accounting and multiple departments involved,which provide the hotbed for the false reporting of financial statements and the collusion and fraud between construction enterprises and supervision enterprises.There are also special accounting standards for construction contract income both at home and abroad,which regulate the accounting of engineering projects.The completed and unsettled project payment is related to the construction income and receivables of the construction enterprise,Its determination involves major accounting estimation,has major uncertainty,high risk of misstatement,and high concealment of fraud or misstatement.More and more accounting firms pay attention to this major risk area in construction enterprises.In addition,the disclosure of key audit items is required in the new auditing standards formulated by Chinese Institute of Certified Public Accountants,and nearly 100 percent of the pilot construction enterprises have disclosed the construction contract income in it.Under the above background,this paper starts from the theory and current situation and takes a typical construction enterprise as an example to conduct a detailed study on the completed and unsettled audit process in the audit of financial statements.First,find the key points of completed and unpaid audit,that is,completed and unpaid accounts,schedule of completion,project construction income and accounts receivable,and then identify the main risk points in these key areas,such as project construction income occurrence,deadline and integrity identification,conduct risk assessment of identified risk points,and implement further audit procedures for identification of significant misstatement risks.Finally,we will learn the full use of analytical procedures,risk assessment,and information technology,during the audit process of the completed and unpaid assets of the case construction enterpriseof the accounting firm,and find the deficiencies in the confirmation of completion schedule,related transactions,budget,etc.What`s more,some suggestions are put forward,such as paying attention to project visit,implementing special audit procedures for related transactions,and paying attention to internal control related to budget.It is expected that through the study of this paper,on the one hand,the connotation,accounting method and importance of completed and unpaid assets can be sorted out theoretically,on the other hand,enhance the understanding of all sectors of society,especially auditors,on the audit of completed and unpaid assets.It is expected that the audit experience of auditors in the case company and the author's Suggestions for improvement can provide more detailed and improved audit countermeasures for other auditors to audit the completed and unpaid asset projects of construction enterprises.Finally,under the background of the implementation of new audit reporting standards,it provides inspiration for accounting firms to disclose the key audit items of construction enterprises.