Case Study Of Audit Risk Of Tangde Film And Television Company

In the context of the rapid development of the national economy,the film and television industry,as an important part of the national policy to support the cultural industry,is becoming more and more important.However,the film and television industry has the characteristics of large investment scale,strong speculation,high returns,high risks and high sensitivity to relevant national policies,laws and regulations.Today,with the modern risk-oriented audit,the audit risk of the film and television industry is paid more and more attention.In recent years,after the explosive growth of the film and television industry,the national policy is gradually tightened,the economic situation of the whole industry declines,film and television companies are generally hindered in operation,financial risks,legal risks,policy risks are increased,and auditors are also faced with high audit risks.In this case,certified public accountants need to pay more attention to the audit risk,identify the risk points,do the corresponding prevention and management,improve the audit efficiency and audit quality.In this paper,Tangde film and television company as study object,on the basis of consulting the relevant literature on audit risk and film and television company audit,according to the modern risk-oriented audit model,from the two aspects of material misstatement risk factors and detection risk factors,combined with the actual situation and the company faced in the process of the audit of certified public accountants audit risk,audit risk to company is analyzed,and according to the analysis put forward the corresponding preventive advice.There are six parts in this paper,except the introduction and the conclusion.The second part starts with the concept,characteristics and identification of audit risk,connects the influencing factors of audit risk of film and television companies,and combs and explains the relevant theories of audit risk by combining the risk management theory,strategic management theory and system theory.The third part introduces the audit risk case of Tangde film and television company.First,it introduces the basic information of the company,including the development,internal control and operation of the company.Then it gives a brief description of the auditing firms,including the scope of business,personnel,organizational setup,auditing process,etc.Followed by the certified public accountant in the audit process in the material misstatement risk and detection risk is expounded,the former including the management risk,short-term solvency risk,revenue recognition,accounts receivable and inventory project risk,the latter including audit program design risk,audit risk,audit quality control risk.The fourth part is on the basis of relevant theories,the use of logic analysis thinking,combined with the general situation of audit risk case of the company,in view of the risks in the audit process,specific analysis of the material misstatement risks that should be paid attention to in the audit and the reasons for the formation of the risks.In the aspect of material misstatement risk,it mainly refers to the changes in the regulatory environment of the industry,the fierce market competition,the poor operating status of the company,the weak construction of internal control,the excessive proportion of the controlling shareholder’s equity pledge,the complex revenue recognition,the difficulty in collecting accounts receivable and the difficulty in evaluating and managing inventory.In the aspect of detection risk,it is mainly due to the lack of knowledge of film and television industry,lack of auditing experience,improper selection and operation of auditing methods and procedures.The fifth part focuses on the analysis of the causes of audit risk,from the two aspects of heavy mistake reporting risk and detection risk,puts forward targeted suggestions to prevent the audit risk of the company,aiming at reducing the audit risk to an acceptable low level and improving the audit efficiency and quality.The main research methods used in this paper are literature research,theoretical analysis and case study.Under the support of the theories and literature related to audit risks,this paper mainly analyzes the material misstatement risks and inspection risks in the audit of Tangde film and television company and puts forward corresponding risk prevention suggestions based on the development history,internal structure,business process and income status of the company.After undertaking the audit business of film and television companies,actively guard against and manage the audit risk.On the one hand,we should strengthen the overall management of the audit process.Specifically,we should strengthen the in-depth and comprehensive understanding of the auditees and their environment,improve the long-term communication mechanism,make proper use of the opinions of professionals,focus on income,accounts receivable and inventory items in the audit,and design reasonable and effective audit procedures.On the other hand,it is necessary to strengthen the construction of auditors’ ethics and quality.Specifically,it is necessary to improve the independence of auditors,maintain the professional suspicion of auditors,improve the professional level of auditors,optimize the auditing technology,and improve the auditing quality review system.Based on the modern risk-oriented audit model,this paper makes an analysis of material misstatement risk and detection risk in the audit of film and television companies,and puts forward some pertinent preventive suggestions,it provides reference for auditors to identify and Prevent Audit Risks in the audit of film and Television Industry.However,in the process of writing,there is only a case study on the audit risk of Tangde film and television company,lack of empirical research,coupled with limited theoretical knowledge and practical experience,the film and television company audit risk mining and analysis may not be very in-depth.