Research On Auditing Of Implicit Associated Party Transactions

The market economy is developing rapidly,the phenomenon of mergers and acquisitions and backdoor listings has gradually increased,and related party transactions have been favored by enterprises because of their complexity,particularity and concealment.The capital market is developing rapidly,and the transactions between enterprises are complicated.The personal social network of enterprise managers is also wider,the related parties become more and more concealed,and the trend of recessiveness is gradually increasing.In addition to the controlling relationship,the related parties who are closely related to the company’s senior management are also very common in the company’s control behavior,and the hidden related parties have emerged.The implicit related party is the listed company’s use of legal and regulatory gaps,intentionally obscuring the relationship,by confusing the associated person,setting up a shell company,borrowing a third-party "bridge company" to dismantle the transaction,and evading inspections with future related parties or past related party transactions.The means will hide or hide the association with the listed company’s existing control,significant influence or other special relationship,and disconnect the surface relationship between the related transactions of the enterprise for implicit control.Implicit affiliates cannot be identified through financial statement disclosure,and routine audit procedures are difficult to identify.As an economic police,Certified Public Accountant needs to rationally design audit procedures and audit methods based on the principle of substance over form,apply the analysis procedures to the entire audit process,and deeply explore the hidden related parties associated with enterprises,maintain economic order,and maintain relevant The authority of economic regulations promotes the implementation of corporate rectification.In this context,this paper first defines the implicit related parties;analyzes the common manifestations of implicit related party transactions;analyzes the causes of implicit related party transactions according to the theory of fraud triangle,"GONE" theory and fraud risk factor theory Statistics from 2008 to 2018,the number of companies using hidden related party transactions in different industries and analysis of the causes,showing the current situation of listed companies using implicit related party transactions.Through the analysis of the causes of fraud,fraud and the reasons for the failure of Certified Public Accountant auditing,this paper proposes an optimization plan for identifying the audit procedures and methods of implicit related party transactions from the perspective of auditing,and proposes the auditing principles that Certified Public Accountant should follow when performing audits.It mainly includes: the principles of pertinence,objectivity,independence and substance over formality,helping Certified Public Accountant to reduce audit risk in the audit process,improve the audit quality of Certified Public Accountant,and avoid hidden and related parties and hiddenness.The audit caused by the related party transaction failed.Finally,from the perspective of auditing,the Certified Public Accountant individual and the accounting firm are proposed to make relevant policy recommendations,advocate joint auditing,facilitate the implementation of cross-border auditing business,and comprehensively collect audit evidence.This paper analyzes the data of hidden related party transactions in the past ten years,and classifies them according to the annual,industry and punishment methods,and explains the use of hidden related party transactions in listed companies from 2008 to 2018;according to the national standard industry classification statistics,analysis The type of industry with the most hidden related party transactions provides the focus of Certified Public Accountant auditing in practical work;through Yabaite’s use of implicit related party trading means,it proposes the optimization of audit procedures and methods for implicit related party transactions.It is envisaged to arouse the attention of Certified Public Accountant in the transaction of hidden related parties,reduce the risk of audit failure,and effectively suppress the trading behavior of hidden related parties,and identify the listed companies and protect the interests of small and medium shareholders.