Research On Applying The Modern Risk-Oriented Audit In JH Co.Ltd

Modern risk-oriented auditing is a "top-down" and "bottom-up" audit idea of combining the new audit method.It overcomes the drawback of traditional risk-oriented audit,based on the analysis of risk of material misstatement of the auditees when introducing the theory of strategic management.From a macro level analysis of the auditees industry competitive position and business risks,and then analyzes its may produce significant impact on financial statements,again through the implementation of audit procedures to find out the amount of material misstatement.This process allows the auditor more allocate audit resources reasonably,to better improve the efficiency of audit and audit quality.For modern risk-oriented audit,governments and the accounting professional bodies are mostly held positive views.International audit and verification standards board has set auditing standards,our country promulgated in 2006 certified public accountants in the code of practice for the first time the introduction of modern risk-oriented auditing concept and mode,in the hope of modern risk-oriented audit can be widely spread in the audit practice.In the aspect of theory of our predecessors have made a lot of modern risk-oriented audit,but less study on relevant in practice.This article is precisely as a starting point,on the basis of theoretical research,applying modern audit risk to specific case were discussed,combined with the case of the paper expounds the advantages of application of modern audit risk,because of certified public accountants competence as well as the high cost of modern risk-oriented shortcomings,this paper puts forward the improvement opinion.This article is divided into five chapters altogether,the theory of modern risk-oriented audit review and discusses the practical application.First is the writing background and significance are summarized;Secondly expounds the connotation of modern risk-oriented audit,the audit process and its characteristics,for the modern risk-oriented audit in case the application of JH company lay the foundation;Again under the support of theory,from the case background,the auditees situation,strategic analysis,operation risk analysis in detail,summarizes the major risks of the auditees,and understanding of the auditees internal control and testing,further implement substantive procedures;Again through the modern risk-oriented audit in JH company financial statements audit the application analysis of the advantages,disadvantages and countermeasures;The last is the conclusion and the insufficiency.