The Research Of Internal And External Audit To Restrain The Goodwill Bubble Of M&A

The frequent occurrence of high premium mergers and acquisitions makes the total goodwill of M&A of listed companies in China continue to rise,which causes the attention of the M&A goodwill bubble in the capital market.There is a huge book goodwill of listed companies in China.If the potential impairment risk breaks out,it may not only lead to the"big change" of the performance of listed companies,but also harm the normal market order.At the same time,the company is constantly improving the governance level to curb the acquisition of goodwill bubble,and improve the governance level,the company can strengthen the internal and external audit force.Based on this,this paper will conduct an integrated study on the relationship between internal and external audit synergy,corporate governance level and m&a goodwill bubble,aiming to manage the goodwill bubble of m&a to improve the usefulness of m&a goodwill information quality.This thesis selects 5,307 samples of Chinese A-share listed companies as the research objects,Using the literature research method,induction method,deduction method,archives research method,Based on the theory of collaborative governance,principal-agent theory and signal transmission theory,First,the joint relationship between internal audit and external audit of listed companies is studied;Then it explores the inhibitory effect of internal and external audit force on the goodwill bubble of listed companies;Then,using the level of corporate governance as the mediation variable,To study the influence mechanism of internal and external audit force on the acquisition goodwill bubble,Finally,the heterogeneity of internal and external audit efforts to suppress the merger goodwill bubble under the financial characteristics of different companies is investigated,On this basis,we should put forward the counterm easures.The research results show that:(1)the higher the internal audit quality of the acquired goodwill company,The lower the external audit fee is,There is an internal and external audit joint force effect;(2)The greater the internal and external audit joint force,The more significant the inhibitory effect on the merger and acquisition goodwill bubble is;(3)The level of corporate governance plays an intermediary role between the internal and external audit force and the acquisition goodwill bubble;(4)There are differences in the intermediary role of internal and external audit efforts to restrain the merger goodwill bubble and corporate governance level under different financial characteristics,Specifically,for companies with high profitability,high growth level and low financial leverage,their internal and external audit efforts have a more significant inhibitory effect on the merger and acquisition goodwill bubble,The intermediary role of corporate governance level is more significant among companies with high profitability,high growth and low financial leverage.On this basis,the following countermeasures are put forward:(1)strengthen internal and external audit force to curb merger and acquisition goodwill bubble;(2)use internal and external audit force to enhance incentives,regulatory coordination and scientific decisions to improve corporate governance and curb the merger goodwill bubble,focusing on strengthening internal and external audit force in companies with high profitability,high growth and low financial leverage.