外文翻译--有关会计师事务所审计风险和防范的探讨.doc

1、广东工业大学华立学院本科毕业设计（论文）外文参考文献译文及原文 系 部 会计学部 专 业 会计学 年 级 2008级 班级名称 08本会计学7班 学 号 学生姓名 指导教师 2012 年 4 月 20日I The discussion on audit risk and prevention of accounting firmA The goal and the significance of researching audit risk.8B The problems of accounting firms8C The analysis of reason rising audit ris

2、k.10D The strategy reducing audit risk of CPAs.11E Conclusion.14The discussion on audit risk and prevention of accounting firmThe goal and the significance of researching audit riskAudit risk not only affects CPAs vital interests，but also is direct proportion to the operating riskSo，it is important

3、to study the reasons of audit riskThe studying on audit risk is to improve the working quality of CPA to reduce the charged risk，to construct a reasonable auditing environment，and to inform and provide fair information to users to help them making-decisionsThe author thinks the audit risk rising due

4、 to poor quality of accounting firmsThe CPAs work for firms，and the firms should be responsible for CPAs activities，to decrease the CPAs risk and avoid the firms riskOnly those risk are considered，both the firms and the CPAs may improve each other to promote the development of CPA business.The probl

5、ems of accounting firmsLow-price competitionSocial existence of competition，the price is the most key eye-catching customersIf any firm uses better price，the business would increase，and give rise to more profit accordingly，and the firms own competitive advantage to ensure the future developmentThere

6、 is an audit fee standard in the firm，but also there is greater flexibility on specific operations（Industry standard for audit fees is shown in Table 1）Such as Sichuan XX accounting firm，total assets in the end of the year are ￥1，553，871，39618 in the audited unitIf in strict accordance with the stan

7、dards，the audit fees are ￥409，96785，but the actual audit fees are ￥1 80，00000 in the firm s invoiceThe more difference price is lower than the normal price level，which would apparently influence the audit quality and increase the audit riskThe imperfect system of quality controlAt present，most firms

8、 require the issued audit reports should base on threetier review systemsIn other words，after issuing the first draft of audit report，project manager must take it to departmental verify，then to manager in charge of department verify，to quality supervisors review lastlyOnly after all the three review

9、 staffs agree，the audit report may be issued formallyIn fact，the firms dont carry out the system conformity strictly because of many reasons，and reduce part of the proceduresFor example，during the annual auditing，some audit reports are issued by twotier review system conformity strictly because of m

10、ore businesses in Sichuan XX accounting firm So there are some problems in audit reportsWhen the firms sent the reports to the clients，the clients would find out and return the firms to modify，which lead to the negative impact for the CPAs and the firms，and increase the audit riskTable 1 The industr

11、y fee standard of audit feeThe total asset of audited company in year endFee standardsTotal feesLess than 500,000.00510,000.00 to 1,000,000.001,010,000.00 to 5,000,000.005,010,000.00 to 10,000,000.0010,010,000.00 to 50,000,000.0050,010,000.00 to 100,000,000.00More than 100,000,000.001,500.003,000.00

12、6,000.009,000.0012,000.0015,000.00 0.251,500.004,500.0010,500.0019,500.0031,500.0046,500.00The incomplete follow-up education of auditorsThe institute trains the CPAs annualThe train personnel include the CPAs and the audit assistants in the firmsBut due to the busy businesses and the pursuit of pro

13、fit maximization，the firms wouldnt spend more time in the follow-up education of CPAs and audit assistantsSo CPAs and audit assistants have less chance to renew the knowledgeFor example，in Sichuan，some firm s requested the CPAS to answer the questions on internet in the followup educationstaff recru

14、itment problemsWhen some firms recruit，there is no better eligibility review process，and the candidates usually come from the interpersonalSo the staffs professional knowledge levers are different，which lead to the potential audit riskDuring 2008 annual report of audit，a firm recruited a large numbe

15、r of staffsOnly there is 62 staff in audit departmentin which there are 20 new CPAs(3225 percent in tota1)And 1 6 new staffs(80 percent of new staffs) are graduatesMost of them havent come into contact with the audit The increased time pressure of CPAsBecause time is limitedthe CPAs had to finish th

16、e auditing within the required timeframeGenerally the CPAs spend 3 to 5 days in big corporation，and 1 to 2 days in small corporationDuring the annual report audit，the auditors in a firm in Sichuan didnt go to audit in accordance with the procedures of auditing standards，and took the substantive test

17、 for the audited unitThere is no enough time to assess interna1 control of corporation for the auditors，and to test the important level alsoBecause of time limitedafter the CPAs go into the audited company firstly，they would go to engage in another project without staying to finish the first project

18、，and other auditors(not CPA)are responsible for the present projectSo the CPAs issue the audit reports with blindness，and the audit risk are enlargedThe analysis of reason rising audit risk The enhanced complexity of objective economic activitiesWith the improvement of degree of social information，m

19、ore the accounting information of the audited are，in which there are some wrong and false information，more the possibility of oversight are increasedThe kind and the character of economic business are different and complex，so the accounting businesses have gone far beyond the traditional content of

20、financial accountingThe appearance of new businesses，such as taxation accounting，lease accounting，bankruptcy accounting，consolidated financial statements，is more challenging than the traditional financial accounting，more prone to controversy，and more difficult to auditThe content of modem audit incl

21、ude not only the financial activities and some feasibility studies for the investment programs in the audited companies，but also the evaluation of operating results，the content and the operation effect of internal control system，which would increase the difficult to draw the right conclusionMoreover

22、，Chinese economic system and the compatible systems are changing constantly，and the economic elements are more complex，and the quality of employees is differently in all kinds of economic elementsSometimes，the ability of employees lags behind the reform of financial systemsSome employees speculate i

23、n chaos，and almost pursuit self-interest，which happen usuallySome firms are not good to deal with countermeasures，so to increase audit riskThe more competition in firmsIn an increasingly competitive environment，the firms always reduce price in order to the business，which lead to serious unfair compe

24、tition in audit industryWith the increasing firms and the tender，low-cost competition becomes more intenseSome firms in Sichuan took part in lowcost competition to self-developmentThe audit fees influence directly inputs of resource in auditing procedure，especially the test procedure and the score，s

25、o to affect the quality and the social vale of independent auditIn case of low audit feesthe auditors will finish a lot of auditing in short time to reduce costs，which give the auditors more pressure or cant ensure the auditing qualityThe low quality of auditorsThe limited experience and the abiliti

26、es of the auditorsThe limited audit abilities lead to complete the audit businesses is even worse，or the audited content and request between the community and the audit occupation sector are disagreed，which put them involve in the responsibility of unpleasant litigationFor a long time，the audit occu

27、pation sectors have thought the implementation of auditing according to auditing standards is to fulfill their duties，and the accountability and the audit responsibilities may be distinguishedThe public not only desire the auditors issue the report for financial information，and require they can disc

28、over all the false and the wrong information in the audited departmentThe increased audit responsibilities are adapted to the demand for the public，but increase the audit riskSo，the audit abilities are relative to meet the demand for the public，and not absoluteThe audit abilities are always differen

29、t from the public demandThe poor of audit staff and professional responsibilityThe auditing is a kind of specialized technical service，so the auditors have the responsibility to plan their auditing to discover the false that maybe cause significant impact on financial statementsIn the same time，the

30、auditors ought to apply the personal technology and career concerns in the process of auditingThe responsibility and the career concern s of auditors are important to the auditing conclusionThe responsibility request the auditors to own high moral characters，integrity personality，and meticulous work

31、 spirit，with a solid accounting，auditing，legal knowledge and basic audit skills，keen analytical skills and the ability to determine accurateIn China，CPAs is less；both the age structure and knowledge structures of most CPAs are more unreasonableIn order to get more CPAs，the heads of firm s tried thei

32、r bestSo many CPAs are linked to the firms，such as in SichuanThe linked CPAs decreased their auditing independentFlawed method of modern auditModem audit methodology emphasis the balance between audit costs and audit risk，so admitting the existence of a little audit risk is the necessary premise in

33、audit procedures；audit sampling methods and methods of application of analytical review throughout the audit processAnd therefore the result of the review is bound to a certain degree of errorThe developing auditing is facing more competitions，and competitions result in margin profit reducedIn order

34、 to maintain margin profit，the auditing career must keep the balance between efficiency and effects，which is to strive for maximum audit efficiency in the time of maintaining the auditing effectsConsequently，the auditors put audit strength focused on all important projects，to give up some procedures

35、 that the auditors think unnecessaryThe auditors also are willing to bear certain risks taken based on reviewing the part of all operationsAlthough sampling theory has studied the deep，in specific application to the audit，the auditors did not quite grasp the sample can be taken by the representative

36、 of the overall，subjective conclusions can be drawn between objective fact and the deviation from the always existTime pressureUnder more competition in audit service market，the CPAs are facing the pressure from different sources，such as competition，the firms internal management，the clients，and the

37、thirdparty(egSFC)，and the pressure is increased by the request of reducing time to finish the auditingTime pressure is as an environmental factor influencing on the audit performance，which importance are increasing，and are paid attention toDue to customers own demand，they require firms finish the au

38、dit work within the period provided，time pressure are transacted to the CPAs，and the audit risk are increased accordingly The strategy reducing audit risk of CPAsRegulate the functions of law enforcement and government supervision departmentsIn reasonable regulation and control of“two hands”of both

39、the market and the government，many economic activities of accounting entity operate progressively with market-oriented；many non-standard economic activities are reduced；the disclosure of accounting information are becoming increasingly standardized；CPAs will not be difficult to make decisions by dil

40、emma faced；audit risk will be reduced naturallyWhen CPAs find in practice that policy is inconsistencies of the legislation，administrative law enforcement and regulation are weak，accounting activities of the entity are nonstandard，CPAs should communicate with the relevant functional departments time

41、ly，to enhance the normative and operational of policy-makingSuch CPA reduces the audit risks，and increases the efficiency of the auditAccounting firms should be improved Accounting firm to establish a sound internal operational mechanism，an d improve the quality of theinternal control system，and to

42、establish the risk of liability systemFrom the perspective of risk control，the firm should establish and improve the internal total qualitymanagement systems，in particular ensure to perfect the implementation processThe establishment and improvement of audit quality control system are the powerful m

43、easures to reduce the fraud and control audit riskQuality control is an important component of internal control of the system in the firms，and locates in the core position of the systemStrict assessment methods for audit quality，and reducing or eliminate staff errors，timely detecting and resulting p

44、roblems arising in the course of auditing，are to ensure audit quality and reduce audit riskEverything must be checked，operated，responded and accessed by some people；a problem can be reflected in a timely manner，and can clearly define the responsibilitiesAccounting firm should also establish mechanis

45、ms to transfer risk to circumvent their own risk in process of auditing Establishing and use the mechanisms of professional guidanceThe firm should establish the mechanisms of professional guidance to ensure CPAs in the situation beyond own knowledge to acquire advisory services timely and appropria

46、te operational guidanceFor example，the accounting firm will be able to employ legal，economic，technical expels；the auditors make judgments and decisions for the authority backed by professionals，so that it can enhance the findings of the audit risk respectabilityTo improve the overall quality of CPAs

47、It should be noted that accounting firms have to do a good job within the work of two aspects：one is in the recruitment of professionals，the strict quality，and not employ the candidates without the conditionsOn the other hand，attention should be paid to the existing CPAs continually followup educati

48、onFor extremely complex elements in the Chinese economy，the new requirements and the new policy are emergingObject and content of the audit are constantly changing，so there should be a system that each of CPAs has the opportunity to learn new knowledge and continuously improve their operational capacityAt the same time，we must also strengthen the rigid constraints of professional ethicsInstitute of Certified