Audit

Author: Chen Hanwen
Publisher:
Publish Date: 2004-02-01
Features: This textbook is compiled based on the current socio-economic development and the teaching requirements for accounting and finance majors in higher education institutions in the 21st century. The entire book is based on the new accounting system and revised standards, with the guiding philosophy of "audit as a systematic process." It integrates the concept of risk analysis throughout, combining the new theories and practices of audit. This textbook can serve as teaching material for accounting, auditing, and finance majors in higher education institutions, as well as training and self-study materials or reference books for certified public accountants and corporate finance personnel. The book introduces a systematic framework for audit risk analysis, integrating the interrelationships among risk analysis, audit evidence, and materiality, with the expectation that auditors can organically combine the analysis of audit risk, the application of professional judgment, and the examination of professional ethics throughout the entire audit process. After briefly explaining the concept of audit risk in each chapter, chapters 5 and 6 provide a detailed introduction to the audit risk model, while chapters 8 and 9 discuss the quantitative analysis of audit risk when using statistical sampling. Subsequently, chapters 10, 11, and 12 introduce how to design substantive audit programs using the results of risk analysis, with a special focus on the audit risks and early warning signals related to each transaction cycle. The book systematically introduces the basic theories and methods of independent audit, incorporating the new trends and research findings from U.S. audit standards, international audit standards, and China's independent audit standards.