Auditor's Legal Liability under CPA Audit

Author: Zhao Baoqing
Publisher:
Publish Date: 2006-05-01
Features: This book studies four aspects of the legal liability of certified public accountants. First, the formation of the legal liability of certified public accountants in auditing is examined. The relationship between the principal and the agent in economic responsibilities serves as the theoretical foundation for the formation of legal liability, while the "audit expectation gap" and its dynamic balance constitute the formation mechanism of legal liability for certified public accountants. Second, the forms of legal liability for certified public accountants in auditing include administrative liability, civil liability, and criminal liability. The specific form of legal liability to be pursued is determined based on the specific issues of certified public accountants' auditing activities. Third, the legal liability of certified public accountants in auditing must be based on theory and laws and regulations, adhere to specific principles, and regulate the dual factors of the certified public accountant's practice process and practice results. It is necessary to improve the legal and regulatory system for certified public accountant auditing to regulate and avoid the legal liability of certified public accountants. Additionally, certified public accountants themselves should take relevant measures to mitigate legal liabilities they should not bear.