Author(s)

Xinrong Liu, Lu Wang and Huayu Li

Corresponding Author

Xinrong Liu

ABSTRACT

In modern economic activities, the role of auditing has become increasingly prominent. Under the financial crisis environment, the market fluctuates violently, which is impacting various economic entities, and the economic environment is more complicated. Whether the audit risk is potential or obvious, its level is rising. The uncertain factors in the audit work become more, which increase the audit risk. This paper analyzes the auditing circumstances and the audit risk factors in the financial crisis environment. For the internal and external accounting firms, this paper proposes targeted countermeasures for controlling and preventing the audit risk, such as promoting and improving the relevant norms and policies, purchasing audit liability insurance, improving the public credibility of the accounting firms.

KEYWORDS

Financial crisis, Audit risk, Risk control, Public credibility