How to set up the whole process of audit bidding for accounting firms?

1. An accounting firm that accepts business entrustment shall prudently decide whether to accept or maintain customer relationship and specific audit business in accordance with the provisions of the professional standards. Before accepting the entrustment, a certified public accountant should have a preliminary understanding of the audit business environment, including the business agreement, the characteristics of the audited object, the use standard, the requirements of the expected users, the responsible party and the relevant characteristics of its environment, and other matters that may have a significant impact on the audit business, transactions, conditions and practice. Certified public accountants can only undertake audit business after they know that they meet the requirements of professional competence, independence, due attention and other professional ethics, and the business they undertake has the characteristics of audit business. If the scope of the audit business is greatly restricted, or the client tries to improperly associate the name of the certified public accountant with the audited object, the business may have no reasonable purpose. The main tasks in the stage of accepting business entrustment include: understanding and evaluating the auditability of the audited object; Decide whether to consider accepting the entrustment; Agree on the terms of the business agreement; Sign an audit engagement letter, etc. Second, the planned audit work plan audit work is very important. Poor planning will not only lead to the blind execution of audit procedures, but also reduce the audit risk to an acceptable low level without obtaining sufficient and appropriate audit evidence, which will affect the realization of audit objectives, waste limited audit resources, increase unnecessary audit costs and affect the efficiency of audit work. Therefore, for any audit business, certified public accountants must specify a scientific and reasonable plan according to the specific situation before implementing the specific audit procedures, so that the audit business can be effectively implemented. Generally speaking, the planned audit work mainly includes: the preliminary business activities carried out at the beginning of the current audit business; Formulate the overall audit strategy; Formulate specific audit plans, etc. Planned audit is not an isolated stage of audit business, but a continuous and constantly revised process, which runs through the whole audit business. Three. The auditing standards for implementing risk assessment procedures stipulate that certified public accountants must implement risk assessment procedures as the basis for evaluating the level of financial statements and identifying the risk level of material misstatement. The so-called risk assessment procedure refers to the procedure implemented by certified public accountants to understand the audited entity and its environment and identify and evaluate the risk of material misstatement in financial statements. Risk assessment procedure is a necessary procedure, and understanding the audited entity and its environment provides an important basis for certified public accountants to make professional judgments in many key links. Understanding the audited entity and its environment is a continuous and dynamic process of collecting, updating and analyzing information, which runs through the whole audit process. Certified public accountants should use their professional judgment to determine the extent to which they need to know the audited entity and its environment. Generally speaking, the main tasks of implementing risk assessment procedures include: understanding the audited entity and its environment; Identify and evaluate major misstatement risks at the level of financial statements and various transactions, account balances and presentation, including determining major misstatement risks that need special consideration (i.e. special risks) and major misstatement risks that cannot be handled only through substantive procedures. Four. Implementing control tests and substantive procedures The risk assessment procedures implemented by certified public accountants are insufficient to provide sufficient and appropriate audit evidence for expressing audit opinions. Certified public accountants should also implement further audit procedures, including the implementation of control tests (when necessary or when deciding to test) and substantive procedures. Therefore, after assessing the risk of material misstatement of financial statements, certified public accountants should use professional judgment to determine the overall response measures to the assessed risk of material misstatement of financial statements, and design and implement further audit procedures for the identified risk of material misstatement of financial statements, so as to reduce the audit risk to an acceptable low level. V. Completion of Audit Work and Compilation of Audit Report After completing the further audit procedures of each period of financial statements, certified public accountants should also do a good job in the audit completion stage in accordance with the provisions of relevant auditing standards, and use their professional judgment reasonably according to all kinds of evidence obtained to form appropriate audit opinions. The main tasks of this stage are: auditing the opening balance, comparative data, later events and contingencies; Consider going concern and obtain management statement; Summarize the audit differences and submit them to the audited entity for adjustment or disclosure; Review audit working papers and financial statements; Communicate with management and governance; Evaluate audit evidence and form audit opinions; Prepare audit reports, etc.