Classification of audit analysis methods

The specific application in the audit field can be divided into two categories: qualitative audit analysis method and quantitative audit analysis method.

Broadly speaking, there are many audit analysis methods. Commonly used audit analysis methods include comparison method, ratio analysis method, account analysis method, trend analysis method, simulation method, prediction method, decision-making method, control method, factor analysis method and cost method.

From the perspective of time, the above audit techniques and methods can be summarized as pre-audit analysis methods, in-audit analysis methods and post-audit analysis methods.

First, comparative law.

Also known as the comparison method, it refers to a method that auditors use two or more related indicators with internal relations to compare and analyze each other in audit matters. Through comparative analysis, auditors can understand and analyze all kinds of audit matters, find out problems, find out differences, study the causes and effects of differences, draw preliminary evaluation conclusions and put forward suggestions to solve problems.

The forms of comparison generally include: analysis and comparison of ending balance and opening balance; Analysis and comparison of ending balance and planned indicators; Analysis and comparison of the ending balance of the current period with the indexes of the previous period or the same period in history; Comparative analysis of internal structure of audit items; Analogy, analysis, comparison and so on.

The essence of comparative method is comparative analysis between quantities. When using, auditors should pay attention to the comparability of analysis indicators and the rationality of comparison standards. The indicators of comparison should be generally consistent in terms of period, scope, content, project and calculation method before comparison can be made. If the index caliber is inconsistent or the environmental conditions are different, it should be converted and adjusted according to the standard method before comparison can be made.

Second, the ratio method

Ratio method refers to a method that auditors use the proportional relationship between one indicator and another to analyze the ratio value in the audit process. The ratio method can calculate the ratio of some indexes that cannot be directly compared and analyzed, and then use their ratios to analyze and get the evaluation results.

In daily audit work, correlation ratio analysis, structural ratio analysis and dynamic ratio analysis are commonly used.

Correlation ratio analysis is a technical method to compare and analyze two different but related indicators. The commonly used methods are: first, compare a project with other projects, find out the ratio, and conduct in-depth analysis and evaluation, such as the analysis of sales profit rate; Second, according to the objective interdependent and interrelated relationship between some economic indicators, two relative figures with different properties but related are compared, and then comparative analysis is made, for example, from the analysis of output value and employees, to observe the influence of labor productivity changes on output value.

Structural ratio analysis is a method to evaluate and analyze by calculating the proportion of each index in the overall index. The analysis steps are: determine the proportion of each component of an economic indicator in the whole, observe its composition and changes, analyze its characteristics and evaluate its trend. For example, when analyzing enterprise cost, it is necessary to determine the composition and proportion of direct cost, indirect cost and period cost, analyze their standards, evaluate their trend changes, find out the existing problems and seek improvement methods.

Dynamic ratio analysis is a method to compare and analyze the numerical values of similar indicators in different periods. Generally, it can be divided into two types: ring comparison method and fixed base ratio method. The former is to compare the quantity of each period in the analysis period with the quantity of the previous period and calculate its increase or decrease ratio; The latter is based on a certain number of periods, comparing the number of periods in the analysis period with the number of base periods, and calculating the increase or decrease ratio.

Three. accountancy law

The account method refers to the process and result of auditors' finding out various economic events according to accounting standards and industry accounting system, and the technical method of analyzing and discovering accounting errors and disadvantages according to the corresponding relationship between assets, liabilities, owners' equity, income, expenses and profit accounts and the situation and regularity of their amounts and balances.

The review of the account method focuses on the general ledger and subsidiary accounts, as well as various subsidiary accounts and memo books. First of all, it does not audit accounting vouchers and accounting statements, but checks directly from the accounting processing system. Errors can be found by checking real accounts (assets, liabilities, owners' equity and profit accounts) and virtual accounts (income, cost and expense accounts). Account analysis can adopt structural analysis and ratio analysis.

When applying the account method, attention should be paid to the following steps:

(1) Investigate the accounting treatment system and account setting of the audited entity;

(2) To test whether the account setting is legal and reasonable, whether it is implemented (Accounting Standards for Business Enterprises), especially whether the general ledger account setting is standardized;

(3) Check and analyze whether the account structure and account book records are reasonable and true, and whether they comprehensively and systematically reflect the economic business;

(4) Conduct spot checks and infer the overall results according to the calculation results of the samples;

(5) Use technical means such as ledger, account table and account certificate check to further find out the situation and problems;

(6) Focus on analyzing abnormal phenomena in the account book, including abnormal items, abnormal contents, abnormal summary, abnormal corresponding accounts, abnormal amounts, abnormal balances, etc.

(7) Obtain the test results, and analyze and evaluate them.

Fourth, the trend method

Trend method is a method for auditors to analyze, speculate, evaluate and find problems by using the characteristics that the data of inspection materials are arranged in time sequence. Trend analysis can be divided into four categories:

(1) long-term trend analysis;

(2) Analysis of seasonal fluctuation trend;

(3) periodic fluctuation trend analysis;

(4) Analysis of unstable fluctuation trend. The long-term trend shows a continuous upward (downward) development trend;

Seasonal fluctuation in a fiscal year, its development trend is wavy; Periodic fluctuations are circuitous and have rules to follow; Unstable fluctuation is an irregular trend, which is the most difficult to guess.

Trend method belongs to quantitative analysis. Its steps are to collect audit data, establish a quantitative mathematical model, and conduct simulation analysis, trend analysis and result evaluation. Trend analysis should focus on the analysis of its various characteristics.

There are two kinds of long-term trend analysis:

(1) linear trend analysis;

(2) Nonlinear trend analysis (also called trend curve analysis). The analysis process is: data sorting and analysis, trend curve compilation (random method, average method, point selection method, least square method and other methods can be used to compile. ), calculation and detailed analysis of trend deviation.

There are three types of seasonal fluctuation trend analysis:

(1) linear fluctuation analysis;

(2) curve fluctuation analysis;

(3) Analysis of irregular curve fluctuation. Its analysis process is: past seasonal fluctuation analysis, future seasonal fluctuation prediction analysis and cycle display analysis. The analysis methods include average method, ratio method, ranking method, chain comparison method and graphic method.

The focus of periodic fluctuation analysis is to seek regular trends. Residual value method, direct method and cyclic average method can be used for analysis.

Uncertain fluctuations are difficult to analyze, and it is difficult to have no rules to follow. Simulation methods are often used for analysis. The degree to which the analysis conclusion conforms to reality often depends on the auditor's judgment.

Verb (abbreviation of verb) simulation method

Simulation method refers to the technical method that auditors use qualitative or quantitative simulation method to re-verify the audit items of the audited entity. Simulation is not to deny the original, but to verify its authenticity and rationality. The general steps of simulation method are as follows:

(1) Determine the scope (location) of the audit project;

(2) Testing the internal control system.

(3) Check the original model and results of the audit project according to the original procedure;

(4) Analyze the advantages and disadvantages of the original model and consider whether various factors are complete;

(5) Find the best simulation technology and method, and simulate the approximate value of audit project by combining qualitative and quantitative methods;

(6) Comparative analysis of multi-scheme errors;

(7) Analysis and evaluation of audit results.

This method is generally applicable to the situation that the audit project is in a chaotic state and the internal control system of the audited entity is relatively sound on the surface. Its advantages are high audit accuracy, relatively small audit risk and strong audit evidence; The disadvantage is that the audit time is long, and auditors should have certain quantitative analysis skills.

The key of simulation method is to choose the mathematical model of simulation. The closer the selected model is to the track of the original audit, the higher the accuracy of the audit. When selecting models, in order to facilitate audit analysis, several mathematical models can be selected at the same time, and the model with the smallest error can be found as the object of comparative analysis, so as to maximize the role of audit proof.

VI. Forecasting Methods

Prediction method refers to a method that auditors use certain quantitative analysis methods or qualitative analysis methods to estimate and measure the development trend of audit matters according to audit information. Prediction methods are divided into two categories:

(1) Quantitative forecasting method refers to the audit forecasting analysis conducted by auditors by using regression forecasting method, smooth forecasting method, elastic analysis method, input-output method and econometric model method;

(2) Qualitative prediction method refers to the method of subjective judgment and logical reasoning relying on the experience of auditors, such as expert prediction method, subjective probability method and decision tree method.

The characteristic of quantitative forecasting method is that according to the historical data or observation values of audit items, the predicted values of economic variables are obtained by establishing mathematical models by using certain mathematical methods. Its advantage is that a specific part of the audit project can be predicted and analyzed in detail; By establishing a prediction model, the accuracy is high; The prediction work takes less time and has high efficiency. The disadvantage is that the audit items lacking relevant data can not be analyzed by means of models, nor can they be predicted and analyzed by economic variables.

Qualitative prediction method is characterized by relying on auditors' subjective judgment, empirical analysis and logical reasoning for audit prediction analysis. Its advantage is that it can simulate the future trend of audit matters, deal with complex audit matters that cannot be expressed by economic variables, and even conduct audit tests without relevant data. Its disadvantage is that it can't give a quantitative prediction and analysis model, and its evidential force is relatively weak.

Seven. Decision method

Decision-making method refers to a method that auditors use decision-making method to audit the feasibility of audit items. Decision analysis is based on prediction analysis. Without scientific prediction and analysis, it is impossible to have correct decision analysis. Auditors make decision analysis, which is divided into two levels:

(1) original model test and inspection (original scheme of audit project);

(2) Re-select the analysis point, and verify the feasibility of the decision-making scheme through the simulation of the original model. In practical work, the latter is often used, although it is more difficult. The decision-making methods include linear programming method, objective programming method, benefit cost method, total cost analysis method, net present value method, internal rate of return method, profit and loss analysis method and so on. There are many technical methods of decision analysis, and how to apply them should be selected according to the characteristics of decision audit.

Eight, control method

Control method refers to a method by which auditors test, inspect and analyze audit projects according to certain standards and rules, find deviations and correct them in time, so that the economic activities of audit projects can be carried out according to the original plan or laws, thus achieving the purpose of improving economic benefits. According to the key points of reviewing corrective measures, control methods can be divided into feedforward control (pre-control), feedback control (process control) and protective control. According to the scope of audit business, it can be divided into financial audit control (capital control, cost control, profit control, etc. ) and benefit audit control (investment control, project control, operation control, management control, etc. ). According to the audit scope, it can be divided into comprehensive audit control and local audit control.

The application procedures of control methods in audit work are: formulating audit control standards, testing responsibility control, analyzing and comparing implementation, proposing corrective measures and comprehensive evaluation.

There are many technical methods of control, such as ABC control method, internal control method, simple economic batch method, fixed order method, high-low point control method, target cost control method, system control method, financial target control method and internal budget control method. In the process of using control methods, we must master the following principles: adhering to standards, seeking truth from facts, quantitative simulation, qualitative judgment, control key points and comprehensive analysis.

Nine, the factor method

Factor method refers to a method that auditors use the correlation between various economic indicators of audit items to analyze and measure the impact of changes in various indicators on audit items. The generalized factor method includes regression bridge method, chain substitution method, primary and secondary analysis method and so on. In a narrow sense, it only refers to chain substitution method. In the audit work, in addition to analyzing the structure or proportion of the audit project, it is necessary to further analyze the influence brought by the change of factors, so as to analyze which factors are positive, which are negative, which are subjective and which are objective, and thus draw a conclusion consistent with other factors.

Cost method

Cost method refers to a method for auditors to analyze, compare and calculate the cost by using the cost data and related materials of the audited entity. The application scope of cost method is very wide, and there are many specific methods, such as cost-benefit analysis, unit cost analysis, total cost analysis, profit and loss cost analysis, quality cost analysis and so on. From the input-output principle, under the condition of constant income, its cost directly affects the economic benefits of enterprises, and the increase or decrease of cost has a great influence on the profits of enterprises; Even in the case of increasing income, it is uneconomical if the cost increases faster than the income.

Cost-benefit analysis is mostly used in the project audit of economic benefit audit. Through the analysis and evaluation of the estimated costs and benefits of several investment schemes of the audit project, whether the optimal scheme selected by the audit is economical and reasonable. The thinking of its analysis is: under the condition of fixed cost, which benefit is the greatest; When the income is determined, we will check which one has the lowest cost. In project audit evaluation, the concept of cash flow is often used for analysis.

Unit cost analysis and total cost analysis belong to cost comparative analysis methods. It means that auditors can compare and analyze the investment costs of different investment schemes to audit whether the optimal scheme is reasonable and economical. Unit cost analysis is to evaluate the feasibility of the optimal scheme by analyzing and comparing the original investment cost allocated in each year with the estimated annual operating cost; Total cost analysis is to evaluate the feasibility of the optimal scheme by analyzing the sum of investment cost and operating cost.

Profit and loss cost analysis refers to the auditor's analysis of the profit and loss point cost of each scheme of the audit project to evaluate whether the selected feasible scheme is reasonable. The basis of profit and loss cost analysis is the principle of capital preservation.

Quality cost analysis refers to the auditor's evaluation of the quality of products and projects. To analyze whether the cost of achieving a certain quality is feasible. Quality cost includes prevention cost and guarantee cost. The former includes identification cost, prevention cost and art cost, while the latter includes internal and external failure cost. The prevention cost is directly proportional to the quality level, and the guarantee cost is inversely proportional to the quality level. The focus of the audit is to find the best quality cost point.