I. Risk assessment:
Risk assessment refers to the quantitative assessment of the possibility of a risk event affecting people's lives, life and property before or after the risk event (but not yet over). That is, risk assessment is a quantitative assessment of the possible impact or loss of an event or thing.
Second, the common methods:
1, risk factor analysis method
The general idea is: investigate the risk source → identify the risk transformation conditions → determine whether the transformation conditions are available → estimate the risk consequences → evaluate the risk.
2. Fuzzy comprehensive evaluation method
3, internal control evaluation method
The internal control evaluation method refers to the method to determine the audit risk by evaluating the internal control structure of the audited entity.
4. Analytical review methods
Analytical double-check method is that certified public accountants analyze the major ratios or trends of audited units, including investigating abnormal changes and the differences between these important ratios or trends and the estimated amount and related information, so as to speculate whether there is the possibility of important misstatement or omission in accounting statements.
5. Qualitative risk assessment method
Qualitative risk assessment method refers to those methods that can qualitatively evaluate audit risk through observation, investigation and analysis, and with the help of CPA's experience, professional level and judgment.
6. Risk rate risk assessment method
Risk rate risk assessment method is one of the quantitative risk analysis methods.
Third, the task:
1, to determine the main tasks of risk assessment;
2. Identify various risks faced by the appraisal object;
3. Assess the risk probability and possible negative impact;
4. Determine the ability of the organization to take risks;
5. Determine the priority level of risk reduction and control;
6. Recommend countermeasures to reduce risks.