A Comparative Analysis of the Behavior Evolution of Financial Fraud under Different Audit Selection Modes
Yunlin Tian · Journal of Northwest University for Nationalities · 2013
The manager selection and shareholder selection are two kinds of CPA selection mode in common. For the different selection modes,the behavior evolution of listed company's managers and CPAs showed the different characteristics. By establishing the asymmetric evolutionary game model,we compared and analyzed the evolution and trend of the behavior choice of the above game players under different selection modes. We obtained the following results: for anyone strategy of CPA,if the average extra income of manager with the fraud strategy is negative,the behavior choices of the corresponding game players under two selection modes have the same trend,otherwise there exists a difference. In addition,from the evolutionary trend,collusionphenomenon will appear in the manager selection mode,but not in the shareholder selection mode.