There are a number of reasons caused audit failures, such as the Fall of Enron in the U.S. and the European Enron “Parmalat”. Recently, the Chinese auditing failure case of Zixin pharmaceutical company has indicated the role of non-financial information should be raised the concerns by auditors when conducting audit work.

You are required to comment on the reasons caused the audit failures aforementioned using the knowledge covered in this subject and identify the differences between the Chinese audit failures and audit failures worldwide. The details regarding the three cases are attached with this assignment for your reference. (Hint: you can state based on the weaknesses of corporate governance).