Certified Public Accountants, commonly known as CPAs, are generally considered to be the top accountants in the business and are compensated for it in terms of salary and prestige. While the CPA examination is so difficult that less than half of accountants pass it on their first try, becoming a CPA opens the door for significant opportunities within the accounting profession.
To become a CPA in the U.S., one has to pass the Uniform Certified Public Accounting Examination, developed by the American Institute of Certified Public Accountants and given several times a year in each state under the supervision of the National Association of State Boards of Accountancy. Each U.S. state has different requirements regarding who may take the CPA exam, but most require a bachelor’s degree in accounting as well as a certain amount of specific work experience in the profession.
While the difficulty of the CPA exam, as well as the specific requirements for taking it, shows potential employers that CPAs have attained a great deal of valuable accounting knowledge, a CPA license opens up another specific aspect of the profession that not all accountants have access to: “”public accounting.”" This important role of CPAs has to do with assuring the public of the veracity of accounting methods used by government agencies and public companies, as well as the truth of their underlying figures. Ethically executed “”public accounting”" allows investors and the public to make informed decisions in both government and private industry contexts.
For example, CPAs provide important attestations regarding the truth of the audited financial statements released by large corporations and their compliance with “”generally accepted accounting principles”" (GAAP). Since people who have not received CPA designation cannot legally sign off on such statements, this responsibility increases the value of CPAs in the job market significantly. Additionally, CPAs are subject to strict ethics requirements, and must attend periodic “”continuing education”" courses on accounting issues in order to keep their CPA licenses.
CPAs are often found at the “”Big 4″” accounting firms, who prepare the vast majority of the public accounting services for the world’s biggest companies. However, many other companies and organizations, especially larger ones, may employ full-time CPAs due to the recognized expertise that having a CPA designation indicates. CPAs also often rise to head accounting departments at large organizations, or become Chief Financial Officers.
With the need for accounting knowledge and services projected to continue growing in the near future, people with CPA certification are in a particularly good position to find well-paying employment in a variety of sectors. While it can be a challenge to obtain and keep CPA certification, those who have achieved it often find that they have access to some of the best opportunities in the accounting profession.
No related posts.