Opportunities In Accounting | Functions Of Accountants
Opportunities In Accounting comes in different stages just as was recorded during the first half century, accounting gained the same professional status as the medical and legal professions. Today account in the United States of America are considered to be well over one million. In addition, a whole lot of other individuals have qualifications that are closely related to accounting positions. Typically, Opportunities In Accounting varies, however, accountants provide services in various branches of accounting. These includes public accounting, industrial accounting, management accounting, government and not for profit accounting, and then higher institution accounting.
The demand for the services of the accountant will continuously be on the increase dramatically in the future. Review has shown that the anticipated increase in the number of accountants will be higher than other profession with high ratings.
Individual have considered account as a career sue to the numerous Opportunities In Accounting, public service firms offer professional accounting and related services for a fee to the company, other organization and individuals. An accountant may become certified Public accountant (CPA) by the virtue of passing the professional examination prepared and graded by the American Institute of Certified public Accountant (AICPA).
The examination is a computer based exam, in addition to passing the examination, candidates interested in having this qualification will be required to meet up with other requirements, this requirement can be the obtaining the state license.
These requirements vary by state. A number of states in America requires the Certified Public Accountant candidates to have completed a few accounting courses and earned a certain number of college credits (five years of studies in the United states of America, worked a certain number of years in the public accounting, industry or government, and lived a certain number of years before taking the Certified Public Accountant exam.
Post year 2000, five years course work was one of the requirements were you want to become a member of AICPA. After a candidate passes the Certified Public Accountant (CPA) examination, some states (called one tier states) insists that the candidate meet all the requirements before the state grants the Certified Public Accountant (CPA) certificate to practice. Other states (called two tier states) issues the Certificate Public Accountant (CPA) certificate immediately after the candidate passes the exam.
However, these stated issues the license to practice only after all other requirements have been met. Certified Public Accountants (CPAs) who want to renew their license to practice must stay current through continuing professional education program and must prove that they done so. No one claim to be a Certified Public Accountant and offer the services normally provided by a Certified Public Accountant unless that person holds an active license to practice.
Functions Of Accountants (Opportunities In Accounting)
The Accounting professions offers Opportunities In Accounting at all levels, provided auditing, tax and for non audit clients, management advisory (or consulting) services.
Auditing – A business seeking loan or attempting to have its securities traded at the stock exchange usually must provide financial statements to support its request. Users of a company’s financial audited statements. For this reason, company’s hire qualified accountants to conduct examinations (independent audits) of their accounting and related record. Independent auditors of the profession check some of the company’s records by contacting external sources. For example, the accountant may contact a bank to verify the cash balance of the client.
After completing audit, independent auditors give an independent auditor’s opinion or reports. An example of auditor’s opinion, this report states whether the company’s financial statements fairly (equitably) report the economic performance and financial condition of the business. The next section of this discussion throws more light for a better understanding; for so many auditors involved in a business are required to also conduct their own private audits, this private audit are not meant to be an independent audits.
Currently auditing standards are established by the public company accounting (CPA) oversight board. The Act created the Public Company Accounting oversight board, the Board consist of the five members appointed and overseen by the audits and auditors of public companies and can sanction both firms and individuals for violations of the laws, regulations and rules.
The chief executive officer and chief financial officer of the public company must now certify the company’s financial statements. Corporate audit committees, rather than corporate management, are now responsible for hiring, compensating, and overseeing the external auditors.
Tax Services – Professional accountants often provide expert advice on tax planning and preparing corporate, federal, state and local tax returns. The main objective or aim most firm go into preparing their organization’s tax returns is mainly because it is used for legal purposes which on the long run help to minimize the firm’s taxes paid. Almost every major business decision has tax impact. Having an effective tax planning regime goes a long way to enable clients to have a clear understanding of how tax effects every financial decision made for the growth of the firm.
Management advisory (or consulting) Services – Management frequently identifies projects for which it decides to retain the services of a professional accountants. However, the profession specifically prohibits providing certain types of consulting services to a public yield company by its external auditor. These services include bookkeeping, information system design and implementation, appraisals or valuation services, actuarial services and legal audits, management and human resources services, broker/dealer and investment services and legal or expert services related to audit services. Accounting firm can perform many of these services for publicly held companies they do not audit. Other services not specifically banned are allowed if preapproved by the company’s audit committee.
In contrast to public accountant, who provide accounting services given the numerous opportunities in accounting for many clients management accountants also provide accounting services for a single business. Most large or big firms have a list of management accountants on their pay role, however, the accountant who take charge most of the accounting activity occupies the office of the controller in some cases he is referred to as the chief financial officer.
Management accountant may or may not be professional accountants. If management accountants pass an examination prepared and graded by the Institute of Certified Management Accountants (ICMA) and meet certain other requirements, they become Certified Managements Accountants (CMAs). ICMA is an affiliate of the institute of management accountants, an organization primarily consisting of management accountants employed in the private industry.
The various Opportunities In Accounting has made it a lot more easier to build up a career in accounting, a career in management accounting can be very challenging and rewarding at the same time. Many managements accountant specialize in one particular area of accounting. For example, some may specialize in measuring and controlling cost, others in budgeting (development of plans for future purposes and operations), and still others in financial accounting and reporting. Many management accountants become specialist in the design and installation of a computerized accounting system.
Other management accountants in these large firms, organization of company are often referred to as internal auditors, this is because they are the ones with the responsibility of conducting internal audits. They ensure that the company’s divisions and departments follow the policies and procedure of management. This last group of management accountant may earn the designation of Certified Internal Auditor (CIA). The Institute of Internal Auditors (IIA) are the ones with the responsibility of issuing the CIA certificate to those accountants who applied and passed the exams, when they are certified to have been successful with the IIA examination, they will also check to see if other requirements are met and fulfilled.
Government agencies that regulate business activities such as a state public service commission that regulates public utilities (for example telecommunication company, electric company), usually employ governmental accountants. Most agencies have in time used the services of governmental accountants due to their expertise, these accountants are saddled with the responsibility of reviewing, analyzing as well as evaluating the firm’s financial statements and then evaluate the rate of increase requests. Not for profit organizations, such as churches, charities, fraternities and universities need accountant to record and account for funds receive and disbursed.
Even though there are Opportunities In Accounting, these agencies do not have profit motive, they should operate efficiently and use resources effectively. There are academic accountants whose functions include teaching accounting courses, conducting scholarly and applied research and publishing the results and performing services for the institution and the community.