Monday, February 18, 2013

essay 1 - Second Draft


Scott Johnson                                                                                                                                     
 Professor Kerr       
 EN101
 16 February 2013
Becoming a C.P.A.
In the field of business, an accountant is a profession that will always be in demand. Many people study accounting or business and obtain a degree in the field, but do not attempt to take the next, more difficult, step of becoming a C.P.A. or a certified public accountant. According to the Georgia society of Certified Public Accountants, “A CPA -- Certified Public Accountant --is a financial professional who speaks the language of business.” (“What is a CPA”). CPA’s are highly valuable members of any business and are in high demand because of their expertise (“What is a CPA”). The Georgia society of Certified public accountants summarizes what a CPA does as “Basically they analyze how money is used by businesses, non-profit organizations, governments and individuals. If it's about money, it starts with accounting.” (“What is a CPA”). The requirements to become a certified public accountant are slightly different depending on the state or jurisdiction, but they must be met in order for someone interested to even take the CPA exam (“What is a CPA”). In order to become a successful C.P.A. an accountant must focus on education, experience, and passing the C.P.A. exam.
To be successful, a C.P.A. must focus on education before and during their career. According to the Georgia society of certified public accountants, “Candidates must have at least 150 semester hours or 225 quarter hours of college education including a baccalaureate degree awarded by an accredited college or university.” (“what is a CPA”). Beyond this educational requirement, candidates must study accounting beyond the introductory levels at an accredited college or university in order to obtain at least 30 semester hours or 45 quarter hours in accounting subjects (“What is a CPA”).  Many accountants and CPA’s must continue professional education during their entire career (“AICPA Membership”). The American Institute of Certified public accountants state that, “From January 1, 2001, forward and for each three-year reporting period thereafter, all AICPA members shall complete 120 hours or its equivalent, of continuing professional education.” (“AICPA Membership,”). Some CPA’s may be in a position where they do not need to continue professional education, but can still benefit from it. According to the article “How much money does a certified public accountant make?”, CPA’s in the corporate world can become controllers, senior auditors, and executives if they have the required accounting and managerial education (Decker).
A successful C.P.A. must have experience in the workplace and in general accounting practices. According to the Georgia society of CPA’s, “An applicant who meets the general, educational, and examination requirements will be issued a CPA certificate upon presenting evidence that such applicant has attained two years of continuous experience in public accounting or five years, of continuous employment in the accounting field in business or industry, government or college teaching.” (“What is a CPA”).  The four major types of accountants are management accountants, internal accountants, government accountants, and public accountants, but only some require a certification (Kaczor). Accountants that work in a public firm have a fairly predictable career, starting out doing low level work in the office and then moving up to higher level accounting positions (Kaczor). The article "Which Kind Of Accounting is Right For You?” states that “Moving up in the field almost always requires passing the CPA exam and getting certified, after which public accountants can open their own firms, move on to different types of accounting, or move up the corporate ladder in larger firms.” (Kaczor).
Passing the C.P.A. exam is vital for any accountant looking to move up to a higher position or start their own practice. According to the Georgia society of certified public accountants, “In order to become a CPA, candidates must past all four sections of the exam (Business Environment and Concepts, Auditing and Attestation, Regulation, and Financial Accounting and Reporting).” (“What is a CPA”). The CPA exam testing structure includes multiple choice, written communication, and simulations on all four sections of the exam (“CPA Examination Content”). Passing the CPA exam is a must for accountants looking to separate themselves from the rest of the field (Lee). The article “Why become a CPA” states that, “According to the AICPA, CPAs earn 10-15% more than non-CPAs working in accounting-related jobs. Other studies have shown the gap as high as 41% between the certified and un-certified.” (Lee).
The road to becoming a CPA is difficult and challenging, but it is extremely rewarding in the long run. Meeting the many requirements is difficult and in the article “why become a CPA”, the author’s co-worker states that the CPA exam was the worst experience in his life (Lee). The article “How Much Do Accounting Firms Pay CPA’s?” states that, “with one to three years of experience, an accountant at an accounting firm earns $42,250 to $54,250 a year, as of 2012. If this accountant was a CPA, however, she’d earn an annual salary of $44,363 to $59,675.”, which shows the salary difference between CPA’s and non-credentialed accountants (Severson). Once an accountant has become a certified public accountant, they have opened the door to be successful by advancing to a higher position in a company or starting their own firm.

Works Cited
 "AICPA Membership CPE Requirements Q & A ." aicpa.org. American Institute of CPA's, n.d. Web. 16 Feb 2013. <http://www.aicpa.org/Membership/Requirements/CPE/Pages/default.aspx>.
"CPA Examination Content." aicpa.org. American Institute of CPA's, 15 Feb 2013. Web. 16 Feb 2013. <http://www.aicpa.org/becomeacpa/cpaexam/examinationcontent/pages/default.aspx>.
Decker, Fred. "How much money does a certified public accountant make?." Chron.com. Hearst Communications inc., n.d. Web. 16 Feb 2013. <http://work.chron.com/much-money-certified-public-accountant-make-2034.html>.
Kaczor, Kamilia. "Which Kind Of Accounting is Right For You?." Experience.com. Experience Inc., n.d. Web. 16 Feb 2013. <http://www.experience.com/alumnus/article?channel_id=accounting&source_page=breaking_in&article_id=article_1183638648255>.
Lee, Andrew. "Why Become a CPA?." ThiswaytoCPA.com. The American Institute of Certified Public Accountants, n.d. Web. 16 Feb 2013. <https://community.thiswaytocpa.com/allgroups/profession/b/articles/archive/2012/12/28/why-become-a-cpa.aspx>.
Severson, Dana. "How Much Do Accounting Firms Pay CPAs?." Chron.com. Hearst Communications inc., n.d. Web. 16 Feb 2013. <http://work.chron.com/much-accounting-firms-pay-cpas-11340.html>.
"What is a CPA." gscpa.org. GSCPA inc., n.d. Web. 16 Feb 2013. <http://www.gscpa.org/Content/StudentsEducators/Students/HighSchool/CPA.aspx>

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