Accounting Theory and Accounting Professionals

Accounting Theory and Accounting Professionals

Same old, safe bet – Amy Winehouse

As with most professions, accounting demands a lifelong process of honing one’s skills. While usually sufficient to land a job after graduating from university, in addition to mandatory work experience, a successful accountant will continue to participate in accounting continuing education, whether through symposia, conferences and seminars or continuing education programs; it is important to maintain one’s knowledge up to date. Perhaps the best word of advice in such a situation is not to give up.

Staircase to Heaven. Image: Elena

Certain facts may be said about all professions, not only accountants. Lifelong education and career development is important in most fields. Alternatively, many people believe that if they fail to advance, then they are receding. Why? Because other people around them are advancing. Moving forward may be achieved in many ways, but it is true that standing still when surrounding competitors are gaining ground leaves one behind even if one is staying in the same place.

Office job. Image: Elena

Accountants are very important persons in society, not only because of the accounting matters they conduct, such as filing taxes for individuals and corporations, but also for producing information for the general public, investors and shareholders. Indeed, financial accountants produce financial statements, documents without examining which it would be nearly impossible to conduct due diligence. To invest in a company, many potential investors want to know how well that company did, what are the earnings per share (EPS) and the dividends paid.

Why Study Accounting?

Accounting is a fascinating field, not only to study but also to work in. Further, successful students in accounting can choose from a multitude of career paths such as accountant, chief or senior accountant, controller or comptroller, and last but not least CFO (Chief Financial Officer). Accountants have many duties, tasks and responsibilities such as payroll cycle, calculation of profits and taxes, supervising other accounting staff, developing junior members and implementing rulebooks with GAAP or SEC regulations.

GAAP are Generally Accepted Accounting Principles published for public accounting firms. All public firms, and most private entities must adhere to GAAP regulations which are like law. Lately, Canadian GAAP is undergoing a transformation to merge with, and conform to, US GAAP. Alternatively, the SEC is the Securities and Exchange Commission regulating security trading and finance in the the United States. Naturally, to practice in the accounting or finance field one  must be certified by, and in good standing with, one of the many orders, associations or commissions regulating the corresponding professions.