Expository_Essay

Ebonee Martin November 28, 2006 Expository Essay Accounting for Dummies Excelling in math, having an aptitude for analyzing figures, and excellent verbal and written communication skills, I chose to explore the profession of accounting. I know several people who have acquired a degree in Accounting and I thought it to be an interesting career. After researching the field, it is known that accounting is the number one major on college campuses. This field is continually evolving and an accounting career can offer a seriously challenging future. Accounting is the measurement, disclosure or provision of assurance about financial information that helps managers, investors, tax authorities and other decision makers make resource allocation decisions. Basically, they help ensure that the nation’s accounting firms are run efficiently. Along with making sure they are run efficiently they make sure public records are kept accurately, and taxes paid properly and on time. Stating that I want a career in accounting is too broad, however, because there are various types of categories within this field. Some are public, management, government accounting, and internal auditing. Public accountants perform a broad range tasks: accounting, auditing, tax, and consulting activities for their clients, which may be for corporations, governments, nonprofit organizations, or individuals. Public accountants, most of whom are Certified Public Accountants (CPAs), usually contain their own businesses or work for public accounting firms. An example would be some public accountants concentrating on tax matters such as preparing individual tax returns. Others give advice on employee health care benefits and the selection process to safeguard assets. Along with giving advice they also audit clients’ financial statements and inform investors that the statements have been correctly prepared and reported. Some public accountants specialize in investigating and interpreting “white-collar” crimes such as security fraud and embezzlement, bankruptcies and contract disputes (and other complex and sometimes criminal financial transactions, including money laundering by organized criminals). If an accounting firm audits a client’s financial statements, that same firm cannot provide advice on human resources, technology, investment banking, or legal matters, although they may still advise on tax issues, such as establishing a tax shelter. They may still advise other clients in these areas or may provide advice within their own firm. The training and other qualifications most accountants and auditor positions need is the requirement of at least a bachelor’s degree in accounting or a related field. Beginning accounting and auditing positions in the Federal Government usually require 4 years of college (including 24 semester hours in accounting or auditing) or an equivalent combination of education and experience. Some employers prefer applicants with a master’s degree in accounting, or with a master’s degree in business administration with a concentration in accounting. Many colleges offer students an opportunity to gain experience through summer or part-time internship programs conducted by public accounting or business firms. In addition, practical knowledge of computers and their applications in accounting and internal auditing is a great asset for jobseekers in the accounting field. Basing some training and qualifications on the recommendations made by The American Institute of Certified Public Accountants 42 states and the District of Columbia require CPA candidates to complete 150 hours of college coursework which is additional 30 hours beyond the usual 4-year bachelor’s degree. Along with these states another five have adopted a comparable legislation that will become effective between this year and 3 more years. Responding to this, many schools have altered their curriculum accordingly, with most programs offering master’s degrees as part of the 150 hours, so prospective accounting majors should carefully research accounting curriculum and the requirements of any states in which they want to become licensed. As far as earnings, the U.S. Department of Labor’s Bureau of Statistics reported that the annual wage and salary earnings of accountants and auditors was approximately $50,000. The median salary is between $40,000 and $60,000. According to a salary survey that was conducted by the National Association of Colleges and Employers, bachelor’s degree candidates in accounting received starting offers at an average of $40,000 a year; a master’s degree candidate was initially offered $45,000. There are a few positives and negatives of the accountant position. One negative is the fact that sophisticated computer software has led to a change in the way many accountants work. Laborious manual tasks are being replaced by more technical involvement in the actual accounting systems. Another factor that could be considered a negative is progression within a firm. Starting off slowly and generating long standing client relationships that contribute revenues to that firm. Although considered a negative in the end becomes a positive in which could allow a person to advance in the career. Discussing the positives it will help in contributing to the economic growth. Another positive is more accountants are also becoming personal advisors as the demand for reliable advice increases. To conclude, accountants have a broad range of tasks and responsibilities. Whether it is a public, management, governmental, or internal auditors there are many positions. Helping ensure the nation’s firms are run efficiently accountants make sure public records are kept accurately, and the taxes are paid properly and on time. Working for corporations, governments, nonprofit organizations, or individuals this is all part of the field. Governmental usually requires applicants to have four years of college experience. Many students are offered the chance to gain experience through summer and/or part-time internship programs conducted by public accounting or business firms.