1) In order to become a Chartered Accountant (CA), you need to study a bachelor of Commerce in Accounting (BCom Accounting). You need to also get the minimum admission requirement, which is generally a National Senior Certificate (NSC), which includes between 30 and 40 APS points at the varsities in South Africa (e.g. UJ and WITS). You need to get above 50% in English, above 30% for any other recognized language, above 60% for CORE mathematics (mathematics literacy is not accepted for this course), above 40% in Life Orientation, and above 50% in any other 3 subjects.
Overview:
English: 50% +
Afrikaans: 30% +
Maths Core: 60% +
Maths Literacy: NOT ACCEPTED
LO: 40% +
Subject 1: 50% +
Subject 2: 50% +
Subject 3: 50% +
2) A CA degree is deemed
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The Auditor also ensures that there are no grievances in the businesses financial statements.
b) A Chartered Accountant (CA) proves that the holder has the qualifications in order to audit financial statements and business practices, as well as offer advisory services to clients.
Chartered accountants generally provide trustworthy information about financial records. This generally involves financial reporting, taxation, auditing, or accounting systems and processes. They also play a strategic role by providing professional advice, aiming to maximize profits in the business on behalf of their employer.
5) The majority of the world’s auditing services are performed by only four accounting firms.
Known as the ‘Big 4’, these firms dominate the industry, auditing more than 80 percent of all public companies.
In addition, these firms advise on tax and offer a wide range of management and assurance services.
These 4 firms are:
1. Deloitte
2. PricewaterhouseCoopers (PWC)
3. Ernst and Young
4.
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5% e. 12%
DEBTORS COLLECTION PERIOD b. 45 Days f. 30 Days
CREDITORS PAYMENT PERIOD c. 30 Days g. 29 Days
STOCK TURNOVER RATE d. 3 Times h. 6 Times
a. The internal auditor should look into this, as the e. profit made in 2010 was 7% higher, which is a massive loss on the businesses point of view. The auditor could look into the statements for errors or fraud.
b. The internal auditor should pose some follow up questions to the businesses debtors in order to see why the debtors are paying the business 15 days later than in 2010 (f.) .
c. No questions or investigations need to be carried out by the internal auditor, as the creditors payment period has stayed constant, and has not changed drastically from 2010 (g.) to 2011. (c.) .
d. The internal auditor should ask a few questions regarding the business turning over stock half the amount of times in 2011, compared to last year in 2010 (h.). This could be due to loss in sales, which could be the reason for a lower operating profit. Or it could be due to errors being made in the financial
According to PCAOB Auditing Standard 5 paragraph 2, “effective internal control over financial reporting provides reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes. If one or more material weaknesses exist, the company 's internal control over financial reporting cannot be considered
The non-profit professional organization, American Institute of Certified Public Accountants (AICPA), was founded in the United States of America. The organization was founded in 1887, to help ensure that the accounting profession would gain the same respect as the other prestigious occupations had received from the public. The accounting profession, similar to the medical, legal, and engineering professions, is characterized by “…rigorous educational requirements [150 credit hours], high professional standards, a strict code of professional ethics, licensing status [Uniform CPA Examination], and a commitment to serving the public interest” (AICPA, 2016). These five characteristics
In today’s business world, accountants and business owners should work together in order to become aware of scandals that occur in corporate companies. Since 2008 a series of corporate scandals and collapses have highlighted the importance of effective board oversight. With the increase in technological advances and people who never invested before, began to invest in companies in the mid 1990’s to early 2000, which increased the demands for many corporate organizations. One of the largest scandals in the corporate world was known as the Madoff’s Ponzi scheme and the scandals that occurred at Enron Corporation and WorldCom.
In the case of a private accountant the end of climbing the professional pyramid is at becoming the chief financial officer (CFO). Within a company, this is the most prominent position for a person of an accounting background and field. Prior to becoming a CFO, the private accountant must tackle the positions of control such as assistant controller and controlee. At the achievement of becoming a CFO, the accountant would take on the same responsibilities it once held but to a higher level. It is expected to take control of the companies’ entirety of accounting functions. For a private accountant to reach the level of CFO is quite an accomplishment, but this position bestowed by a small, low-key company does not appear as well on paper as the accomplishment of a public accountant who made a name for themselves.
The Firm’s testing to ensure accurate useful life and disclosure were inaccurate (10). The client did not maintain information on which customers correspond to the intangibles, which raised an existence question regarding the assets. The auditors should have used confirmation with these customers to figure who was listed as an asset. The auditors should have also used more professional skepticism on making sure these customers actually existed. Auditors often rely too much on what management tells them instead of investigating it themselves. The concern with this deficiency was the effectiveness of internal
Accounting is basically a service activity. Its purpose is to provide quantitative information that principally used by the managers, investors, tax authorities, and other decision makers to make the financial decisions within companies, organizations, and public agencies. Accounting is also widely known as the “language of business.” An accountant measures, communicates, and interprets financial activities. They prepare financial statements or reports for individuals, businesses, government agencies, or other non-profit organizations. They use the accounting systems to categorize the expenses and income to the typical groups. They also keep tract of the money received or paid out to see if the transactions are accurate and complete. Accountants are familiar with the computer operation. They use the computer...
It consists of a global membership of more than 150,000 members, with more than 25,000 members in senior positions in 120 countries around the world. This makes CPA Australia one of the worlds largest accounting bodies. CPA Australia is also known for being the worlds best member service organisation. They provide core services to their members which includes education, training, technical support and advocacy. Their main goal is to maximise the share of people who want a career built on professional accounting skills. They encourage their employees and members to work together with local and international bodies to represent the concerns and views of the profession to governments, regulators, industries, academia and the general public. A Certified Practicing Accounting (CPA) is a business professional with specific qualifications in accounting and finance. A CPA accreditation is an indication of a high professional competence and it also indicates a soundness in depth, breadth and quality of accountancy knowledge. CPA Australia provides its members with an internationally recognised qualification and the opportunity to complete specialist training and Continuing Professional Development (CPD). This further makes CPA’s highly regarded by employers. In order to get a CPA accreditation a member must complete a degree or postgraduate award recognised by CPA Australia, complete the
The oversight responsibilities of the board, the CAE lacking of expertise or broad understanding of financial controls and responsibilities, and the understaffed internal audit functions lacking of independence and direct access to the board of directors contributed to the absence of internal controls. To begin with, the board should be retrained to achieve financial literacy to review financial reporting. Other than attending formal meetings, the board of directors should be more involved with the management. For the Audit Committee, the two members who were recruited as acquaintances to Brennahan need be replaced with experts who are more sufficiently knowledgeable about accounting rules beyond merely “financially literate”. Furthermore, the internal audit functions need to expand with different expertise commensurate with the expanded activities of the organization, testing financial reporting rather than internal controls from an operational perspective. The CAE should be more independent and proactive to execute audit plans, instead of following orders from the CFO, and initiate a direct and efficient communication between internal audit and audit
This topic was selected among a series of topics of general interest in the area of strategic audit for a corporation, as a class requisite. The different aspects of development and research studies findings are discussed in detail or briefly. The subject of “Strategic Audit of a Corporation” is what this paper is about. Some of these topics are briefly discussed. Ford Motor Company
In 1887, the American Association of Public Accountants was formed with the first standardized tests coming out about a decade later (Zeff, 2003, pg. 2). In 1896, New York State passed the first law for Certified Public Accountants (CPA), which Zeff (2003) “marked the beginning of an accredited profession of accounting in the United States” (pg 2). In Canada, the first association began in 1902 with the Dominion Association of Chartered Accountants (Buckstein, part 1 pg 2). Buckstein quoted John L. Carey, the author of a paper outlining the history of the accounting profession worldwide stated “the reason for creating a full-fledged professional organization was to distinguish skilled accountants of integrity from self-styled accountants whose competence had not been demonstrated” (pg. 2) As Zeff (2003) stated with the passage of the Securities Act of 1933 and the Securities Exchange Act of 1934 all publicly traded companies were now required to have their financials audited by independent CPA’s (pg. 4). This showcased the importance of having skilled and knowledgeable individuals produce verifiable and accurate information that the public (in all its forms) could rely upon. The combination of having professional accounting bodies and government legislations have attempted to establish
The fundamental duty of an external financial auditor is to form and express an opinion on whether the reporting entity’s financial statements are prepared in accordance with the relevant financial reporting framework. In discharging this duty, the auditor must exercise “reasonable skill, care and caution” (Lopes, J. in Kingston Cotton Mill Co 1896) as reflected in current legal and professional requirements.
At a glance, accounting might appear as a repetitive cycle of preparing and examining financial statements. However, a brief exposure to accounting has taught me how chaotic it can be for accountants. An accountant captures and represents the information of businesses. By reviewing financial operations, an accountant helps a business run efficiently. This profession can be intellectually stimulating and rewarding. After learning about accounting, I cannot help but be interested and desire to work toward a degree in accountancy. In my studies, I have learned accountants require a plethora of qualities to be successful. And to mature from a student to a professional, I must resolve to strengthen my weaknesses. There is much I must learn and achieve, but a degree in accounting is well worth the time spent.
The evolution of auditing is a complicated history that has always been changing through historical events. Auditing always changed to meet the needs of the business environment of that day. Auditing has been around since the beginning of human civilization, focusing mainly, at first, on finding efraud. As the United States grew, the business world grew, and auditing began to play more important roles. In the late 1800’s and early 1900’s, people began to invest money into large corporations. The Stock Market crash of 1929 and various scandals made auditors realize that their roles in society were very important. Scandals and stock market crashes made auditors aware of deficiencies in auditing, and the auditing community was always quick to fix those deficiencies. The auditors’ job became more difficult as the accounting principles changed, and became easier with the use of internal controls. These controls introduced the need for testing; not an in-depth detailed audit. Auditing jobs would have to change to meet the changing business world. The invention of computers impacted the auditors’ world by making their job at times easier and at times making their job more difficult. Finally, the auditors’ job of certifying and testing companies’ financial statements is the backbone of the business world.
Accounting aids the government and organisations in decision making for their financial stability. This numerical data helps solve real life problems and contributes to how the economy and businesses perform.
Accountants are becoming a needed job in the business industry and play a very important role in the success of many businesses. This job usually requires at least a bachelor’s degree in accounting and sometimes even a CPA (Certified Public Accountant). There are many other things that are needed to be considered before choosing this career. The job environment, education, skills, and benefits are just some of the many things that need to be thought through before considering this career.