DLLE- CAREER PATH PROJECT

Chartered Accountancy

With the rapid growth in economy, careers in finance and accounts have gained tremendous popularity and the most prestigious career option in this filed is that of Chartered Accountant. Chartered Accountancy is a dynamic, challenging and rewarding profession. All the countries have their own Accountancy Association which regulates the quality and quantity of the professionals in this field. Chartered Accountancy Course is a professional course in Accounting introduced in our country in 1949, with the enactment of the Chartered Accountants Act. The Institute of Chartered Accountants of India (ICAI) was formed the same year. This Institute is both an examining and a licensing body. It is the responsibility of the institute to conduct the Chartered accountancy (CA) Course. The course involves a blend of theoretical education and practical training which run concurrently for a period of three years and equips a student with knowledge, ability, skills and other qualities required of a professional accountant. The Chartered Accounting qualification equips Chartered Accountants with the perfect blend of learned principles and practical application giving them a noticeable advantage over their counterparts, and allowing them to add value to a business from their first day on the job.

1. WORK OF CHARTERED ACCOUNTANT

Chartered accountancy is the core of all business, be it big or small. A chartered accountants work involves auditing, taxation, accounting and financial planning. It can be a very challenging and rewarding job. Chartered Accountants display exceptional thinking and a superior grasp of business that truly marks them as unique in the marketplace. They work at some of the highest levels in business as chief financial officers, CEOs, senior managers and partners of some of the worlds largest organisations. A Chartered Accountants work area has become so wide and involves so many activities that sometimes a CA is perceived as almost an enigma. A CA can start career with auditing activities, which is the basic work area of a CA.Professional Chartered Accountants have the option to be appointed as auditors of companies. Chartered Accounts also can take private audit as their profession. From here a more fulfilling career in finance can be pursed after getting enough exposure of intricacies of finance. As an investment consultant and as a fund manager a CA can play the role of a top decision maker. CAs also work in project management and consultancy services They can also indulge in their private practice of audit and consultancy. The consultancy work is becoming more and more profitable now a days. It involves Financial Accounting, which includes operating accounts, supervising, controlling and organizing income and expenditure and coping with taxes. It involves verifying books and accounts and issuing certificate about the company's financial state. The other areas of consultancy are cost accounting that includes working out cost of a particular operation as well as minimizing costs and future forecasting. Tax Management is another type of consultancy taken up by Chartered Accountants. It requires minimization of incidence of direct and indirect taxes using legal means. Besides this, Chartered Accounts often indulge in providing consultancy services in the fields related to finance and accounts. They can efficiently provide services in areas like corporate law advice, project planning and finance, amalgamation and business advice. They can also serve as a management and corporate caretaker.

2. WORKING CONDITIONS AND ENVIRONMENT

Chartered accountants usually work in an office environment. They spend much of their time working at their computer and desk, but they may spend some of their time in meetings. Sometimes chartered accountants may be asked to travel to company branches, client offices, or another off-site workplace for the duration of a particular project. Chartered accountants typically work 40 hours a week.

3. QUALIFICATIONS NECESSARY FOR ENTRY AND SUCCESS

Degree of specific abilities required: Scholastic Ability: High Mechanical Comprehensive: Average Artistic: Average Verbal: Very High Physical: Average Manual Skill: Average Musical: Average Numerical: Very High Scientific: Average Chartered Accountants set themselves apart through their:

Superior analytical thinking Ability to solve complex problems Highly developed communication and technical skills Dedication to completing work to the highest standard Commitment to self-improvement and development Ambition to achieve the best for their clients Skills and competencies required: A CA must have certain skills and competencies which should mirror the professional knowledge, ethics, attitude and skills of the individual. There are two groups of competencies which: a. Specific competencies- Finance, taxation, assurance, performance measurement and reporting, risk management and governance. b. Pervasive quality and traits- professional skills like problem solving and interaction, professionalism, and ethical behavior, personal attributes like talking initiative and adding value, accountability and adaptability to change.

4. PREPARATION NEEDED

Entry to the Chartered Accountancy Profession is primarily through the CPT Scheme for 10+2 Students who have to qualify the Common Proficiency Test. Direct Entry Scheme has been introduced from August 2012 for Graduates and Post Graduates with required percentage of marks and Intermediate Pass of the Institute of Cost Accountants of India and the Institute of Company Secretaries of India.

CPT Course students who have qualified CPT has to Register for the Intermediate (IPC) Course and Qualify either Group I or Both Groups of Intermediate (IPC) Examination. While students are required to successfully complete the (a) 100 Hours ITT Course and (b) Orientation Course before joining Practical Training of three years, these courses can be pursued even before qualifying the Intermediate (IPC) Examination. Students can join Practical Training of 3 years after qualifying IPCC Group-I or Both Groups.

Such students are required to undergo (a) GMCS-I Course during their first year of their Practical Training, (b) GMCS-II Course in the last 18 months of their Practical Training and (c) Advanced ITT Course.

Direct Entry Scheme to Chartered Accountancy Course for Commerce Graduates/ Post Graduates with 55% of marks, Other Graduates/ Post Graduates with 60% Marks and Intermediate Examination Pass students of The Institute of Cost Accountants of India or Institute of Company Secretaries of India is available from August 1, 2012.

Study Course concurrently from the date of registration for the Intermediate/ IPCC course. All students undergoing Practical Training are required to undergo (a) GMCS-I Course during the first year of Practical Training, (b) GMCS-II Course between 18th month and 36th month of Practical Training and (c) Advanced ITT Course during the last year of Practical Training. Students can appear in the Final Examination in the last six months of their Practical Training and qualify CA Final Examination, to become a Chartered Accountant. Provisional registration for students pursuing final year graduation is allowed.

Intermediate level qualified candidates from the Institute of Cost Accountants of India or the Institute of Company Secretaries of India can Register for the Intermediate (IPC) Course Group I or Both Groups through the Direct Entry route with the option to register for the Accounting Technician Course (ATC), if they so like. Students have to undergo eight months of Study Course from date of registration for the Intermediate (IPC) Course and have to pass either Group I or Both Groups of the Intermediate (IPC) Examination and then successfully complete (a) 100 Hours ITT Course; and (b) Orientation Course before joining Practical Training of three years. All students undergoing Practical Training of 3 years are required to undergo (a) GMCS-I Course during the first year of Practical Training, (b) GMCS-II Course between 18th and 36th month of Practical Training and (c) Advanced ITT Course during the last year of Practical Training. Students can appear in the Final Examination while serving last six months of Article Training on or before the last day of the month preceeding the month in which the examination is to be held. Students are required to complete three years of Practical Training and qualify CA Final Examination, to become a Chartered Accountant. 5. EMPLOYMENT AND ADVERTISEMENT Job Prospects, Employment Outlook and Career Development The employment outlook for chartered accountants is very good. According to the United States Bureau of Labor Statistics, there will be a great increase in the number of accountant and auditor jobs from 2008 to 2018. In addition, professionally certified accountants, such as chartered accountants and Certified Public Accountants, are expected to have the best employment prospects of all. Companies will be contending with new regulations and a greater need for corporate financial transparency as a result of past corporate, economic, and accounting scandals.

Chartered accountants looking to advance should look for increasingly senior-level positions in larger companies and corporations, perhaps eventually as a Chief Financial Officer. 6. ESTIMATED EARNING At first: 6,00,000 p.a. After Five years: 18,00,000 p.a. After future Date: Subjective 7. OUTLOOK FOR THIS OCCUPATION Accountants are employed to examine and prepare financial records. They are the ones who make sure that the tax returns are calculated accurately and the tax payments are done in time to avoid legal consequences. A chartered accountant is someone who has earned the prestigious accountant degree and is member of a professional accounting organization. In United States, chartered accountants are known as Certified Public Accountants (CPA). Chartered accountants or CPAs are employed in a variety of institutions like public firms, large corporations, accounting firms, or at times they will be self-employed. It is the duty of a chartered accountant to make sure that all the papers prepared by an institution regarding its financial matters comply with the prevailing rules and regulations. It is also their duty to calculate the tax returns of a company and they have to make sure it is properly paid on time. They maintain organized financial records. They analyze the financial implications of various steps taken by the institution and will provide the best recommendations which will help in reducing the taxes. They are called in for making recommendations for reducing costs and for increasing profits in various projects undertaken by a firm. The job of making financial documents and assessing them is a very interactive work. They are responsible for what they find and should be able to support their claims about various things related to finance of the institution. This needs them to perform face to face meetings with the management, clients, and various partners. Most of these accountants will be specialized in some sort of business as most of the organizations specialize in a particular financial business field. If there are multiple major fields of business that are functioning within a company, then there will be a separate accountant for each wing. The specialization in accounting includes various services like assurance, risk management, healthcare etc. Some of those persons who are having an accounting degree are needed in universities for teaching. Usually there are four main types of accountants working in various financial fields. One is the public accountant. They include the broad range of accountants that we see commonly. They work in companies as general accountants for auditing, tax calculation, accounting, and for consulting tasks. Then the second type of accountants is the management

accountants who will be working privately for a management for assessing their profits. Then we have the government accountants and the internal auditing accountants. The world economy is indicating a prosperous future outlook in accounting related fields. The demand for accounting expertise will increase, and more accountants and auditors will be required to perform the job of books, organize taxes, and give management advice. Amendments in law related to taxes, financial reporting standards, business investments, mergers, and other financial events are indication supporting the idea of creating great numbers of job opportunities and openings. Trends in international business and trade, international mergers and acquisitions will attract youths to choose this career. 8. RELATED OCCUPATION Certified Internal Auditor International Accountant Certified Public Accountant Chartered Certified Accountant Certified General Accountant Certified Management Accountant Certified Accounting Technician Certified International Investment Analyst Certified Treasury Professional Chartered Certified Accountant Chartered Global Management Accountant

9. ADVANTAGES The degree of a chartered accountant is one of the most prestigious degrees in the world. It is not easy to become a chartered accountant considering the difficult courses and examinations that he is supposed to undergo. In fact a chartered accountant is considered to be a cut above the other accountants as he has completed a rigorous two years post graduate program along with the work experience at the same time while pursuing his studies. The chartered accountant is the most in demand finance professional in the world today. Some of the benefits that a chartered accountant enjoys are: a) A chartered accountant is one of the most sought after professional in the finance industry. There is a great dearth of young accounting professionals in the financial domain. It would provide you with leverage as the qualification of a chartered accountant is the highest and the toughest qualifications to have. Being a chartered accountant can provide you with a whole lot of opportunities. b) A chartered accountant would always have more opportunities to work overseas as the degree is recognized by a large of number of nations.One can get a head start against the other accountants as he can work in any of the member countries likeCanada, US, UK, Hong Kong, New Zealand and many more.

c) According to a recent survey the global competition for the accountants is increasing with every passing day. The degree of a chartered accountant would also always hold one in good stead. d) The financial expertise as well as the business knowledge can make the CA a business leader in his country. e) The in depth experience as well as the rigorous training that a CA undergoes can help him in entering the higher echelons of management. Some of the CEOs of the world's biggest companies are all chartered accountants. There are many other benefits that can be accrued to a chartered accountant. Being a globally recognized qualification, a chartered professional is the perfectly suited qualification on a global scale. The training that he undergoes prepares him to face any situation howsoever complex and difficult it might be as far as the finances of an organization are concerned. Some of the key areas that a CA works on are checking the veracity of the company's financial reports, bookkeeping, advising on tax and many other responsibilities. 10. DISADVANTAGES

It can be a stressful job as the responsibilities are enormous and there is no scope for any errors. b. Regular update of knowledge is a must otherwise it may lead to stagnation in career. c. The work itself can be tedious and boring if you are closing books or focusing primarily on financial reporting or some other routine that is the same each month. Doing financial analysis and project based work may be more rewarding for some people as there are some opportunities for more creativity. d. The hours will definitely be long if you are working in public accounting as a tax accountant or auditor and they can be long in private industry if you are crunching on a deadline or it is budget season.
a.