Get documents about "Slide 1 - Cerritos College
Document Sample
The World Of Accounting
The Four Sectors of Accounting
• Public
– CPA Firms
• Private
– Any Commercial Businesses
• Government
– IRS*Franchise Tax Board*City/State Gov’t
• NGO’s: Non-governmental Organizations
– Charity & Volunteer Organizations
“The Big Four” of Public Accounting
• “The Big Four” are the largest international
accounting firms around.
– KPMG
– Deliotte-Touche
– Ernst & Young
– Price Waterhouse Cooper
“Second Tier” of Public Accounting
• National/International accounting firms
– Grant Thorton (5th)
– BDO Seidman (6th)
– McGladrey & Pullen (7th)
– Crowe Group (8th)
– Moss Adams
Other levels of Public Accounting
• Regional Accounting Firms
• Local firms
• Sole Practitioner
Jobs Performed by Public Firms
• Tax Filing
• Auditing
• Computer Information Systems (CIS)
• Management Consulting
• Litigation Support
• Forensic Accounting
Certified Public Accountant (CPA)
• The highest designation available in the
Accounting profession.
– A “CPA” designation is worth more the higher
the level of accounting it is gained at.
• A Public, Big Four “CPA” designation is worth
more than a “CPA” designation earned at a small
firm.
What does it take to be a CPA?:
• Pathway 2 (After Jan. 1, 2014 this will be the ONLY
way to licensure in California)
• If you are licensed under this pathway, the majority
of other states will recognize your license:
• A bachelor’s degree;
• 24 semester units in accounting-related subjects;
• 24 semester units in business-related subjects;
• 150 semester units (or 225 quarter units) of education;
• Passing the Uniform CPA Exam;
• One year of general accounting experience supervised
by a CPA with an active license; and
• Passing an ethics course.
The CPA Exam
• The CPA Exam consists of four subjects:
• Auditing & Attestation: AUD – 4.5 Hours
• Financial Accounting & Reporting: FAR – 4 Hours
• Regulation: REG – 3 Hours
• Business Environment & Concepts: BEC – 2.5 Hours
Job Titles in Public Firms
• Partner 10+ years ($500,000 plus)
• Principle-Senior Manager 8 + years
• Manager - 5 years ($80 – $110,000)
• Senior 3-5 years ($58 - $74,000)
• Staff Accountant 1-3($50,000 /yr)
• Firms are looking for a 3.2+ GPA at an accredited 4-year
college and involvement in college extracurricular
programs.
– Public firms guarantee advancement for good
accountants.
Private Accounting
• Private Accounting covers the accounting
done by any commercial company from
large corporations such as Microsoft, GE,
Best Buy, or Wal-mart down to simple
small businesses.
Job Titles in Private Accounting
• Chief Financial Officer (CFO)
• Controller
• Assistant Controller
• Accounting Manager
• Accountant
• The education required to work at a
starting level is lower than that of Public
Firm.
• Support Positions
•
• Full Charge Bookkeeper $ 40,000 - $ 45,000
• Bookkeeper $ 38,000 - $ 42,000
• Senior Clerk $ 34,000 - $ 40,000
• Payroll Clerk $ 28,000 - $ 36,000
• AR/Credit & Collections Clerk $ 24,000 - $ 34,000
• Accounts Payable/Billing Clerk $ 24,000 - $ 34,000
• Accounting Clerk $ 24,000 - $ 34,000
• Staff Positions:
• Senior Financial Analyst $ 75,000 - $ 80,000
• Financial Analyst $ 65,000 - $ 70,000
• Credit Analyst $ 60,000 - $ 65,000
• Sr. Cost Acct./Analyst $ 75,000 - $ 85,000
• Cost Accountant/Analyst $ 65,000 - $ 75,000
• Revenue Accountant $ 65,000 - $ 70,000
• Tax Accountant $ 70,000 - $ 85,000
• Accounting Supervisor $ 60,000 - $ 75,000
• Internal Auditor $ 70,000 - $ 80,000
• Senior Accountant $ 60,000 - $ 75,000
• Staff Accountant $ 40,000 - $ 45,000
• Junior Accountant $ 32,000 - $ 35,000
• Assistant Controller/
• Accounting Manager $ 80,000 - $ 90,000
• Cost Accounting Manager $ 80,000 - $ 85,000
• Tax Manager $ 80,000 - $ 90,000
• Audit Manager $ 75,000 - $ 80,000
• SEC Manager $ 75,000 - $ 80,000
• Finance Manager $ 75,000 - $ 80,000
• Payroll Manager $ 65,000 - $ 70,000
• Credit/Collections Manager $ 65,000 - $ 75,000
Executive Pay
• Southern California/South Bay Area [2007]
•
• POSITION SALARY RANGES
• Executive
• CFO $ 150,000 - $ 250,000 +
• VP Finance $ 120,000 - $ 135,000 +
• Director - Audit $ 110,000 - $ 130,000 +
• Direc. - Finance $ 110,000 - $ 130,000 +
• Treasurer $ 100,000 - $ 120,000 +
• Controller $ 95,000 - $ 115,000 +
Government Accounting
• Government Accounting consists of
agencies which work to maintain national
(and international) accounting laws for
businesses and individuals and to
maintain government finances.
– Internal Revenue Service (IRS)
– State Board of Equalization
– Franchise Tax Board
Benefits of Gov’t Accounting Jobs
• Consistent 8 AM to 5 PM Work Schedule
• Benefits
– Medical
– Dental
• Vacation
Non-Governmental
Organizations
• Organizations working for charity and
community purposes.
• .
Non-Governmental Organizations
• Examples:
– Boy/Girl Scouts
– Big Brothers/Big Sisters of America
– Feed the Children
– Habitat For Humanity
– Meals on Wheels
– American Red Cross
– American Association on Mental Retardation
– NAACP
– UNICEF
– World Wildlife Fund
North American Examples
Alliance for Democracy in Iran
American Cancer Society
American Diabetes Association
Desert Springs Action Committee
Earth First!
EnviroLink Network
Environmental Defense
Friends of the Earth USA
Global Exchange
Gray Panthers
Hispanic Council for Reform and Education Options
Human Rights Watch
International Republican Institute
National Organization of African-Americans in Housing
Natural Resources Defense Council
Rainforest Action Network
Safari Club International
Sierra Club
Institute for Justice and Democracy in Haiti
C2
Opportunities in Accounting
Managerial Taxation
Financial
•General accounting •Preparation
•Preparation •Cost accounting •Planning
•Analysis •Budgeting •Regulatory
•Auditing •Internal auditing •Investigations
•Regulatory •Consulting •Consulting
•Consulting •Controller •Enforcement
•Planning •Treasurer •Legal services
•Criminal •Strategy •Estate plans
investigation
•Lenders •FBI investigators
•Consultants •Market researchers
•Analysts •Systems designers
Accounting- •Traders •Merger services
•Directors •Business valuation
related •Underwriters •Forensic accountant
•Planners •Litigation support
•Appraisers •Entrepreneurs
1-22
C2
Accounting Jobs by Area
Private
Public accounting
accounting 60%
24%
Government,
not-for-profit,
& education
16%
1-23
California’s Public Education
System
• Two tiered approach:
• 1) University of California’s
– Top 10% of students
– Focuses on research
– Grants PhD's, doctorates, law schools and medical
schools
• 2) California State Universities
– Focuses on teaching
Structure of Higher Education
Professional
Degrees
(e.g., MD, DDS,
JD, DVM)
Doctorate
Master’s Degree
Senior level (90+ units) Bachelor’s Degree
Upper Division
(120+ units)
Coursework
(University) Junior level (60-89 units)
Lower Division Sophomore level (30-59 units) Associate’s Degree
Coursework (60+ units)
(Community College)
Freshman level (1-29 units)
Degrees:
Bachelor’s Degree – 4 years (SAT)
Master’s Degree – 2 years (GRE/GMAT)
MBA (Masters of Business Admin) (GMAT)
Phd. (Doctor of Philosophy) – 4 years (GRE)
Law Degree (Juris Doctorate) – 3 years (LSAT)
M.D. (Medical doctor) – 4 years (MCAT)
DDS (Doctor of Dental Surgery) – 4 years (DAT)
DVM (Doctor of Veterinary Med) – 4 years (VCAT)
The UC’s:
• Berkeley
• Davis
• Irvine
• Los Angeles
• Merced
• Riverside
• San Diego
• San Francisco
• Santa Barbara
• Santa Cruz
The “Cal States”
• California State University Bakersfield
• California State University Channel Islands
• California State University Chico
• California State University Dominguez Hills
• California State University East Bay
• California State University Fresno
• California State University Fullerton
• Humboldt State University
• California State University Long Beach
• California State University Los Angeles
• California Maritime Academy
• California State University Monterey Bay
• California State University Northridge
• California State Polytechnic University, Pomona
• California State University Sacramento
• California State University San Bernardino
• San Diego State University
• San Francisco State University
• San Jose State University
• California Polytechnic State University, San Luis Obispo
• California State University San Marcos
• Sonoma State University
• California State University Stanislaus
Private Schools
• Biola University
• California Institute of Technology
• Chapman University
• Claremont Graduate School
• Claremont McKenna College
• Harvey Mudd College
• Pitzer College
• Pomona College
• Loyola Marymount University
• Occidental College
• Santa Clara University
• Stanford University
• University of Redlands
• University of San Diego
• University of San Francisco
• University of Southern California
Best Schools in California
• Stanford • Santa Clara
• Cal Tech • Loyola
• Harvey Mudd • Cal Poly SLO
• Pitzer College • UC San Diego
• Pomona College • UC Santa Barbara
• Claremont McKenna • UCLA
• University of San • USC
Diego • Berkeley
• Occidental College
Best Finance Programs
• 1 University of Pennsylvania
• 2 New York University
• 3 University of Michigan
• 4 University of Texas
• 5 University of California
• 6 Massachusetts Institute of Technology
• 7 University of North Carolina
• 8 University of Virginia
• 9 Indiana University
• 10 Carnegie Mellon University
• University of Illinois,
Best International Business
• 1 University of South Carolina--Columbia Columbia, SC
• 2 University of Pennsylvania Philadelphia, PA
• 3 New York University New York, NY
• 4 University of Michigan--Ann Arbor Ann Arbor, MI
• 5 University of Southern California Los Angeles, CA
• University of Texas--Austin Austin, TX
• 7 University of California--Berkeley Berkeley, CA
• 8 Georgetown University Washington, DC
• 9 University of Washington Seattle, WA
• 10 Temple University Philadelphia, PA
Best Marketing Programs
• 1 University of Pennsylvania Philadelphia, PA
• 2 University of Michigan--Ann Arbor Ann Arbor, MI
• 3 University of Texas--Austin Austin, TX
• 4 University of North Carolina--Chapel Hill, NC
• 5 University of California--Berkeley Berkeley, CA
• 6 Indiana University--Bloomington Bloomington, IN
• 7 New York University New York, NY
• University of Florida Gainesville, FL
• 9 University of Virginia Charlottesville, VA
• 10 University of Wisconsin--Madison Madison, WI
Best Accounting Programs
• 1 University of Texas--Austin Austin, TX
• 2 University of Illinois--Urbana-Champaign,IL
• 3 University of Pennsylvania Philadelphia, PA
• 4 Brigham Young University--Provo Provo, UT
• 5 University of Southern California Los Angeles, CA
• 6 University of Michigan--Ann Arbor Ann Arbor, MI
• 7 University of Notre Dame Notre Dame, IN
• 8 Indiana University--Bloomington Bloomington, IN
• 9 New York University New York, NY
• 10 Michigan State University East Lansing, MI
Best Real Estate Programs
• 1 University of Pennsylvania Philadelphia, PA
• 2 University of Wisconsin--Madison Madison, WI
• 3 University of Georgia Athens, GA
• 4 New York University New York, NY
• University of California--Berkeley Berkeley, CA
• 6 University of Florida Gainesville, FL
• 7 University of Southern California Los Angeles, CA
• 8 University of Connecticut Storrs, CT
• University of Illinois--Urbana-Champaign, IL
• 10 University of Texas--Austin Austin, TX
Best Logistics/Supply Chain
Management
• 1 Massachusetts Institute of Technology Cambridge, MA
• 2 Michigan State University East Lansing, MI
• 3 Pennsylvania State University--University Park, PA
• 4 Arizona State University Tempe, AZ
• 5 Ohio State University--Columbus Columbus, OH
• 6 Carnegie Mellon University Pittsburgh, PA
• 7 University of Tennessee Knoxville, TN
• 8 University of Maryland--College Park, MD
• 9 Purdue University--West Lafayette West Lafayette, IN
• 10 University of Texas--Austin Austin, TX
Best Values (Most Discounted)
• Harvard University
• Cambridge, MA Rank 1 Percent need-based grants: 51 % discount from total cost: 68 %
• Princeton University
• Princeton, NJ Rank 2 Percent need-based grants: 53 % discount from total cost: 66 %
• Yale University
• New Haven, CT Rank 3 Percent need-based grants: 42 % discount from total cost: 64 %
• Massachusetts Institute of Technology
• Cambridge, MA Rank 4 Percent need-based grants: 61 % discount from total cost: 59 %
• Stanford University
• Stanford, CA Rank 5 Percent need-based grants: 42 % discount from total cost: 63 %
• California Institute of Technology
• Pasadena, CA Rank 6 Percent need-based grants: 52 % discount from total cost: 56 %
• Dartmouth College
• Hanover, NH Rank 7 Percent need-based grants: 50 % discount from total cost: 60 %
• Columbia University
• New York, NY Rank 8 Percent need-based grants: 46 % discount from total cost: 60 %
• University of North Carolina--Chapel Hill
• Chapel Hill, NC Rank 9 Percent need-based grants: 35 % discount from total cost: 50 %
• Rice University
• Houston, TX Rank 10 Percent need-based grants: 34 % discount from total cost: 53 %
• University of Pennsylvania
• Philadelphia, PA Rank 11 Percent need-based grants: 40 % discount from total cost: 55 %
• Duke University
• Durham, NC Rank 12 Percent need-based grants: 38 % discount from total cost: 55 %
• University of Chicago
• Chicago, IL Rank 13 Percent need-based grants: 43 % discount from total cost: 53 %
Other Majors – follow what you
love or enjoy:
• Sports Management
• Entrepreneurship
• Hotel/Restaurant Management
• Construction Management
• Logistics/Supply Chain Management
• Transportation Management
Real Life Example
University of Southern California California State University, Fullerton
#5 Accounting Program in the Country Not in top 30/50/75 list?
Year 1 52,000 Year 1 24,000
Year 2 52,000 Year 2 24,000
Total Cost 104,000 Total Cost 48,000
Apparent Savings $ 56,000
The student kept a very good grade point average of 3.4. In my opinion, had this
student gone to USC, they would have had the same grade point average.
They did not get hired at a large public accounting firm or any other. Took a job in
private industry for roughly $43,000 had they gone to USC $ 50,000
Income difference per year $ 7,000
Years it would take to make it worth USC 8 years ($56,000/$7,000 income)
Longer View:
So, here's what happens with you look long term. That student
would get raises of 4 to 5% per year if fortunate:
Current Job Large CPA Firm (8 to 14%) Diff Cumul.
Year 1 $ 43,000 Year 1 $ 50,000 $ 7,000 $ 7,000
Year 2 $ 44,935 Year 2 $ 56,000 $ 11,065 $ 18,065
Year 3 $ 46,957 Year 3 $ 62,720 $ 15,763 $ 33,828
Year 4 $ 49,070 Year 4 $ 70,246 $ 21,176 $ 55,004
Year 5 $ 51,278 Year 5 $ 78,676 $ 27,398 $ 82,402
Year 6 $ 53,586 Year 6 $ 88,117 $ 34,531 $ 116,933
Year 7 $ 55,997 Year 7 $ 98,691 $ 42,694 $ 159,627
Year 8 $ 58,517 Year 8 $ 110,534 $ 52,017 $ 211,644
Year 9 $ 61,150 Year 9 $ 123,798 $ 62,648 $ 274,292
Year 10 $ 63,902 Year 10 $ 138,654 $ 74,752 $ 349,044
Also, it is not uncommon for CPA's to leave after 3 years and receive
in the ball park of of $75,000 to $80,000.
What’s Important?
Grades, Grades, Grades, Grades.
Extracurricular activities
School clubs
School government
Church involvement
Community involvement
Personal Statement:
Great ones don't try to impress,
they show who YOU are….
Need to be well written
Recommendations.
NOTHING is nearly as important as your GRADES !
Two Important Goals:
• Dean’s List • President’s List
• 3.5 grade point average • 4.0 grade point average
12 or more units… 12 or more units…
• At excellent schools, Analytical skills, and
you need to be a hard writing skills…defined by
worker and have me, teachers that push
EXCELLENT and those universities.
Food for thought…
• Pick the major that you most ENJOY and
take it at absolutely the BEST school you
can get into….
• A Harvard/UC Berkeley/Claremont College
graduate in Art History can interview at
Boston Consulting Group, while no one from
Cal State Bernardino can.
Great Schools are LESS
expensive
• I promise you, great schools WANT great
students.
• Great schools (especially PRIVATE) have
lots of money and love community college
students, that are first generation students,
with EXCELLENT grades
• I know of very successful families whose
children get scholarships for academics..
Other things to consider:
• Facebook / My Space Pages
• Email Addresses - hard to make go away
• How to Dress
• Business Etiquette
• Hard work
• Acknowledge fears, then face them
Where do transfer students fit in?:
• GPA of 3.7 and up: you can and should apply anywhere
and everywhere…UCLA, Berkeley, USC, NYU…..
• GPA 3.4 to 3.69…you can and should apply everywhere,
but might have to “back door” a few places.
• GPA 3.0….can get into many EXCELLENT schools,
might have to “back door” at UCLA and others.
• GPA high 2’s…..California State University, Northridge
has an EXCELLENT accounting program
• Miscellaneous Items:
• You have basic health care through
Cerritos College health center..
Need slide on student perspective of cost of
college vs future income and a time line
that 24 or whatever isn’t old
Structure of Higher Ed
Professional
Degrees
(e.g., MD, DDS,
JD, DVM)
Doctorate
Master’s Degree
Senior level (90+ units) Bachelor’s Degree
Upper Division
(120+ units)
Coursework
(University) Junior level (60-89 units)
Lower Division Sophomore level (30-59 units) Associate’s Degree
Coursework (60+ units)
(Community College)
Freshman level (1-29 units)
Degree Components
Whether an Associate’s or a Bachelor’s
degree, you will need to meet a minimum
unit requirement. Units will come from
these main components:
GENERAL MAJOR
General ELECTIVES
EDUCATION Education
A little bit of
everything to
+ A specific area of
study in which to
+ Additional courses
if needed to meet
become well- gain more expert/ the minimum unit
rounded specialized requirement
knowledge
Degree Components
Associate’s Degree: 60+ units
General Major
General Electives
Education (Certificate of
Education
Achievement;
(Plan A) + + As needed
Transfer Program)
18+ units 18+ units
Bachelor’s Degree: 120+ units
General Major
General Electives
Education (www.assist.org)
Education
(Plan B or C) + + As needed
Approx. 30-80+
34-39+ units units
• Scholar’s Honor Program
• iFaclon
• Learning Resource Center
• Scholarships
• Financial Aid
• AB 540
• Evaluation Test
