C. A. - An evergreen Career Option
Chartered Accountancy has remained to be one of the most sought after career options since time immemorial and it still exists to be one
By Jyoti K Singh
Chartered Accountants, commonly abbreviated as C.A. are assiduous and intellectual beings. So, to say, being industrious and intelligent are the most essential traits an aspiring CA must possess. These matched with a little flair for calculations can make one completely befit the profession. Needless to mention, that a CA holds high esteem in the society and does earn handsomely.
Each country has its own accounting association, which is a governing body that regulates the qualitative and quantitative standards of these professionals. Institute of Chartered Accountants of India (ICAI), set up under 1949 act of Chartered Accountancy acts as a governing body for this profession in our country.
A career in chartered accountancy offers a high platform to an individual for dealing with gigantic corporate houses. This career option seems to be present since time immemorial in the Indian education sector and with ever increasing business volumes; it has now become one of the most sought after career option thereby making the industry to understand the importance of these professionals.
There are certain stages that an aspirant has to pass for becoming a qualified CA. These stages include:
- Common Proficiency Test that adjudges the aspirants on their eligibility for the course. This in simpler terms is the entrance test only for the course.
- PE 1 stands for Professional Competence Course that is to be taken up by the CPT qualified people. The three years article ship also forms an integral part of this stage only.
- PE 2 is the third stage that commences post PE 1 and it is at the completion of this stage only that the final exam is conducted.
After crossing these stages, one needs to undergo a practical training of two and a half years post, which a 15 days course on General Management and Communication skills follows and after that only, an aspirant becomes eligible to apply for an ICAI membership. It is the membership approval of ICAI only that distinguishes a chartered account from an ordinary one.
Courses Offered
One of the most unique aspects of this ancient study is the perfect amalgamation of both theoretical knowledge and practical training. The preliminary exams test the theoretical knowledge of the students whereas the training part is aimed at adjudging an aspiring chartered accountant on the practical aspects of the profession.
Examination Schedule
For everyone whosoever wants to become a chartered accountant, it is mandatory to first get registered with the Institute of Chartered Accountants of India. It is only after this registration that they become eligible for appearing in the examination.
Each level of study normally is of 10 months whereas the exams are held twice a year.
Test Details
The very first stage of the entrance test for CA aspirants is better known as Common Proficiency Test. Premeditated on the prototype of other entrance exams for courses like medical, engineering, and so on; the test normally lasts four hours. These four hours are further divided into two sessions each of two hours duration. The questions of this test are in the objective type format only. A peculiar feature of the test is its stipulation of supple negative marking for picking wrong options.
The Renaissance
CPT has replaced PE I since Sep. 13, 2006. Another term Professional Competence Course has also surrogated PE II. This change has been brought home mainly due to the advancement of the syllabus.
The last swagger of the ladder for becoming a Chartered Accountant is the Final Course. This course is intended to impart aficionado acquaintance with concepts like taxation, financial reporting, corporate laws, system control, strategic finance, audit, advanced management accountancy and so on.
Benchmarks achieved
CA being one of the most calculative degree courses requires constant regular up gradation. To follow this only an updated syllabus is therefore adapted by every institute offering the said course. Needless to mention, the course is completely in compliance to the International Education Standards as issued by IFA, the International Federation of Accountants.
To match with this only, a new scheme of study has been adopted that showcases an enhanced period of articled training. The duration of this training has been increased to 3½ years from an initial period of 3 years. Another addition under the scheme has been the addition of 100 hours of upgraded IT training to replace 250 hours of essential Computer Training that was valid till December 2006.
Career opportunities
Opportunities galore for qualified CAs. Upon successful completion of their course, an individual can either start practicing on his/her own or can join any private or public sector undertaking.
Yet, some of the fields a qualified CA can venture into are listed as under -
- General Practice
- Risk Management Professionals wherein the CAs would be required to measure the probable risks for their employers or clients and would thence be required to design an effective control system for countering those risks.
- Assurance and performance measurement services
- Change management: These professionals are needed even for making management changes across all levels like ownership, structural, and operational levels.
- Value creation for the stakeholders
- Strategic management, and
- Finance
Financial administration greatly demands the expertise of a CA. This can be put to use not only for capital markets but also comes handy in several other levels like-
- Financial Regulation
- Financial Reporting
- Tax compliance
- Tax Advice and Planning
- Corporate Finance
- Insolvency and corporate Recovery
- Management consultancy, and so on.
So, to say; here is one of the most customary career option, the craze for which was there in the past, is present now, and is bound to remain forever.
Lalit Kumar (FCA, FCS), Managing Director, GAAP Education
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A rank holder Chartered Accountant and Company Secretary, CA Lalit Kumar has over 24 years of rich professional experience. He always combined his entrepreneurial thinking with managerial capabilities and is considered one of India's foremost management experts. He has been involved with many successful ventures in India and the Middle East along with being the
President of India's second largest hypermarket chain with a 3 million sq ft. retail space, with about 200 retail stores pan India, and staff strength of over 12,000 employees. Known for his foresight in ventures that have yielded significant business success, Kumar enjoys great reputation in corporate, financial and education world for his at par innovative skills.
He was probably the pioneer in establishing the first Retail Academy in India in the year 2001. Amidst setting up new ventures, and identifying new trends, CA Lalit Kumar always finds time to motivate his team and form partnerships with investors and trade partners. A passionate thought leader and well-recognised expert in management and finance, he keeps participating in various forums of Confederation of Indian Industry (CII), Federation of Indian Chambers of Commerce and Industry (FICCI), The Institute of Chartered Accountants of India (ICAI).
Speaking to 'Career Choices' on choosing Chartered Accountancy as a career, this is what he shared -
How well do you think can chartered accountancy as a career can help one realise their potential?
Chartered accountancy is a very practical course. The course curriculum is so well designed that one starts learning a lot right from day one but the most interesting or rather remarkable part is the article-ship. These three years actually transform an individual completely as during this time, one is not only kept abreast with the latest industry updates but also acquires techno-functional skills like conducting various forms of audits etc.
It is at this juncture only that the foundation of a future CFO is laid down. A CFO who can easily fit in the role of a CEO very soon for analysis forms an integral part of the course. I can quote my own example here. I was appointed as a CFO in D.S. Group of Companies in 1998. And very soon, I took over as a CEO. Therefore, as far realising your potential goes, if an individual has it, s/he is sure to go a long way.
What should be the deciding criteria for a student while choosing a particular branch of study?
Inclination towards a particular subject should be the only criteria as that can help a student excel in a particular field of study. Many times it does happen that students choose a particular subject under parental or peer group pressure. I would like to implore students to stop doing that for it is your career, do not go by what mom wants you to opt for or choose subjects your friend has taken. Explore your options thoroughly and then settle down after lots of research as choosing a career is a lifetime affair.
Have you observed any change in the quality of CAs over the past few years?
Yes, the quality has improved quite considerably. And this change has become possible due to a lot of reasons. First of all, the quality parameters at ICAI have been transformed. Secondly, nowadays, the companies that these youngsters visit are far better than the traditional ones we had to work in. The modern corporate culture has hence imbued some 'management' skills in our accountants who have got better communication skills, are far more presentable and possess deeper business sense. Needless to say, this polished class of accountants scores much higher than their predecessors.
What according to you can become the biggest challenge for an aspirant and how can they cope up with it?
Managing time can pose to be the biggest challenge. And that is because students aspiring to become a CA need to perform multiple functions. They have to prepare for their exams along with managing their work place pressures during their apprentice. To add more, they even need to remain updated with the market trends and business analysis as well.
All this may leave an individual quite confused giving way to an astute requirement of efficient time management skills.
In the three years of article ship; the aspiring CAs are paid a very meagre stipend. Do you think that can be a probable cause for students to turn to management courses that offer promising dividends.
I do not think so. These years of the article ship as I said earlier are the most formative years for it is here that one learns the techniques of the trade. And if one is keen on learning something, money should not matter. Those who are passionate about this career would naturally know the value of these years once they come out of this process.
Describe a CA as an Entrepreneur.
Entrepreneurship is something that would suit the best to a CA for s/he would be able to analyse all the aspects of any new enterprise in advance working upon the costing and expected profits. It is therefore only that enterprises set up by professional CAs work out much better.
What message would you like to leave for the aspiring CAs?
I would like to reiterate that chartered accountancy is a good career option. It is the only professional education that comes almost at a zero cost yet the opportunities it opens up are vast. Hence, more and more students must take up this field as a career. |
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