In the field of commerce and taxes, there exist several courses that offer different levels of complexities for a certain course.
These courses are vivid and offer a number of opportunities in the field of finance, taxes, auditing, accounting etc.
People get opportunities to work in companies that work at different levels depending on the course type and structure the person has studied.
Various countries offer different courses on different levels. Two of such are 1. CPA and 2. ACCA.
Key Takeaways
- CPA (Certified Public Accountant) is a professional accounting qualification in the United States, while ACCA (Association of Chartered Certified Accountants) is a global qualification.
- CPA candidates must pass the Uniform CPA Examination and meet state-specific requirements, whereas ACCA candidates complete 13 exams and gain relevant work experience.
- CPA focuses on US Generally Accepted Accounting Principles (GAAP) and taxation, while ACCA covers International Financial Reporting Standards (IFRS) and various aspects of global finance.
CPA vs ACCA
The CPA is an accounting certification that focuses on finance and on the business standards of the US. The CPA is well recognized in the US-based firms. However, The ACCA is internationally recognized due to its wider coverage of essential topics related to both finance and accounting.
The American Institute of Certified Public Accountants offers a course that includes the study of auditing, taxation, finance controlling, finance analysis, accounting etc. is known as the certified public accountant.
The course guides the student regarding various accounting subjects. The duration of the course is eighteen months.
The ACCA is the Association of Certified Chartered Accountants. This highly professional accounting body was founded on 30 November 1904, and its headquarters is located in London, England.
The association engages in training and educating members interested in subjects like accounting, taxation, auditing, finance etc.
Comparison Table
| Parameters Of Comparison | CPA | ACCA |
|---|---|---|
| Known as | Certified Chartered Accountant | Association of Certified Chartered Accountants |
| Type | It is a type of degree. | It is a type of Association. |
| Work | The fieldwork is rated to the license that enables a degree holder to facilitate his accounting service in the public. | The fieldwork in the courses offered by the association include inspecting the accounting services that are offered to various entities, public and private. |
| Duration | 18 months | 2-3 years |
| Required work experience | 3 years | 1-2 years |
What is CPA?
The Certified Public Accountant is a degree that is offered by the American Institute of Certified Public Accountants. It deals with a number of subject matters like accounting, finance, auditing, taxation, finance controlling etc.
It is one of the most opted for courses in America. The candidate, after his or her completion of the course, can work as a consultant across various states and can conduct audits at federal as well as state levels.
The degree holder can opt for any stream. There are various streams, including finance controlling, accounting management, auditing, taxation.
Other than that, there are some other streams like financial analyst, accounting etc. The governing body lay down some rules and regulations that must be followed by the candidate after their completion of the course.
Before the completion of the course, the American Institute of Certified Accountants organizes a uniform certified public accountant examination that a candidate must appear for.
After the completion of this examination, the candidate must go through some procedures to abide by the ethics and the regulatory frameworks.
The degree holders can work as consultants after they complete the degree. The degree holders can manage and guide several firms, large-scale and small-scale.
Several business houses require tax management and auditing. These degree holders can work with such business houses as well. The duration of the course is eighteen months.
What is ACCA?
The Association of Certified Chartered Accountants is an association that was founded on 30 November 1904. The degree holders have maximum opportunities after they complete the degree.
The headquarters of the association is located in London, England. The term charter present in the title is a Royal Charter. It was granted in the year 1904.
The entire examination of the Association of Certified Chartered Accountants is divided into segments of exams of different subjects.
Overall, the course focuses on various other relevant subjects as well, but the core subjects are accountability, integrity, taxation etc. There are 14 exams that a candidate must appear during the entire course.
Over 180 countries accept the degree by the Association of Certified Chartered Accountants. Many professionals from different fields have been employed over the years of the association ever since it was established.
According to the latest reports, over 7500 employees work with the association in different fields, including accounting, auditing, advanced financing, taxation etc.
The association focuses on both applied skills as well as applied knowledge. The applied skills are categorized under the advanced diploma section.
On the other hand, applied knowledge is categorised under the diploma section, and other essential subjects are also taught.
The duration of the course is 2-3 years, and various policies and ethics are framed by the management and the governing body.
Main Differences Between CPA and ACCA
- The certified public accountant is a degree that works as a regulator for various businesses may, it be large-scale or small-scale. On the other hand, the association of certified chartered accountants is a degree that is valid across the globe and possesses an advanced module of finance.
- The duration of the certified public accountant degree is eighteen months. On the other hand, the association of certified chartered accountants degree has a duration of 2-3 years.
- The work experience required for the certified public accountant degree is three years. On the other hand, the work experience required for the association of certified chartered accountants is 1-2 years.
- The Association of certified chartered accountants is an association, and it was founded before the certified public accountants.
- The Certified chartered accountant degree was established in the year 1974. On the other hand, the association of certified chartered accountants was established in the year 1904.
- https://link.springer.com/article/10.1007/BF01845897
- https://link.springer.com/article/10.1023/A:1013011120754
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