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Contents
FEATURES
business OUTLOOK
By Drs. Ken Abramowicz, Michael DeCelles, and H. Charles Sparks
global OUTLOOK
Coming Together of GAAP and IFRS
6 IFRS – Only an Illusion of Uniform Financial Reporting?
Page 6
10 “Condorsement” is in Your Future: The
By Rebekah Heath, PhD, CPA, CIA; Becky Casey, MBA, CPA; Mary Polfer, MBA, CPA; and Gail Yarick, MBA, CPA; all of Pittsburg State University.
cover story
14 From Debt to Career: Accounting Majors
Burst Student Loan Bubble
By Susan Cockrell, PhD, CPA, Niesha Wolfe, CPA, MA and Pamela Sharp Meyer, JD, CPA, all of Austin Peay State University College of Business
Sustainability OUTLOOK
20 Abstractions in Accounting: (The Accounting Problem)
By William Violet, Professor of Law and Accounting and James D.
Hansen, Professor of Accounting, both of the School of Business,
Minnesota State University Moorhead
DIRECTORY
Accounting Firms
Page 14
24 New Accountant 2012 Directory of
REVIEW COURSE OUTLOOK
4 How I Aced the CPA Exam: Watt Sells Winners’ Tips for Success
By Tom Rogowski, CPA, Program Director, Accounting, Becker
Professional Education
9 Set Your Sights Beyond Graduation: Make
Sitting for the CPA Exam Your Top Priority
By Bisk CPA Review Team
Page 20
Review Course Outlook
How I Aced the CPA Exam
Watt Sells Winners’ Tips for Success
As diverse as they are in backgrounds, employment, and life goals, the nineteen 2012 Elijah Watts Sells Award winners share a few important things
in common. By Tom Rogowski, CPA, Program Director, Accounting, Becker
Professional Education
T
hey all passed all four parts of the
CPA Exam on the first attempt within
one year; they logged the year’s
highest cumulative scores, and they
all prepared for the exam with Becker’s CPA
Exam Review.
Says award-winner Eric Hartel, “It’s very
exciting just to pass the exam. Then winning
the award is like, ‘Wow! It’s especially exciting
when you think about how hard you had to
work to get there.” Co-winner Chris Tkach
concurs, “It made me feel that all the time
spent was well worth it, that I had achieved
something a bit greater than myself.” Bryan
Avery agrees and adds a pragmatic note, “It’s
also an excellent way to start off my career.”
A Significant Achievement on the
Road to Success
While passing the CPA Exam marks a major
career milestone, all of the winners interviewed
confirmed the long-term value of CPA
credential. “I view earning the CPA designation
as an investment in my future,” says Zhi Liu, “a
credential that will pay off over time.” Jenna
Mehalic shares her view, “If you’re interested in
a career in business, the CPA credential sets you
up for success just about anywhere you want to
go in the business world.”
Other winners emphasize how a solid
accounting background broadens your business
perspective. “When you study accounting,”
says Chris Schoell, “you understand business
and get a high level view of how companies
generate revenue and make a profit. Heather
Saleeby adds, “ . . .when working as a CPA,
you really learn the nuts and bolts of business.”
Although most of the year’s award winners
sat for the exam shortly after graduation, Seth
Albin diverged slightly on his path to the CPA
credential, first earning an MBA and then
spending a few years in commercial banking.
4 New Accountant
How I Did It. Tips
from the Winners.
“Start with the section where you feel most
comfortable. That way you can get a feel for
the testing environment, focus on managing
your time, and feel more confident when you
go into the next part of the exam.”
- Mike Berryman
“If at all possible, I recommend knocking
out the entire exam process before you start
working full time. Once you’re working, finding
the time and energy to do all the required
study can be a struggle.”
- Kristen Brands
“Learn the concepts, not just the formulas.
Take notes and distill them into your own
language. The only sure way you’ll be
prepared for any question they might ask is to
understand the material.”
- Shane Drake
“Realize that the exam entails a significant
investment of time. Hit it hard from the
beginning, it will pay off.”
- William Jachym
“Read the materials and do the practice
questions, then step back and look at the
big picture concepts. Stepping back is huge.
You see how things fit together, which is very
important to working through the exam.”
- Emily Kiser
“I realized that accounting was where I could
really create the most value,” he commented.
“I knew the CPA credential would increase the
value I could bring to the table.”
Learn from the Winners
For good advice on how to succeed on
the exam, ask a Watt Sells winner. Some, like
Continued on Page 23
Editor & Publisher
Steven N. Polydoris
Associate Publisher
Marie Centenail
Graphic Design
Michael Skuras
Contributing Editor
Cathy Demetropoulos
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Business Outlook
New Accountants’ 11 Rules For Living...
Here is a list of 11 things that many high school and college graduates did not learn in school.
Rule #1
Life is not fair;
get used to it.
Rule #2
The world won’t care
about your self-esteem.
The world will expect you
to accomplish something
BEFORE you feel good
about yourself.
Rule #3
You will NOT make 40
thousand dollars a year
right out of high school.
You won’t be a vice
president with a cell
phone, until you earn
both.
Rule #4
If you think your
teacher is tough, wait
until you get a boss. He
doesn’t have tenure.
Rule #5
Flipping burgers is not
beneath your dignity. Your
grandparents had a different
word for burger flipping;
they called it opportunity.
Rule #8
Your school may have done away with
winners and losers, but life has not.
In some schools they have abolished
failing grades; they’ll give you as many
times as you want to get the right
answer. This doesn’t bear the slightest
resemblance to ANYTHING in real life.
Rule #6
If you mess up, it’s not
your parents’ fault, so
don’t whine about your
mistakes, learn from them.
Rule #9
Life is not divided into semesters. You
don’t get summers off and very few
employers are interested in helping you
find yourself. Do that on your own time.
Rule #7
Before you were born, your
parents weren’t as boring as
they are now. They got that way
from paying your bills, cleaning
your clothes, and listening to you
talk about how cool you are. So
before you save the rainforest
from the parasites of your parents’
generation, try “delousing” the
closet in your own room.
Excerpted from “Dumbing Down Our Kids: Why American Children Feel Good
About Themselves But Can’t Read, Write or Add” by Charles J. Sykes.
Rule #10
Television is NOT real life. In real
life, people actually have to leave
the coffee shop and go to jobs.
Rule #11
Be nice to nerds.
Chances are you’ll end
up working for one.
NewAccountantUSA.com 5
Business Outlook
IFRS – Only an Illusion of Uniform
Financial Reporting?
We question the implementation of IFRS and argue that it may exacerbate the problems of consistency and comparability which have been promoted as one of IFRS’ primary benefits. By Drs.
Ken Abramowicz, Michael DeCelles, and H. Charles Sparks
O
ur paper presents and argues
against the implementation of
IFRS based on recent events surrounding both the inconsistent
reporting of Greek debt and disclosures
about the inability of at least one international accounting firm to adhere to
professional audit standards.
Recent developments illustrate that
significant issues remain unresolved with
respect to whether International Financial
Reporting Standards (IFRS) should be
universally adopted as global accounting
standards. In this article we argue that the
reliance on the auditor to ensure consistency in the application of IFRS may not
be justified, leading to a situation of even
less comparability across financial reports.
Generally accepted accounting standards (GAAP) as promulgated in the U.S.
over the past half century, were intended
under the FASB conceptual framework
approach as principles-based accounting
standards. Significant questions exist,
however, as to how well domestic U.S.
standards have met that goal. Due in good
measure to the relatively litigious nature
of the U.S. economy, domestic standards
have often been promulgated in such a way
so as to lay out definitive rules for professional accountants to follow in the hope
of avoiding legal ramifications of making
accounting judgments. International Financial Reporting Standards (IFRS), in contrast, have evolved for
the most part in a less litigious European
environment. Perhaps for that reason, IFR
standards tend to permit considerably more
6 New Accountant
judgment when it comes to standards interpretations than do U.S. standards. Given
the complexities inherent in the modern
business world, permitting accounting
professionals such discretion does seem
to offer obvious potential advantages in
tailoring specific accounting to specific
circumstances for individual companies. Such potential advantages, however, must
be weighed against concomitant potential
disadvantages. No guarantees exist, for
instance, that auditors in an IFRS based
accounting system will be immune from
the sorts of pressures from which U.S. standards have tried to immunize accountants. At the very least, nationalistic overtones
stemming from recent economic strife in
Europe and elsewhere suggest that that
possibility merits close scrutiny.
While IFRS require a modified his-
torical cost approach to preparing financial statements, recent changes to IFRSs
continue to place increased emphasis on
fair value reporting. As a result, IFRSs
often provides management with more
opportunities to manage earnings than
are currently available under U.S. GAAP.
For example, while U.S. GAAP prohibits firms from revaluing property, plant,
and equipment (PP&E), IFRS allows, but
does not require firms to revalue PP&E to
fair market value. In the case of inventory,
U.S. GAAP requires firms to write-down
inventory to the lower of cost or market, but
prohibits the reversal of such write-downs in
future periods. IFRS, however, requires the
reversal of inventory write-downs in most
cases when the replacement cost rises again.
Likewise, in the case of intangible assets,
while impairments under U.S. GAAP are
permanent, IFRS generally allows firms to
reverse impairments in later years.
Given the many assumptions and subjective estimates inherent in the process of
determining fair market values and impairments, IFRS appears to provide much more
latitude for earnings management by firms
striving to meet earnings targets. Combined
with the highly publicized difficulty auditors have had enforcing U.S. GAAP against
firms that write their paycheck (e.g., Enron,
Waste Management, WorldCom, Sunbeam),
adoption of IFRS, potentially magnifies
the difficulty auditors have had controlling
earnings management. Thus, adoption of
IFRS, while being adopted on the promise
of promoting uniformity in worldwide
financial reporting, may actually result in
more volatile earnings that are easier for
management to manage and provide less
useful information to investors and creditors.
Much has been written about the merits
of IFRS and why they should be adopted
by the U.S. For more than a decade, globalization has been the strongest argument
for IFRS adoption. It has been pointed
out by many authors that when countries
develop their own accounting standards
they are enviably influenced by many
factors (business, tax, rules based…) and
“
Much has been written about
the merits of IFRS and why they should
be adopted by the U.S. For more than a
decade, globalization has been the strongest argument for IFRS adoption.
these factors have led to inconsistencies
that impair comparability of financial
reports for similar entities that operate in
different countries. IFRS, it was argued,
resolved these inconsistencies for most of
the world’s economies except for the U.S.
Financial reporting under IFRS relies
much more heavily on the professional
judgment of auditors instead of tightly
worded enforceable standards. Thus, uniform
enforcement standards and uniform professional judgment (including expectations of
ethical reporting behavior) are vital if the
adoption of IFRS can be expected to achieve
the goal of uniform financial reporting.
While much has been written about the
benefits of IFRS adoption, ensuring their
consistent application across countries and
governments has yet to be addressed. Recent
events provide insight into the efficacy of
this assumption. The Greek debt crisis
that emerged into the public spotlight last
spring has done much to illustrate a serious
problem with moving to principles-based
financial reporting standards. Over the
period following the initial news regarding
the Greek government’s fiscal situation,
many European banks began releasing
their annual financial reports. A very
disconcerting issue emerged from these
reports. While these Greek government
bonds were held by numerous banks in
their investment portfolios, many different
values were assigned to virtually identical
debt securities. Interestingly, these valuations varied largely by country.
A story by Floyd Norris (New York
Times; September 8, 2011) “Many Views
”
on a Greek Bond’s Value” focused more
closely on this the Greek debt valuation
differences. In the story Norris points
out that banks in various countries were
recognizing impairments based on significantly different estimates of default and
yet different offices of the same international accounting firms were apparently
approving of this behavior. French banks
reported the lowest level of write-down
on these investments. He noted that the
apparent attempt to help troubled French
banks even caused Hans Hoogervoorst, the
chairman of the International Accounting
Standards Board, to write a letter of protest
to European securities regulators.
This experience provides a unique situation in which to view the problems associated
with principles or values based accounting
standards in practice. The fact that Hoogervoorst’s letter only became public after it
was leaked to the media begs the question:
How much more is being hidden from the
public? One inherent challenge of accounting
standards that allow considerable discretion
in their application is the fact that, despite
the best intentions, there will commonly be
pressure to bias their application by internal
and external forces. In the case of Greek debt
securities, the pressure likely came from the
banking communities in countries where
the economies have particularly suffered
under the current global recession. There is
considerable pressure to present optimistic
financial reports by both individual banks
and the government to avoid both domestic
and international credit rating downgrades.
These downgrades would impose additional
NewAccountantUSA.com 7
Business Outlook
economic costs, possibly leading to sanctions on these economies.
The auditors of these banks were not able to resist the political
pressures that were brought to bear in order to cast recent economic
events in the best possible light. This, we argue, is an inherent
problem with the global adoption of IFRS.
As we stated at the beginning, it was always assumed that the
auditors would ensure the correct application of IFRS. The Greek
debt crisis poses a serious challenge to this assumption. But there
are more concerns than just political pressure being brought to bear
on the auditors. Recent reports by the PCAOB concerning Deloitte
& Touche, one the largest international audit firms, and their
internal quality control procedures, also questions the assumption
that the auditing community can handle the task of IFRS compliance even in the absence of overwhelming political pressures. The
findings that were recently made public, the PCAOB noted with
some frustration, is that the auditors in many instances did not
even bother to see if their client’s accounting was consistent with
accounting rules. The PCAOB chairman stated “…the root of the
problem is auditor skepticism, coming to ground in the bedrock
of independence. The loss of independence destroys skepticism”.
The fact that the level of and attitudes toward tax evasion vary
significantly across countries should provide a hint about the level
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8 New Accountant
of uniformity we should expect with respect to enforcement of
IFRS standards. An article in The Economist (August 12, 2010)
started out, “TELL a Greek or an Italian that the only certainties
in life are death and taxes and they will laugh—and not because
they believe in immortality. Southern European countries have
long struggled to collect taxes. By their nature, of course, the
data are difficult to collect but Greece, Italy, Portugal and Spain
are thought to have some of the largest unofficial economies in
the OECD”. It is clear while tax evasion is generally frowned
upon in the U.S., people in some European countries view it as
no worse than going 40 MPH in a 35 MPH zone and would
jeer at the wisdom of those who choose not to evade taxes. With
such evident differences in worldwide views toward tax evasion,
is it reasonable to expect uniform enforcement of IFRS when
the financial future of corporations that play a significant role
in national economies are at stake?
Conclusion
Adoption of IFRS in the United States is often promoted as
a method of increasing global uniformity of financial reporting
standards. It is quite possible that adoption of IFRS may ultimately result in uniform financial accounting standards with
only an illusion of uniform financial reporting. Unless uniform
enforcement standards and uniform professional judgment are
given equal importance in the process leading toward U.S.
adoption of IFRS, it may be unlikely to generate the global
uniformity in financial reporting that many have promised.
One must also question the wisdom of increasing reliance on
professional judgment at a time in history when ethical values
and professional judgment appears to be in the midst of a multidecade decline. It is very likely that while laudable, the goal
of uniform international
financial reporting will
end up being only an
Article By
illusion. One may
Dr. Ken Abramowicz
also wonder whether
Associate Professor of Accounting
the adoption of IFRS
& Information Systems, University
without uniform enof Alaska Fairbanks
forcement standards
and uniform profesDr. Michael DeCelles
sional judgment will
Associate Professor of Accounting,
Angelo State University
resemble the adoption
of the Euro without
any uniform taxing authority–which
Dr. H. Charles Sparks
Professor of Accounting &
generated the initial
Information Systems, University of
appearance of success
Alaska Fairbanks
while concealing many
substantive underlying
problems. NA
Review Course Outlook
Set Your Sights Beyond Graduation:
Make Sitting for the CPA Exam Your Top Priority
For prospective accounting graduates, the optimal time to begin preparing to take the exam is well before completing a degree. By Bisk CPA Review Team
Y
ou’re almost finished with your
accounting degree, and will soon have
a hard-earned diploma in your hand.
That credential is unquestionably an invaluable addition to your resume, but it is also a
stepping stone; by becoming a CPA you will
make yourself more marketable and be able
to compete for higher-level positions with
greater compensation potential. Don’t risk
losing focus or momentum after graduation
– get ready for the CPA exam now so you can:
• Use the knowledge you gained in college while it’s still fresh and relevant.
• Start enjoying rewarding career opportunities that are reserved only for CPAs.
If your graduation day is fast approaching, don’t procrastinate – begin preparing
for the CPA exam immediately.
Make passing the exam your main commitment. If you truly desire to pass every
section on the first sitting, you will devote
the necessary time.
Plan Ahead for CPA Success
Before taking the exam, you need to
formulate a rock-solid preparation plan.
Following these essential tips can get you
one step closer to becoming a CPA:
Practice, practice, practice. Answer questions and take practice exams, so you can
determine any weak areas you may have and
concentrate your study efforts on those topics.
Create a study plan. If you examine your
daily routine, you will see that there are many
opportunities to study for the exam. First,
identify times you know that you won’t be
able to study – work, sleep, eating, exercise
or other commitments. Then set aside an
hour a day of relaxation time. With the
remaining time you should be able to find
10 to 14 hours of study time per week.
Stick to your plan. You cannot expect to
accomplish a thorough review without adhering to your study plan. Increase your study
time if possible during the final four weeks of
training, continuing right up until the exam.
Tackle one section at a time. You can
increase your retention of the material by
concentrating on individual sections. You
may become overwhelmed by trying to
learn too much at once.
Form an exam strategy. You should be
familiar with the format of the CPA exam
and know exactly what you will do when
you enter the testing room. Planning in
advance how you will spend your exam
time will save you time and confusion on
exam day.
Choose first-rate study materials. When
you pick your study materials, look for those
that best match your learning style. Do you
like to work alone or do you prefer instructor
guidance? Do you learn best through watching, listening, reading or a combination of
all three? Flexible study formats – including
textbook, online, CD-ROM, DVD and
more – make this possible. Many offer the
ability to study virtually anywhere, anytime,
allowing even the busiest candidate ample
time to study.
Take the exam! There are over 300 CPA
test centers across the United States, and
four testing windows per year, so you should
have plenty of options to sit for the exam.
Bisk Education offers a flexible CPA review
product line, which consists of review materials in a variety of convenient formats: video,
audio, online, textbooks and live sessions.
Bisk CPA Review guarantees that you’ll
pass the exam the first time you take it. NA
For complete information on Bisk Education’s
Bisk CPA Review products, visit www.cpaexam.
com or call 800-671-5953.
NewAccountantUSA.com 9
Global Outlook
“Condorsement” is in Your Future:
The Coming Together of GAAP and IFRS
Companies in nearly 100 countries around the world have adopted the use of IFRS and there is
currently a push for the U.S. to join that number. By Rebekah Heath, PhD, CPA, CIA; Becky Casey,
MBA, CPA; Mary Polfer, MBA, CPA; and Gail Yarick, MBA, CPA; all of Pittsburg State University.
T
he transition to one set of high
quality accounting standards has
been going on for the past forty
years with very little progress
having been made until recently. The
terms “harmonization” and “convergence”
have been used over the years to describe
the efforts of the IASB and FASB to
bring IFRS and GAAP closer together.
The SEC’s roadmap with a proposed
mandatory adoption date of 2014 has
recently been pushed aside in order to
focus on “condorsement”. Condorsement, a combination of convergence and
endorsement, will allow FASB to retain
control over U.S. GAAP, as opposed to
handing over responsibility for standard
setting to the IASB. Although the SEC
still has no proposed timeline for a U.S.
transition to IFRS, the authors believe
that students should be made aware of
the current differences between the two
reporting systems.
International Financial Reporting Standards (IFRS) are the current hot topic at
professional seminars and conferences and
have been for the past several years. The
rapid growth in international capital markets and increased cross-border financing
has created a demand for one set of highquality accounting standards. Many, inside
and outside the United States, would like
to see IFRS be that one set of accounting
standards. Outside the U.S., more than
12,000 public companies in nearly 100
countries have adopted the use of IFRS,
and public companies in the U.S. are now
beginning to grapple with the transition
to IFRS. This transition is an extremely
10 New Accountant
difficult process that has been discussed
for the past forty years with very little real
progress having been made. There is an
increased push to make this happen now.
Varying philosophies and terms have been
used over the years to describe the coming
together of GAAP and IFRS. These include
harmonization, convergence, and – most
recently – condorsement.
The Political Nature of Standard
Setting:
The International Community first
sought to harmonize standards in 1973;
these efforts continued until 2001. Harmonization is defined as the process of
reducing differences in financial reporting
practices across countries. Harmonization does not require the elimination of
alternatives in accounting but rather seeks
to reduce the number of alternatives while
retaining a high degree of flexibility in
accounting practices. Harmonization allows countries to have different standards
providing the standards do not conflict.
The harmonization efforts involved several international organizations at both
the regional and worldwide levels. The
Existing Differences between U.S. GAAP and IFRS
US GAAP
IFRS
FINANCIAL STATEMENT PRESENTATION
Financial Periods Required
Comparative statements are
not required by GAAP but are a
requirement of the SEC.
Comparative information for the
previous period is required.
Layout of balance sheet and
income statement
No specific items are required nor is a
specific layout required.
A list of minimum items must be
included, per IAS1.
Extraordinary Items
Items that are both unusual and
infrequent can be reported as
extraordinary items (i.e., not part of
operating income)
IFRS prohibits companies from
reporting extraordinary items.
Percentage of completion is the
preferred method. When it can’t be
used, the completed contract method
is to be used.
Percentage of completion is the
preferred method. When it can’t be
used, the cost recovery method is
to be used. The completed contract
method is not allowed.
Costing methods
LIFO is allowed as well as other cost
flow assumptions for inventories
similar in nature.
LIFO is prohibited. Companies
must use the same cost flow
assumptions for inventories similar
in nature or use.
Measurement
Inventory is carried at the lower of cost
or market where market is defined as
replacement cost as long as replacement
cost does not exceed net realizable value
and is not less than net realizable value
less a normal profit margin.
Inventory is carried at the lower
of cost or market where market is
defined as net realizable value.
These items are required to be
classified as an operating activity on
the cash flow statement.
Interest received may be classified
as either operating or investing
and interest paid as operating or
financing.
EPS for basic and diluted income from
continuing operations, discontinued
operations, extraordinary items,
cumulative effect of a change in
accounting policy, and net profit or
loss per share are all required to be
reported.
EPS for basic and diluted income
from continuing operations per
share and net profit or loss per
share are the only calculations
required for disclosure.
Expensed as incurred unless
specifically addressed otherwise
Capitalized when technical and
economic feasibility can be
demonstrated.
Dates for consideration
Companies must evaluate subsequent
events up to the date of issuance.
To be evaluated through the date
the financial statements are
“authorized for issue”.
Stock dividend declared
after balance sheet date
Financial statements are required to
be adjusted.
No adjustment.
REVENUE RECOGNITION
Construction contracts
INVENTORY
CASH FLOW STATEMENT
Interest Received and
Interest Paid
DISCLOSURES
Earnings per share
(EPS)
INTANGIBLE ASSETS
Development costs
SUBSEQUENT EVENTS
two most important players in this effort
were the European Union (regionally) and
the International Accounting Standards
Committee (IASC) – the predecessor to
the International Accounting Standards
Board (IASB). Very little practical harmonization occurred, however.
On April 1, 2001, the IASC passed
the torch to the newly created IASB as
the creator of international accounting
standards. This marked the beginning
of a new era in financial reporting and a
change in focus from harmonization to
convergence. Under the “convergence”
approach, jurisdictions do not adopt IFRS
as issued by the IASB or incorporate IFRS
into their accounting standards directly.
Instead these jurisdictions maintain their
local standards but make efforts to converge those standards with IFRS over
time. Convergence means that financial
statements prepared in accordance with
U.S. GAAP simultaneously comply with
IFRS. In September 2002, at a meeting
in Norwalk, Connecticut, the Financial
Accounting Standards Board (FASB) and
IASB pledged to use their best efforts to
(1) make their existing financial standards
fully compatible as soon as practicable and
(2) to coordinate their work program to
ensure that once achieved, compatibility
would be maintained. This has become
known as the Norwalk Agreement. In
November of 2008, the Securities and
Exchange Commission (SEC) issued a
proposed “roadmap” as to how and when
implementation of IFRS would take place.
The roadmap gave 2014 as the target date
for mandatory adoption of IFRS for U.S.
registrants. The roadmap also indicated
that the SEC would reconvene in 2011 to
decide whether a mandatory conversion
date should be set. From all appearances
it seems the SEC has finally conceded that
its efforts to adopt IFRS have failed and
the roadmap has been tossed aside.
When someone in authority is in a
quandary and doesn’t know where to
turn, the typical activity that follows is
Continued on Page 18
NewAccountantUSA.com 11
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A C C O U N T I N G
|
T A X
|
A D V I S O R Y
Cover Story
14 New Accountant
From Debt to Career:
Accounting Majors Burst Student Loan Bubble
Susan Cockrell, PhD, CPA, Assistant Professor, Department of Accounting, Finance and Economics, Niesha
Wolfe, CPA, MA, Instructor, Department of Accounting, Finance and Economics, Pamela Sharp Meyer, JD, CPA
Assistant Professor, Department of Accounting, Finance and Economics, all of Austin Peay State University
College of Business.
T
uition and fees at colleges and
universities and, consequently,
student loan debt have been increasing dramatically each year.
What does this mean to you, the student?
How much is your education going to cost?
How will this affect your accounting career
choice? How will that additional CPA-required year impact the amount of student
loan debt? Will you be able to get a job in
your career choice? Will your investment
in your accounting major pay off? Will you
be able to pay off the debt? Is it worth it?
This paper will examine and discuss
these questions. We offer some thoughtprovoking insight, debt management and
career suggestions for students to deliberate. This process should empower students with the knowledge needed to successfully manage their journey from debt
to career.
Unless you have had your head under a
rock for the last few years, tuition and
fees at colleges and universities and,
consequently, student loan debt have
been increasing dramatically each year.
For the 2011-2012 academic year, the average bill for tuition and fees at public,
four-year schools increased by 8.3%
over the previous year. These increases, as well as other economic factors,
have resulted in the student loan debt
increasing by 8% annually. According to
the Department of Education, two-thirds
of you will graduate with student loan
debt; 25% of you will have more than
$30,000 and 10% of you will owe more
than $44,500.
What does this mean to you, the student?
How much is your education going to
cost? How will this affect your accounting career choice? How will that additional CPA-required year impact the amount
of student loan debt? Will you be able to
get a job in your career choice? Will your
investment in your accounting major pay
off? Will you be able to pay off the debt?
Is it worth it?
NewAccountantUSA.com 15
Student Outlook
Student Loan Debt: How Much Is This
Going to Cost?
The average student loan debt for the
May 2011 college graduates was $27,3002.
For those of you graduating in three to
five years (2014 to 2016), if you project a
7% increase per year then that average
student loan debt will be $33,444 and
$38,290, respectively. If you use the 150
hour requirement (a fifth year) in order to
qualify to sit for the CPA exam, student
loan debt would be approximately $34,125
in 2011, $41,805 in 2014, and in 2016,
$47,862. Table 1 shows an approximation
of the increase in student loan debt
through 2021 for both 4-year and 5-year
degrees. The table also shows the average
debt if both you and your parents have
taken out loans.
Accounting Salaries: How Much Can I
Make When I Graduate?
According to the Robert Half 2012
Salary Guide (roberthalf.com), companies
have increased their hiring of accounting
and finance professionals, with the certified
public accountant (CPA) being the most
requested certification. The recession
did have an impact in recent years;
however both large and regional public
accounting firms are expanding their
ranks again. Salaries have also increased,
up approximately 3.5% in all positions.
The accounting major opens the door
to many professions, with various skills,
interests, commitment, and, therefore,
salaries. The array of possibilities has, at
the top, chief financial officer with average
starting salaries of $275,000 to $411,000
and, at the base, accounting clerks with
average starting salaries of $27,750 to
$36,500. For public accounting, average
starting salaries range from small firms
at $41,500 to $50,000 to large firms at
50,000 to $60,500.
Table 2 shows a sample of salaries for
various accounting career choices. All
of the accounting and finance positions,
with the salary ranges at up to one year
16 New Accountant
Table 1 - Estimated Average Student Loan Debt
(in U.S. Dollars using a 7% annual increase)
Student Loans
Student and Parent Loans
4-years
5-years
4-years
5-years
2011
$27,300
$34,125
$34,400
$43,000
2012
29,211
36,514
36,808
46,010
2013
31,256
39,070
39,385
49,231
2014
33,444
41,805
42,141
52,677
2015
35,785
44,731
45,091
56,364
2016
38,290
47,862
48,248
60,310
2017
40,970
51,212
51,625
64,531
2018
43,838
54,797
55,239
69,049
2019
46,906
58,633
59,106
73,882
2020
50,190
62,737
63,243
79,054
2021
53,703
67,129
67,670
84,588
Table 2 - Salary Highlights - Medium-sized Companies
Up to One Year
Manager
$44,000 - $55,750
$78,750 - $106,250
Compliance
56,250 - 74,750
128,500 - 174,250
General Accountant
37,500 - 47,000
65,500 - 87,000
Cost Accountant
40,000 - 49,000
67,750 - 89,750
Tax Accountant
41,500 - 51,000
71,750 - 96,750
Bookkeeper
45,250 - 56,750
42,250 - 57,250
Audit/Assurance
45,250 - 56,750
98,500 - 147,000
Tax Services
45,250 - 56,750
99,000 - 149,000
Corporate Accounting
Internal Auditor
Public Accounting
Table 3 - New Accounting Graduates Hired by CPA Firms
Year
Bachelor’s
Master’s
Total Demand
2003
$13,270
$3,555
$16,825
2004
14,985
4,720
19,705
2007
28,025
8,087
36,112
2008
19,110
6,378
25,488
2010
19,870
13,451
33,321
through manager, are detailed in the
Robert Half 2012 Salary Guide.
Accounting Demand: But, Will I
Get A Job?
As your professors have probably
told you, accounting firms are increasing
their hiring and demand is almost at an
all-time high. Graduates with degrees in
accounting are entering a field projected
to see employment growth of 22% for the
decade ending in 2018 (Department of
Education).
The 2011 AICPA report shows that
hiring of accounting graduates by public
accounting firms increased in 2011 to the
second highest point since 1971. Hiring
increased by 6% over 2008 for students
with a Masters of Accountancy, with 37%
of new MA graduates being hired by public
accounting firms. Public accounting firms
are seeking students with the 150-hour
requirement satisfied, so the hiring of new
graduates with a Bachelor’s degree only
slightly increased. And the great news
is that 90% of firms predict the same or
more hiring of new accounting graduates,
with 71% anticipate increases in hiring.
What This Means for You
So, is the investment in your accounting
degree going to pay off? In other words, will
the salary you can expect from your choice
of accounting career pay off the student
loan debt that you are accumulating? The
figures (Table 4) are based on the lowend of the range for starting salaries of
large public accounting firms through the
corporate small companies. Then assume
an average salary increase of 7% per year5.
If you take 10% of your gross pay each year
to pay off your student loans—and you are
lucky enough to get a job for a Big Four
firm—you will have about $69,082 to pay
off your loans. And when you get a CPA,
you will have approximately $77,718.
But, What About ME?
Now, take your individual situation.
Table 4
Estimate of Pay-Off
Year
1
2
3
4
5
6
7
8
9
10
Year
1
2
3
4
5
6
7
8
9
10
Public--Large
Salary
10%
$50,000
5,000
53,500
5,350
57,245
5,725
61,252
6,125
65,540
6,554
70,128
7,013
75,037
7,504
80,289
8,029
85,909
8,591
91,923
9,192
$ 69,082
Public--Medium
Salary
10%
$44,250
4,425
47,348
4,735
50,662
5,066
54,208
5,421
58,003
5,800
62,063
6,206
66,407
6,641
71,056
7,106
76,030
7,603
81,352
8,135
$ 61,138
Public--Small
Salary
10%
$41,500
4,150
44,405
4,441
47,513
4,751
50,839
5,084
54,398
5,440
58,206
5,821
62,280
6,228
66,640
6,664
71,305
7,130
76,296
7,630
$ 57,338
Corporate--Large
Salary
10%
$38,500
3,850
41,195
4,120
44,079
4,408
47,164
4,716
50,466
5,047
53,998
5,400
57,778
5,778
61,823
6,182
66,150
6,615
70,781
7,078
Corporate--Medium
Salary
10%
$36,500
3,650
39,055
3,906
41,789
4,179
44,714
4,471
47,844
4,784
51,193
5,119
54,777
5,478
58,611
5,861
62,714
6,271
67,104
6,710
Corporate--Small
Salary
10%
$34,000
3,400
36,380
3,638
38,927
3,893
41,651
4,165
44,567
4,457
47,687
4,769
51,025
5,102
54,597
5,460
58,418
5,842
62,508
6,251
$ 53,193
$
50,430
$ 46,976
But, What About ME?
Total
amount
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in studentHow
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What do you project your total student topped $1 trillion.
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loan debt will be when you graduate?
and
To aid
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• Cnnmoney.com/collegecosts
As you are doing you calculations, here • StartHereGoPlaces.com
are a few more facts to consider:
• ThisWayToCPA.com
• AICPA.org
• Starting in the 2012 borrowing year the
interest rate on subsidized Stafford
loans will increase from 3.4% to 6.8%.
• National unemployment rate in
accounting remains at 3.5%. The
national unemployment rate has been
hovering around 9%.
• Default rate on student loans has
increased to 8.8%.
Final Exam!
Here is your accounting take-home final.
Take your university’s tuition estimates—
including projected increases, your
estimated future total student loan debt,
and your projected salary, and compute the
net present value for your personal situation.
Does your investment in education result
in a positive net present value for your
accounting career choice?
NewAccountantUSA.com 17
Global Outlook
Continued from Page 11
to divert attention to something new and
that’s exactly what was done in December,
2010, with the coining of a new term,
condorsement, by SEC Deputy Chief
Accountant Paul Beswick. Beswick explained that under condorsement, U.S.
GAAP would continue to exist. FASB
and IASB would work to finish their joint
convergence projects. After completing
their joint projects, FASB would work
to converge U.S. GAAP to IFRS over
a period of time for standards that are
not on the IASB’s work plan. At the
same time, FASB would have a process
to consider new standards issued by the
IASB for incorporation into U.S. GAAP
with or without U.S. modifications; this
process is known as endorsement. The
condorsement approach – a combination
of convergence and endorsement - would
allow FASB to retain control over U.S.
GAAP and would leave open the possibility for FASB to carve out differences
but only in unusual circumstances. The
SEC still has no proposed timeline for
a U.S. transition to IFRS. However, we
believe that students must be aware of
IFRS as it almost certainly will impact
U.S. reporting in some fashion.
How Do IFRS differ from GAAP?
Although IFRS and U.S. GAAP have
many similarities, there are several differences. As a student learning both U.S.
GAAP and IFRS, there are some principle
differences that you should be aware of.
The table outlines those differences. The
primary difference is that U.S. GAAP is
“rules-based” while IFRS is “principlesbased”. GAAP, many years ago, was
principles-based. However, as a result of
abuse, fraud, and the resulting lawsuits,
GAAP morphed into a rules-based system.
The rest of the world has not shared in
that history lesson and, thus, has a hard
time understanding U.S. resistance to
another principles-based system. In an
editorial in the June 27, 2002 edition of
Financial Times titled “the World after
18 New Accountant
WorldCom,” U.S. regulators were urged to
move to principles-based standards. The
following is an extract from this editorial:
It is time for U.S. accounting standards to
move away from prescriptive rulemaking
towards the alternative used in many other
countries, which focuses on “substance over
form”. U.S. regulators have been suspicious
of principles-based standards drafted by
the IASB arguing that the U.S. approach
is superior. As the list of U.S. accounting
scandals mounts, it is hard to maintain
such a position [i.e. that U.S. rules-based
GAAP is superior].
To be precise neither GAAP nor IFRS
is completely rules- or principles-based,
but U.S. GAAP tends to rely more on
rules. Preparers following U.S. GAAP
strive to identify the rule that directs
how to correctly record a transaction or
make a disclosure. IFRS, on the other
hand, is principles-based and places more
emphasis on professional judgment, thus
allowing preparers to exercise their wisdom
and interpretation to determine how to
correctly report an economic event.
The Future of U.S. Financial Reporting:
A recent survey of Certified Public
Accountants (CPAs), conducted by the
American Institute of Certified Public
Accountants (AICPA), shows that approval
of U.S adoption of IFRS is strong: 53%
support an SEC mandate requiring use of
IFRS in the U.S and another 23% think
IFRS should be offered as a financial
reporting option for public companies.
While auditors strongly support the move
towards IFRS, preparers have a very different opinion.
When asked what “keeps them up at
night”, CFOs ranked IFRS convergence
higher than any other accounting issue,
according to the latest Duke University/
CFO Magazine Global Business Outlook
Survey. Yet when asked to describe their
companies’ “readiness to comply with
global accounting standards,” 44% said
they hadn’t begun to address convergence
while 39% said they had begun to prepare but were far from ready. Corporations are still several years away from
having to implement a plan to comply
with a converged set of standards, says
an industry expert. “As alarming as the
state of awareness without preparedness
sounds, it just about fits the current state
of the regulatory outlook. It’s important
to monitor [regulatory developments] and
develop a plan, but not get out in front
of the standards until they’re finalized,”
says James Kaiser, the U.S. Convergence
IFRS leader for PricewaterhouseCoopers.
Like death and taxes, standards with
an international flavor are certain to be a
part of the U.S.’s future. The best advice
we can give students is to learn as much
U.S. GAAP as you can, understand the
types of differences between GAAP and
IFRS that currently exist, and listen for
updates regarding the condorsement efforts of the SEC. It’s going to be a long,
bumpy ride.
Article By
Rebekah Heath, PhD,
CPA, CIA
Pittsburg State University
Becky Casey, MBA,
CPA
Pittsburg State University
Mary Polfer, MBA, CPA
Pittsburg State University
Gail Yarick, MBA, CPA
Pittsburg State University
Mark Cynova
Becker Alum
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NewAccountantUSA.com 19
©2012 DeVry/Becker Educational Development Corp. All rights reserved.
Sustainability Outlook
Abstractions in Accounting
(The Accounting Problem)
This article explains development of the four significant cognitive abstractions that lead to
major changes in the evolution of accounting systems. By William Violet, Professor of Law and
Accounting and James D. Hansen, Professor of Accounting, both of the School of Business,
Minnesota State University Moorhead
T
hroughout history various cultures
have created accounting systems
for measuring and controlling
economic resources and obligations.
Pragmatic development and evolution of
accounting occurred as societies made certain
cognitive abstractions. These abstractions
attempted to “best represent” or measure
an economic transaction through an
accounting system. For generations, accurate
measurement of an economic event and how
to best represent it with accounting data has
been the Accounting Problem.
The First Abstraction
The first significant cognitive accounting
abstraction was made thousands of years
ago by Neanderthal and Cro-Magnon
people. Current archaeological evidence
demonstrates that early people kept notation
and tally systems for measuring and
controlling resources. Early people utilized
systems such as making notches or marks
on various materials from antlers to parietal
(cave) paintings. These notations could
represent tallies of animals harvested, clan
resources such as spears or the passage of
time. Notation and tally systems are evidence
of the first significant abstraction, that is,
one mark equals one unit of resource. Early
people created a one-to-one relationship to
measure their resources. This one-to-one
abstraction reached its zenith in Sumeria.
One of the first civilizations, Sumeria
developed a clay token accounting system.
The purpose of this system was to control
20 New Accountant
famine and food shortages with grain
redistribution. For example, a farmer was
required to submit a certain amount of grain
to the government. In turn, the authorities
would store collected grain in a temple
grainery. When food shortages occurred, grain
would be distributed. To account for grain
transactions in this redistributive economy,
government officials developed clay tokens of
various geometric shapes and patterns with
one token equaling one measure of grain.
Thus, Sumeria created an entire redistributive
economy and civilization based on geometric
tokens representing a variety of commodities.
Tokens were controlled by securing them in a
clay envelope called a bulla. The bulla could be
opened to account for economic transactions
involving farmers and the government.
Eventually, government officials realized it
would be more efficient to place a geometric
(pictographic) mark on a piece of clay rather
than laboriously making clay tokens. Marks
on clay tablets evolved into cuneiform
writing. As trade began to flourish, clay
tablets replaced clay tokens, and the effort
which went into making them. A symbol on
a clay tablet could represent a good; however,
one mark on a clay tablet still represented one
unit of a good.
The Second Abstraction
Around 3000 B.C., Sumerian scribes
made the second significant cognitive
abstraction. They realized that if a mark on a
clay tablet could represent a specific good, for
example a sphere equals a wine vessel, then
a second mark could represent a quantity
of wine vessels. That is, instead of marking
down ten spherical shapes on a clay tablet,
a scribe would express the number ten next
to a sphere, which could represent a vessel
of wine. As the esteemed British Philosopher
Bertrand Russel said:
It must have required many ages to discover
that a brace of pheasants and a couple of
days were both instances of the number 2. 1
This was the great abstraction, that is, a
number could represent numerous units
of a good or even different goods. Goods
could now be measured and represented by
a numerical system of abstract notations.
21 New Accountant
“
One of the first civilizations,
Sumeria developed a clay token accounting system. The purpose of this
system was to control famine and food
shortages with grain redistribution.
Accounting would never be the same because
of efficiencies created through implementing
this system. Sumeria had not only utilized a
one-to-one relationship in a highly efficient
manner, this civilization had revolutionized
accounting in creating the second abstraction.
The Third Abstraction
For several centuries, civilizations and
individuals were content utilizing the first
and second abstractions to record goods
and measure wealth. Goods were recorded
in accounts as species. For example, units of
wheat would be recorded as units of wheat
in a wheat account. Currencies were not
standardized and therefore not employed to
measure the cost of a unit of wheat. Between
1400 and 1500 A.D., a third significant
abstraction occurred. By this time standard
coinage had appeared throughout Europe.
European countries minted coinage and
recognized currency values of different
nations; thus goods could be assigned a
monetary value. Instead of an account being
recorded in units of wheat, the cost of wheat,
expressed in a currency, was now recorded. No
longer were five bushels of wheat recorded in
an account, rather the wheat purchase price of
say $15 was recorded into the account.
This abstraction permitted comparability
of values recorded into a various accounts,
that is, $25 of wheat equals $25 of gold,
which equals $25 silk. Because of systemic
efficiencies created by this abstraction related
to the stability of a currency, complexities and
difficulties in measuring assets, liabilities and
overall wealth began to arise.
”
Measurement and the Fourth Abstraction
The third abstraction solved a valuation
or comparability argument and allowed
resources and obligations to be expressed in
a homogenous manner based on currency
representations. However, currencies are
subject to a multitude of external and
internal environmental factors that affect
extrinsic value and overall homogeneity.
These factors relate to physical and cultural
variables. The simple passage of time
combined with inflationary pressures alters
purchasing power of currencies and assumed
homogenous properties. For example,
currently 5 francs may equal 1 dollar, but
will 5 francs equal 1 dollar several years from
now? Even in accounts of an entity within a
specific culture, would a dollar today equal
a future dollar? Thus, the third abstraction
of currency representation creates a variety of
measuring complexities. As Herbert Taggart
points out, the concept of measurement
employing the stable homogenous dollar as a
measuring unit is troubling:
Accountants are as aware as anyone that it is
absurdity to deduct peaches from apples and
expect to get an intelligible answer. It is most
uncomfortable for the accountant to be told that
he is performing equally futile arithmetic when
he adds or subtracts dollars spent at different
times and representing differing purchasing
power. It is no wonder that accountants have
by tradition stubbornly ignored changes in the
magnitude of their measuring unit. To give in
on this point cuts the very foundations of their
beliefs from under them...
Therefore, a dollar in the cash account
NewAccountantUSA.com 21
Sustainability Outlook
today is not equal to a dollar in an inventory
account acquired throughout the year or in
any other account when currency is subject to
periodic price changes. For example, inventory
prices which rise during the year because of
inflation, results in units being recorded in
dollars having different purchasing power.
In other words, the assumed homogeneity of
a dollar doesn’t exist because of rising prices.
Nor does a building, expressed in yuan, in
North Korea equal a building expressed in
dollars in downtown New York even though
both buildings are identical. The currencies are
not homogenous because of cultural, economic
and geographical variables that exist in these
nations. One may ask, what kind of dollars are
we mathematically employing with financial
statement analysis? Under current accounting
standards, financial statements are expressed
in a currency with multiple purchasing powers
that arise at various historical intervals. As
Cohen and Nagel demonstrate, measurement
is not a simple concept:
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Comparisons based upon counting...depend
on our ability to distinguish clearly between
different groups or different characters.
Frequently, however, characters cannot be
sharply distinguished because they form a
continuous series with one another. Thus we
may wish to distinguish different knives on the
basis of their “sharpness.”...What principles must
we observe in using numbers to denote such
differences in qualities?
It is often believed that because we can
assign numbers to different degrees of a quality,
the different degrees always bear to each other
the same ration as do the numbers we have
assigned to them...
We must note that numbers may have at least
three distinct uses: (1) as tags, or identification
marks; (2) as signs to indicate the position of
the degree of a quality in a series of degrees; and
(3) as signs indicating the quantitative relations
between qualities...
We must make sure that we do not allow
different numbers to be assigned to the same
object. Thus suppose the weight of object A
is regarded as the unit or 1, and that we can
assign weights to other objects by this process so
that A2 will have weight 2, A4 weight 4, and
A6 weight 6. Can we be sure that A2 and A4
placed together in one pan will just balance
A6 placed in the other? It is very important to
note that we cannot be certain of this until we
perform the experiment. The proposition that 2
+ 4 = 6 can be demonstrated in pure arithmetic
without experiment. But until we perform the
proper experiments we cannot be certain that
the physical operation of addition of weights
does conform to the familiar properties of pure
arithmetical addition.
The development or creation of a fourth
abstraction may likely improve resolution of
the Accounting Problem, that is, measurement.
Only time will conclusively establish what
might be the fourth abstraction for enhancing
and improving the utility of accounting in
measuring wealth. Speculation leads the
authors to believe that implementation of
a global currency, such as the International
Monetary Fund’s special drawing rights
(SDR), may improve measurement. Universal
harmonization of accounting principles might
be another possibility. Current, complex
international problems coupled with intricate
internal wealth measurements may create an
environment that spawns development of
a fourth abstraction. What that pragmatic
abstraction is and how it will improve the
accounting measurement processes to resolve
the Accounting Problem remains to be seen.
• Receive a customized CPA exam review
course to facilitate passing the exam
• Participate in colloquia with
industry experts
Article By
We are currently accepting
applications for Fall 2012!
William Violet, JD,
CPA, CMA, CIA,
Professor of Law and Accounting
at Minnesota State University
Moorhead
Visit www.fox.temple.edu/MAcc or
contact Sheri Risler, CPA, at 215-204-6482.
• Develop communication and
leadership skills
22 New Accountant
James D. Hansen, PhD,
CPA
Professor of Accounting at
Minnesota State University
Moorhead.
Review Course Outlook
How I Aced the CPA Exam: Watt Sells Winners’ Tips for Success
Jaymie Farr, team up with a study partner for
the exam. Jaymie took it a step further, however.
She married hers. “My husband took the exam
at the same time I did,” she explains. “We
helped keep each other on track. He studied
with Becker too. In fact we got the same scores
on the first three parts of the exam.”
If matrimony seems like too much of a
commitment, the accompanying sidebar offers
a wealth of other tips from this year’s winners.
Keeping it in the family
For 2010 winner Mike Dean, the award
has special meaning. His brother Bryan won
the award in 2007. Mike recalls, “At dinner the
night before the exam, my brother laughed and
joked that I was on my way to the Watt Sells
award. I shook my head and said no way that
would happen. I guess it wasn’t a joke after all,
but it’s definitely a great honor.”
The American Institute of Certified
Continued from Page 4
Public Accountants presents the Watt Sells
Awards for the ten highest cumulative scores.
In 2010, the number of award winners was
unique because multiple candidates received
identical cumulative scores, resulting in a tie,
and therefore increasing the total number of
winners to 19. More than 103,000 candidates
sat for the exam that year.
Visit www.becker.com/cpa for more information about Becker Professional Education.
2012 Watt Sells Winners
Shane C. Drake - Florida Gulf Coast University – Wiltshire,
Whitley, Richardson and English
Emily Kiser - University of Texas at Austin PricewaterhouseCoopers
Seth D. Albin - Fort Hays State Univ. - Exacta Aerospace, Inc.
Jaymie A. Farr - Brigham Young University - Deloitte
Zhi P. Liu - Michigan State University - Plante Moran
Bryan T. Avery - Grand Valley State Univ. - Bader Martin
Trevor Steven Goss - Univ. of Arizona - Ernst & Young
Jenna K. Mehalic - Univ. of Illinois - State Farm Insurance
Michael Berryman - Univ. of Maryland - Ernst & Young
Eric Emil Hartel - Liberty University / Lakeland College CCH Small Firm Services
Heather Brilyn Saleeby - University of Georgia PricewaterhouseCoopers
William Thomas Jachym - University of Connecticut McGladrey and Pullen
Christopher Joseph Schoell - Lehigh University PricewaterhouseCoopers
David E. Johnson - University of Richmond / Loyola
University / DePaul University - KPMG
Christopher David Tkach - Saint Louis Univ. - RubinBrown
Kristen Adele Brands - Dordt College - Ernst & Young
Michael Robert Dean - University of Washington PricewaterhouseCoopers
Jeffrey D. Downs - University of Connecticut PricewaterhouseCoopers
Paul Zimbardo - Lehigh University - Grant Thornton
Why hunt for the latest accounting resources?
Now you can access up-to-date industry
analysis, webcasts, and learning tools, thanks
to KPMG LLP’s new website for students and
faculty. KPMGUniversityConnection.com
covers topics like professional judgment,
ethics, IFRS, and more. And here’s the
best part—it’s free. So spend less time
looking and more time
learning.
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alerts and RSS feeds:
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newaccountant
23 New Accountant
© 2012 KPMG LLP, a Delaware limited liability partnership and
the U.S. member firm of the KPMG network of independent
member firms affiliated with KPMG International Cooperative
(“KPMG International”), a Swiss entity. 120602
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Amper, Politziner & MattiaBlackman Kallick Citrin Cooperman & Company, LLP
www.amper.com
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Frazier & Deeter, LLC
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Clare & Storey LLP Freed Maxick & Battaglia, PC
Anchin, Block & Anchin, LLP Bland, Garvey, Eads, Medlock
www.clarecpa.com
www.freedmaxick.com
www.anchin.com
+ Deppe, PC
www.taxsmart.com
Clark Nuber
Friedman LLP
Anderson ZurMuehlen & Co PC
www.friedmanllp.com
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Blue & Co., LLC.www.clarknuber.com
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Clark, Schaefer, Hackett
Galusha, Higgins & Galusha, PC
Andrews Hooper & Pavlik PLC
www.cshco.com
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Blum Shapiro
Argy, Wiltse & Robinson, P.C.
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Clifton Gunderson LLP
GBQ Partners LLC
www.cliftoncpa.com
www.gbq.com
Cohen & Company Gettry Marcus Stern & Lehrer,
CPA, PC www.cohencpa.com
www.gmslny.com
Crowe Horwath LLP Goodman & Company, LLP
www.crowehorwath.com
www.goodmanco.com
Dalby, Wendland & Co., PC
Grant Thornton LLP
www.dalbycpa.com
www.grantthornton.com
Daszkal Bolton LLP
Grassi & Co
www.daszkalbolton.com
www.grassicpas.com
Decosimo
www.decosimo.com
Green & Seifter, CPAs, PLLC
www.greenseiftercpas.com
Deloitte
BDO
Brockman, Coats, Gedelian & Co. www.deloitte.com
GT Reilly & Company
www.bdo.com
www.bcgcompany.com
www.gtreilly.com
Dixon Hughes PLLC Belfint, Lyons & Shuman, PA Brown Schultz Sheridan & Fritz
www.dixon-hughes.com
H&R Block
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Doeren Mayhew
Berkowitz Dick Pollack & Brant
Buffamante Whipple Buttafaro, PC www.doeren.com
Habif, Arogeti & Wynne PC
www.bdpb.com
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Ehrhardt Keefe Steiner
Berman Hopkins Wright & Laham
& Hottman PC
Burnett + Company LLP
Haynie & Company, CPAs
CPA LLP www.eksh.com
www.burnettco.com
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Eide Bailly LLP
Hein & Associates LLP
Burr, Pilger & Mayer LLP
www.eidebailly.com
Berntson Porter & Company, PLLC
www.heincpa.com
www.bpmllp.com
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Eisner LLP
Hill, Barth & King, LLC
Carr, Riggs & Ingram, LLC
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Berry, Dunn, McNeil & Parker, LLC www.cricpa.com
www.hbkcpa.com
www.bdmp.com
Elliott Davis, LLC Holthouse, Carlin & Van Trigt LLP
Caturano & Co.
www.elliottdavis.com
www.hcvt.com
www.caturano.com
Armanino McKenna LLP
The Bonadio Group
www.amllp.com
171 Sully’s Trail
Aronson & Company
Suite 201
www.aronsoncompany.com
Pittsford, NY 14534
800-487-7624
Arthur Place & Company, PC www.bonadio.com
www.apcoadvisors.com
Bonamassa, Maietta & Cartelli, LLP
Baker Newman & Noyes, LLC www.bmccpas.com
www.bnncpa.com
Boulay, Heutmaker, Zibell & Co.
Baker Tilly
P.L.L.P.
www.bakertilly.com
www.bhz.com
Ernst & Young LLP Holtz Rubenstein Reminick LLP
CBIZ
www.ey.com
www.hrcpa.com
www.cbiz.com
BKD, LLP
910 E. St. Louis Street
Suite 400
Springfield,MO 65806
417-831-7283
www.bkd.jobs
24 New Accountant
Ewbank Hunter Martin & Co LLP.
CBIZ Tofias
www.ehmco.com
www.cbiz.com/tofias
Honkamp Krueger & Co.
www.honkamp.com
Feeley & Driscoll, PC
Horne LLP
CCR LLP www.fdcpa.com
www.horne-llp.com
www.ccrllp.com
Frank, Rimerman & CO. LLP Internal Revenue Service
Cherry, Bekaert, & Holland, LLP
www.frankrimerman.com
www.jobs.irs.gov
www.cbh.com
KPMG LLP
www.us.kpmg.com
J.H. Cohn LLP
4 Becker Farm Road
Roseland, NJ 07068
973-228-3500
www.jhcohn.com
LarsonAllen LLP
www.larsonallen.com
Kearney & Company
Margolin, Winer & Evens LLP
1701 Duke Street
Lattimore Black Morgan & Cain, PC
400 Garden City Plaza, 5th Floor
Suite 500
www.lbmc.com
Garden City, NY 11530
Alexandria,VA 22304
516-747-2000
703-931-5600
Jaynes, Reitmeier, Boyd &
LECG, LLC
www.kearneyco.com
Therrell, PC
370 Lexington Avenue
Loeb & Troper
www.jrbt.com
12th Floor
Kemper CPA Group LLP
www.loebandtroper.com
New York, NY 10017
Johnson Lambert & Company www.kempercpa.com
212-973-1000
Lurie Besikof Lapidus &
www.jlco.com
Kennedy and Coe, LLC
www.mwellp.com
Company, LLP
www.kcoe.com
Katz, Sapper & Miller, LLP
www.lblco.com
Marks Paneth & Shron, LLP
www.ksmcpa.com
Kerber, Eck & Braeckel LLP
www.markspaneth.com
Marcum
LLP
www.kebcpa.com
Kaufman Rossin & Co.
www.marcumllp.com
Mauldin & Jenkins, LLC
www.krco-cpa.com
Kernutt Stokes Brandt & Co., LLP
www.mjcpa.com
MarcumRachlin
www.ksbc.com
www.marcumrachlin.com
Kolb + Co.
RSM McGladrey, Inc
www.kolbco.com
www.mcgladrey.jobs
Joining a winning team.
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J.H. Cohn has created an environment that empowers employees
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rewards achievements in the workplace as well as contributions
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25 New Accountant
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J.H. Cohn is an Affirmative Action/
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NewAccountantUSA.com 25
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Plante & Moran, PLLC
FTI Consulting
Templeton & Company, LLP
McKonly & Asbury LLP
www.plantemoran.com
www.fticonsulting.com
www.templetonco.com
www.macpas.com
Postlethwaite & Netterville
www.pncpa.com
Sciarabba Walker & Co. LLP
Thorp & Company
Mikunda, Cottrell & Co., Inc.
www.sciarabbawalker.com
www.thorpco.com
www.mcc-cpa.com
PricewaterhouseCoopers
Seiler & Company, LLP
www.pwc.com
Trien Rosenberg
Mohler, Nixon & Williams
www.seiler.com
www.trienrosenberg.com
www.mohlernixon.com
Proctor, Crook, Crowder & Fogal, P.A.
Seward and Monde
www.pcc-cpa.com
UHY Advisors
Moody, Famiglietti & Andronico, LLP
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www.uhyadvisors-us.com
www.mfa-cpa.com
Protiviti
Siegfried Group, LLP
Moore Colson
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Vavrinek, Trine, Day & Co., LLP www.siegfriedgroup.com
www.moorecolson.com
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Sikich LLP
Rea & Assoc
Morrison, Brown, Argiz & Farra, LLP
www.sikich.com
www.reacpa.com
Warren, Averett, Kimbrough &
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Marino, LLC
Rehmann Group, LLC
Silberstein Ungar, PLLC
www.wakm.com
Moss Adams LLP www.rehmann.com
www.sucpas.com
Watkins Meegan
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Reznick Group, P.C. SingerLewak
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Novogradac & Company, LLP www.reznickgroup.com
www.singerlewak.com
Weaver
www.novoco.com
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Robert Half International
Smolin, Lupin & Co.
www.rhi.com
O’Connor Davies Munns &
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Dobbins, LLP
Rosen Seymour Shapss Martin &
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Squar, Milner, Peterson, Miranda
Company LLP
& Williamson, LLP
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WeiserMazars LLP
Olson & Company, PC
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135 West 50th Street
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Rotenberg Meril Solomon
New York, NY 10020-1299
SS&G
Bertiger & Guttilla, P.C.
212-812-7000
Pailet, Meunier and LeBlanc, LLP www.rmsbg.com
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Rothstein KassStephen James Associates
Wipfli LLP
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RubinBrown,
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Stone Carlie
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Parente Randolph, LLC
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Stonefield Josephson, Inc.
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WithumSmith+Brown, PC
5 Vaughn Drive
Princeton, NJ 08540
Suby,
Von
Haden
&
Associates,
SC
Sax Macy Fromm & Co., PC
609-520-1188
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ParenteBeard LLC
855 Valley Rd
www.withum.com
One Liberty Place
Clifton, NJ 07013
1650 Market Street
973-472-6250
Wolf & Company P.C.
Suite 4500
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www.wolfandco.com
Philadelphia, PA 19103
SC&H
Group,
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215-972-0701
Tate & Tryon CPAs
Yeo & Yeo
www.scandh.com
www.parentebeard.com
and Consultants
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2021 L Street,NW
Schenck SC
Perelson Weiner LLP
Suite 400
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www.pwcpa.com
Washington, DC 20036
Schneider Downs & Co., Inc. 202-293-2200
Petrinovich Pugh & Company, LLP
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PMS 294
26 New Accountant
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