Accountants Split on Creating New Credentials

By Jonathan D. Glater N. Y. Times News Service | THE JOURNAL RECORD, April 17, 2001 | Go to article overview

Accountants Split on Creating New Credentials


Jonathan D. Glater N. Y. Times News Service, THE JOURNAL RECORD


Would an accountant, by any other name, sound sweeter?

The question has been raised by the American Institute of Certified Public Accountants, which has floated a proposal to create an internationally accepted credential certifying a certain level of finance expertise. The aim is to complement the existing accounting certification, and to attract more students and practicing professionals.

But the proposal has run into trouble, not least because the name first proposed for the credential was the reptilian-sounding Cognitor. Many accountants also resent the implication that they need an additional title and hate the idea of increased competition from lawyers, consultants and other professionals, who would be eligible to take the test for the credential.

"This has just been a disaster from the beginning," said Arthur W. Bowman, editor of Bowman's Accounting Report in Atlanta. The accounting institute's leadership "started pontificating on the profession and saying, `This is what we need and this is why we need it,' rather than people out there in the real world" making suggestions, he said. "There's a real communication gap."

The institute is trying to address two problems: Fewer college students are interested in accounting, and more certified accountants -- more than 90 percent of the institute's members, in fact -- are engaged in consulting, financial advising or something other than traditional audit and tax work.

The new credential, for now designated XYZ, is to solve these problems because it will presumably attract accountants and nonaccounting professionals alike, as well as college students who would otherwise seek neither an XYZ nor a CPA, according to the institute. Part of the attraction is that the proposed credential does not require knowledge of all the complex accounting principles the CPA exam requires. Indeed, those holding the new credential would not be permitted to conduct audits of companies unless they were already CPAs.

The initiative to create the new credential comes at a time of increasing corporate pressure on regulators to agree on and adopt international accounting standards to simplify bookkeeping. The credential would be available in various countries, offering uniform standards of ethics across national borders.

"The market data is such that this is inevitable," said John Hunnicutt, the accounting institute's senior vice president for public affairs, said at a news conference presenting the credential proposal. Accountants' clients, he said, would be willing to pay a premium to hire advisers with the new credential, according to surveys the group conducted.

But it is unclear whether the new credential would allow professionals to do anything more than what they are already doing. Its definition is extremely broad and the topics that would be on a test for certification run the gamut from law to -- you guessed it - - accounting. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited article

Accountants Split on Creating New Credentials
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this article
  • Highlights & Notes
  • Citations
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.