BS ACCOUNTING TECHNOLOGY

BS in Accounting Technology in the Philippines

The Bachelor of Science in Accounting Technology program aims to provide students with a strong foundation of knowledge and skills regarding accounting standards and techniques, in order to prepare them for careers as bookkeepers, auditors and accounting staff.

Accounting Technician is a new terminology in the Philippine marketplace but is widely used in Australiaand the United Kingdomto identify a range of accounts or bookkeeping occupations working in all industries and sectors.

An Accounting Technician carries out valuable accounting and related jobs. They work at all levels from account clerks to financial controllers.

Can Accounting Technology graduates work as accountants?

Graduates of BS in accounting technology program won't be eligible to take the CPA board exam and work as accountants. They would need to take the BS in Accountancy program to be able to do so.
The BS in Accounting Technology enables graduates to work as bookkeepers and auditors.
BS in accounting technology graduates are eligible to work abroad after taking the CAT exam.

What exam do I need to take to practice as accounting technicians in the Philippines?

A graduate of Bachelor of Science in Accounting Technology needs to take and pass the Certified Accounting Technician (CAT) Examination in order to practice as accounting technicians in the Philippines. This is offered by the Association of Chartered Certified Accountants (ACCA). 

What are the requirements for admission to the Certified Accounting Technician Examination?

• Must not have any case filed or pending for moral turpitude in any court in the Philippines that involves moral turpitude
• Must have finished the Certified Accounting Technician program in the National Institute of Accounting Technicians
• Must have a copy of the Transcript of Records with Special order and date of graduation
• Must be a holder of a degree in Bachelor of Science in Accounting Technology
• Must have an original copy of community tax certificate (cedula)
• Must have a copy of the NSO authenticated birth certificate
• Must be of good moral character

What are the career opportunities for graduates of Bachelor of Science in Accounting Technology in the Philippines?

• Financial Services Manager (Commerce & Industry and Government Sectors)
• Senior Information Systems Internal Auditor
• Financial Accounting and Reporting Staff
• Senior Forensic Internal Auditor
• Financial Statement Preparers
• Management Accounting Staff
• Vice President for Finance
• Chief Information Officer
• Accounting Technician
• Senior Fraud Examiner
• Chief Financial Officer
• Tax Accounting Staff
• Internal Audit Staff
• Financial Analyst
• Budget Analyst
• Credit Analyst
• Comptroller

CAT Challenge Exam

If you have graduated from any of the accredited providers, then you will only have to take the CAT Challange Exam.

The CAT challenge exam can be take in three levels: 

Level 1 : Practical Accounting

Level 2: Cost Accounting 

Level 3: Taxation and Payroll Accounting 

 

Work Experience Required

To fully become an Accounting Technician, the National Institute of Accounting Technicians require the students who have passed the CAT Program  to acquire at least one (1) year relevant experience after passing the exams which will first be evaluated by NIAT in order to properly credit it.

Our requirement of work experience is to make sure of the quality of our Accounting Technicians on whether they understand or grasp the essence of what an Accounting Technician is capable of. And evaluating their coming from is just our way to make sure that when our graduates take on the title of CAT, they trully deserve it.

There are no limitations on the titles a student should or will possess in their pursuit of the one (1) year work experience because the variety of duties in the accounting and finace industry is very wide

What can you do after qualifying?

Many NIAT members took up key roles in accounting practices and in industry. These covered a broad range of finance roles in many types of organisations across different sectors from private industry to local and central government. Some members pursue careers in accounting management by becoming members international bodies such as Institute of Certified Bookkeepers UK (ICB), Institute of Accounting Technicians (IAT) Canada and Institute of Certified Management Accountants (ICMA) Australia.

CREDITS:

NIAT, Finduniversity.ph    

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INTRODUCTION TO ACCOUNTING

The Role of Accounting in Starting a Business

Categorize business types and organizational forms.

• Business Types

Manufacturing businesses make products from raw inputs.
Merchandising businesses sell manufactured goods to customers.
Service businesses provide service to customers or clients; they do not make or sell products.

• Organizational Forms

Sole proprietorships are owned by one individual, are relatively inexpensive to form, and are not legally separate from their owners. Thus, all profits or losses become part of the taxable income of the owner, who is also personally responsible for all of the business's debts.
Partnerships are legally similar to proprietorships, but they have two or more owners.
Corporations are separate legal entities (thus, they pay taxes) that sell shares of stock to investors (stockholders). Corporations are more costly to establish than sole proprietorships and partnerships. Stockholders in corporations cannot be held liable for more than their investment in the corporation. Private corporations sell stock to a few individuals; public corporations sell stock on the stock market.

Describe accounting and its role in business decisions.

• Accounting Defined

Accounting is an information system designed to capture and communicate a business's financial condition and performance to decision makers inside and outside the organization.

• Accounting Professionals

Private accountants are employed by a single business or nonprofit organization. Many pursue the Certified Management Accountant certification.
Public accountants charge fees for services to a variety of businesses and nonprofit organizations. Staff members of CPA firms become licensed certified public accountants.

Identify users of financial information.

• Users of Financial Information

Internal users (primarily managers, sole proprietors, and partners) are those inside the organization who make business decisions affecting the organization's operating, investing, and financing activities.

• Management accounting is the area of accounting that produces financial information for internal users.

External users (primarily bankers, suppliers, governments, and stockholders in corporations) are not directly involved in running the business.

• Financial accounting is the area of accounting that produces financial information for external users.

Describe the fundamental accounting equation and elements of financial statements.

• The Accounting Equation

The fundamental accounting equation is Assets = Liabilities + Owner's Equity.

The five financial statement elements are:

• Assets are measurable economic resources that the business owns and are likely to provide future benefits.
• According to the historical cost principle, assets are initially measured at the total cost to acquire them.
• Liabilities are measurable and probable obligations that require the business to pay cash or deliver goods or services to others in the future.
• Owner's equity is the difference between the assets the business owns and the liabilities it owes.
• Revenues are the amounts that the business earned in delivering goods and services to customers.
• Expenses are the amounts of resources an entity used to earn revenues during a period.

Explain the structure of basic financial statements.

• Financial Statements

Income statement

• Its purpose is to report the performance of a business over a period of time.
• The income statement equation is Revenues – Expenses = Net Income (or Net Loss).

Statement of owner's equity

• Its purpose is to report the changes in owner's equity for a period of time and link the income statement to the balance sheet.
• The owner's equity equation is Beginning Owner's Equity + Additional Investments + Net Income (or – Net Loss) – Withdrawals = Ending Owner's Equity.

Balance sheet

• Its purpose is to report the amount of a business's assets, liabilities, and owner's equity at a particular point in time.
• The balance sheet equation is Assets = Liabilities + Owner's Equity

Statement of cash flows

• The purpose is to report the cash inflows and outflows for operating, investing, and financing activities during a period of time.
• The cash flow equation is ± Cash from Operating Activities ± Cash from Investing Activities ± Cash from Financing Activities = Change in cash during the period.
• Operating activities—those activities directly related to earning profits.
• Investing activities—buying and selling productive resources primarily with long lives.
• Financing activities—borrowing and repaying bank loans, receiving additional investments from owners, and withdrawing profits from the business by owners.
• According to the monetary unit assumption, financial information is reported in the standard monetary unit of the country in which the business operates.

Notes to the financial statements explain how amounts were measured and provide additional information that may affect users' decisions.

Understand the importance of ethical decisions in financial reporting and business.

• Generally Accepted Accounting Principles

The Financial Accounting Standards Board (FASB) sets the rules of accounting, which are the main source of generally accepted accounting principles (GAAP).
Financially useful information should be reliable, relevant, comparable, and consistent.
The Public Company Accounting Oversight Board (PCAOB) sets the rules for independent auditors.

• Ethical Conduct

Ethics in business and accounting refers to the standards of conduct used to judge right from wrong, honest from dishonest, and fair from unfair. Ethical dilemmas harm employees, the business's reputation, the corporation's stock price, lenders, and the public in general.
Companies need a strong system of internal controls to ensure the accuracy of their accounting records and to protect their assets from loss. An audit by independent auditors provides additional credibility regarding the strength of the companies' internal controls and the quality of their financial information.
Independent auditors (CPAs) must adhere to an ethics code, the Code of Professional Conduct, when providing services to clients.

Establishing a Business and the Balance Sheet

Identify what constitutes a business transaction and recognize common balance sheet account titles used in business.

• Nature of Business Transactions

Transactions include:
External exchanges—measurable exchanges of assets and services from one company for other assets or promises to pay from another company, and
Internal events—those that are not exchanges between the business and others, but which have a direct and measurable effect on the entity, including use of supplies and use of a building over many years.

• Balance Sheet Accounts

Typical balance sheet account titles include the following:
Assets: Cash, Accounts Receivable, Inventories, Supplies, Buildings, and Equipment.
Liabilities: Accounts Payable and Notes Payable.
Owner's Equity: "Owner's Name," Capital.

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