what is an accountant 
an accountant reviews and analyses financial records keeping track of a company s or individual s income expenditures and tax liabilities an accountant may also be involved in project planning cost analysis auditing and financial decision making some specialize in tax preparation and tax planning the accountant may work in a large company s accounting department or an external accounting firm accountants are required to meet state specific educational and testing requirements and are certified by national professional associations duties and skills of accountantsaccountants work with companies governments and non profits or set up private practices they may perform multiple duties depending on where they work they may perform account analysis review financial statements and other reports to ensure they are accurate conduct routine and annual audits review financial operations prepare tax returns advise on areas that require efficiencies and cost savings and provide risk analysis and forecasting an accountant s duties often depend on the type of educational background and designation they receive most professionals in the field possess bachelor s degrees and if employed by a corporation may require certification to move up within the firm certification requirements vary with some roles requiring additional educational requirements above the bachelor s degree and successful completion of rigorous examinations accountants can have more than one designation the most common are the certified internal auditor cia certified management accountant cma and certified public accountant cpa a certified internal auditor doesn t need a license to practice nor does a certified management accountant there are 672 587 certified public accountants in the u s according to the national association of state boards of accountancy 1many accountants choose to become cpas because the designation is considered the gold standard in the accounting profession in the united states certification requirements for accountants vary from state to state but one requirement is universal the passing of the uniform certified public accountant examination this exam is written and graded by the american institute of certified public accountants aicpa ethical standards and guiding principlesaccountants must abide by the ethical standards and guiding principles of the region where they practice such as the international financial reporting standards ifrs or generally accepted accounting principles gaap the ifrs is a set of rules issued by the international accounting standards board iasb these rules promote consistency and transparency in financial statements gaap is a set of standards that accountants must adhere to when they complete financial statements for publicly traded companies in the u s certified public accountants are legally and ethically responsible to be honest and trustworthy and to avoid negligence in their duties cpas have real influence over their clients which means their judgment and work can affect not just an individual but an entire company including its employees its board and its investors accountants may be held liable for paying uninsured losses to creditors and investors in the case of a misstatement negligence or fraud accountants can be held liable under two different types of law common law and statutory law common law liability includes negligence fraud and breach of contract while statutory law includes any state or federal securities laws history of accountantsthe first professional association for accountants the american association of public accountants was formed in 1887 and cpas were first licensed in 1896 23accounting grew as a profession during the industrial revolution this was largely due to the growing complexity of businesses and the demands of shareholders and bondholders for evidence of the financial well being of the companies they invested in after the great depression and the formation of the securities and exchange commission sec all publicly traded companies were required to issue reports written by accredited accountants this change further increased the need for corporate accountants today accountants remain a ubiquitous and crucial part of any business 