AN MBA MAY BE THE ‘IT’ DEGREE TO PURSUE A CAREER IN THE FINANCIAL SPHERE, BUT COURSES LIKE CHARTERED ACCOUNTANCY, COMPANY SECRETARY, AND COST ACCOUNTANCY, ARE INTENSELY SOUGHT-AFTER BY STUDENTS, AND THEIR EXPERTISE IS, IN TURN, REQUIRED BY INNUMERABLE COMPANIES AND INDIVIDUALS. MITALEE CHOVATIA DOES THE MATH .

   Amountain of debt, a sea of corporate laws, and in their midst, the ebb and flow of the Indian stock market - the commercial world is truly a man-made wonder. However, for the vast team of professionals, who systematically dissect these figures and laws, and run this hub of activity, it’s all in a day’s work. The education environment that governs the commercial arena of these young Indian professionals comprises three major professional courses - the Chartered Accountancy (CA) course, the Company Secretary (CS) course and the Cost and Works Accountancy (CWA) course.

CHARTERED ACCOUNTANCY (CA)

Perhaps, it’s the fat pay cheque that CAs can command, or the idea of a prestigious professional degree, but the fact is, the Institute of Chartered Accountants of India has always successfully drawn young students, fresh out of class 12, back into the world of academics in less than two months. What makes an ideal CA candidate? Nandita Parekh, Partner, A J Shah and Co, Chartered Accountants, enumerates, “To me, an ideal CA student must have passion, an interest in understanding the economic environment, and a commitment to render excellent professional service, wherever they choose to work.”

WORK WISE

In essence, a chartered accountant is involved with the work of financial reporting, and for this purpose, his job is to scrutinise financial transactions and records. A CA in the role of an auditor can carry out three main branches of audit work - statutory audit, tax audit and internal audit. While traditionally, CAs have set up practice or joined firms that were involved in audit work, currently, the scope of a CA’s job profile has expanded into other financial services. However, many believe that students with an MBA degree are better suited than CAs for other financial services. Still, Parekh, who is a Fellow Chartered Accountant (FCA) and also has an MBA from Keller Graduate School of Management Studies, Chicago, disagrees. She asserts, “I think a CA brings greater content knowledge and disciplined work methodology to the table, whereas an MBA graduate brings breadth and flair. There is room for both of these in the financial services sector.”

COURSE CONNECT

The course, which is intensely gruelling, covers a mix of subjects that includes advanced accountancy, law, audit, taxation, cost accounting, financial management and information technology. However, one of its unique features is its inbuilt provision of a three-year internship period, known as the articleship, which prompts a student to go beyond the realm of academic knowledge. Practicing chartered accountants consider the articleship a useful tool to mould future employees, and students also give this provision a thumbs-up, as it allows them to test their knowledge in a protected, but practical environment.

TEST TALK

The course stretches to roughly four years, which include three levels of examinations: The entrance level: Common Proficiency Test The inter CA level: Integrated Professional Competency Examination The final CA examination

MONEY MATTERS

A charted accountant can expect anything between Rs 3,60,000 per annum to Rs 6,00,000 per annum, when he/ she initially starts out.

COMPANY SECRETARY (CS)

The company secretary course is a career option that commerce students with a legal bend of mind, can consider.The CS course involves working on various legal compliances to be obtained by a company. It is a statutory requirement for a company, with a paid up share capital above Rs five crore to appoint a company secretary, ensuring that there’s never a dearth of jobs for these professionals. However, Manish Sheth, a final CS student, cautions those who take up the course, in addition to another professional courses like CA, saying, “Some students tend to register for the course with the hope that it will beef up their resume. While the CS degree is rather valuable on its own, if you do study for a CA, as well as a CS, it’s not going to score you major points on the job front. The reason for this is that both courses are rather different from the core. Thus, it would be advisable to pursue an add-on course that branches out into either one of the fields.”

WORK WISE

A company secretary is expected to look into the legal aspect of a company’s functioning. Statutory requirements, in compliance with the Companies Act, have to be met by a company at all times, and a company secretary is appointed to ensure the same. A company secretary also forms a link between the shareholders and the board of directors, by ensuring timely holding of meetings and appropriate documentation of the same. His work also comes into focus at the
time of listing of a company. During the course, a company secretary student is tested on his language skills. However, emphasis is on a candidate’s knowledge of legal language, and thus, a student with average communication skills need not cross out the CS route for his career.

COURSE CONNECT

The course comprises three levels - the foundation, the executive and the professional level. A student, who has completed his graduation, can skip the foundation and begin from the executive level. The course also involves 15 months of practical training, where one is trained under a practicing company secretary, and thus, gathers an understanding of the nuances of the work involved.

MONEY MATTERS

A qualified CS, at the start of his career, can expect a package above Rs 3,60,000 per annum.

COST AND WORKS ACCOUNTING (CWA)

One of the most dreaded subjects for students pursuing a career in the commercial sector is cost accounting, thus those who choose to make a career out of their expertise in the subject are very few, and hence, highly sought after. Nisha Nair, a final-year cost accountancy student, reveals, “The number of practicing cost accountants is very small in comparison to those practicing CA or CS. This is probably because many students prefer to switch to core accountancy, rather than continue to practice as cost accountants. However, with the course structure now including a three-year practical training programme, students have begun to understand the course in a practical environment, and are pursuing the course with a view to practicing the profession.”

WORK WISE

Cost accounting essentially involves breaking down the various costs that go into a particular product or service, and arriving at the final cost. A cost accountant’s views are prudent at the time of formulating an organisation’s budget and feasibility reports. A cost accountant could also set up his own practice; his clientele would include private and public companies, industrial, commercial and service undertakings.

COURSE CONNECT

The course, which comprises three levels - the foundation, intermediate and final levels - prepares students in subjects like cost and management accounts, commercial and industrial law, audit, direct and indirect taxation and information systems. However, unlike other professional courses, there isn’t any particularly well-known coaching class to guide students, and therefore, they often rely on their seniors and practicing cost and works accountants to help them with their coursework.

MONEY MATTERS

A qualified cost and works/ management accountant with sufficient work experience can expect a starting package of anything above Rs 2,50,000 per annum.