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Professionalization of accounting in the United States - Coggle Diagram
Professionalization of accounting in the United States
Similar origin as the commonwealth
professionalization occurred in the 19th century
American Institute of CPAs permits non-accountancy
ownership interests in accountancy firms
1994: Growth of LLPs
The professionalization of accounting in the USA was in response to industrialization.
Merger of Institute and Society in 1936 = American
Institute of (Certified) Public Accountants
population expansion
Emergence of professional middle-class
Railroad competition
The first professional accounting body, the institute of Accountants and bookkeepers of New York was established in 1882.
Unique and important features of USA accounting professionalization
Training by reputable universities.
State accreditation – accountants responsibility
to the state and professional bodies.
Standardisation of accounting and auditing
practices early on.
American Institute of Certified Public
Accountants (1936).
Financial Accounting Standards Board (1973)
Similarities between the professionalization of accounting in the United States and commonwealth.
Uniform examinations were adopted in all States
in 1952.
• Designation: Certified Public Accountant
Successful completion of admission exam.
2000s: Accountancy went global = growth of
multinational firms
Securities Exchange Commission: 1930
1960s: Quest for intellectual basis; attempts to
legitimise accounting education in the early 1990s
Merger of Institute and Society in 1936 = American
Institute of (Certified) Public Accountants
Membership limited to CPAs and adoption of uniform exams
(adopted by all US states by 1952) :