Business Lesson: Why We Need Accounting

As an employee, lender, manager, or investor it is important for you to have a basic understanding of accounting. That is why I have these business lesson, to help you understand the need  and grasp the basics.

This lesson explains why we need accounting…

Consider this explaination from the 7th Edition of Accounting Principles in which the authors Kimmel, Kieso, and Weygandt put forth some valid points.

The rise of accounting came about in the industrial age when they’re became a separation between owners and managers. The owners needed something to indicate the financial status of the company. This is where the overall practice of accounting started. Over time, there were some major misdeeds in the corporate and accounting world, therefor the rules and regulations surrounding accounting was heavily increased. This led to the Sarbanes-Oxley Act in July of 2002.

Overall, lenders and investors need financial statements to understand the financial health of the company. Managers and employees will be able to find areas that they are doing well in and areas that may need improvement. If these documents are forged on a large scale, it would be a huge hit to our economy because we would lend to those companies that were failing and management would have the wrong idea of how well the company is doing.

As an employee, it maybe required that you review financial statements with your manager. Or you just may get an email with financial information and may not understand what it means to you. My basic lessons every week should give you some understanding into the world of Accounting. Hope it helps…

Phone App Review: Flashcard+ Free

Need help studying for that big final. Flashcard+ Free was both simple and effective to use. I always had my notes on me so I could quiz myself on my lunch break or in line at the DMV.

If you don’t like typing everything on your phone you can pull up the website to type everything into the flashcards. You can even upload other peoples flashcard.

My favorite part was being able to use the speak to text option on my phone. That way I don’t have to write anything in, I just talked to my phone and the words come up.

So far this app has done what I needed it to do. If I could change one thing I would make it so you can put a picture in the flashcards. Sometimes a diagram explains something better than writing it out. I haven’t had any issues with the app itself and the flashcards have been very effective.

I would give this app of 4.5 out of 5.

Career Options: Audit Intern

Have you ever wondered what it would be like to work in a certain career or hold a specific position? I wanted to give you all some insight as to what it was like for me to be an Audit Intern at a medium sized CPA firm. I wanted to inform you what my day entailed. Lastly, I wanted to give you some insight as to how to get such a position.

What I Did…

Please understand that every position and company can be different, so I am only writing about my own experiences. The company that I worked for mostly audited government agencies, so the busy season came during the second half of the year. While I was in school, we agreed I would work 3 eight hour days during the week. Because the company was smaller than a Big 4 accounting firm, I got a wider range of duties than the average intern. My travel ranged from 5 minutes to 2 hours depending on which organization we were auditing.

My day consisted of reviewing financial statements and making sure the information was correct. Each line item in the financial statement had a to-do list that needed to be completed. We were there to prove what was on the financial statements was correct. Sometimes that meant witnessing the inventory ourselves or selecting samples documentation to make sure the procedures were followed correctly. At the end of the audit, I would be the final editor. I would check spelling, grammar, and the math of the final financial statement.

What is was like…

If you are one of those people who likes to work by yourself, this may be a good position for you. To me, the job was very lonely. You typically did your work at the agency that you were auditing. Most of the time those employees did not was to talk to you because they were scared of you. At times, we had a group of auditors in a conference room, so I did get to work in a group setting. As an auditor you are required to travel, so you may have to spend the night out of town. It is important to understand the difference between and internal; and external auditor. I was external, meaning I was coming in from the outside and I did not work for the agency itself. I was hired by the agency to do a job.

The position pays well, especially for a student. I have seen hourly wages range from $15-30/hour. If income it important to you, this may be an ideal position.

The hours count towards your CPA experience. If you are working under a CPA, your hours will count towards your CPA certification. You do not have to graduate to start the work experience portion of the CPA certification.

You can move up pretty quickly. If you work hard and pass your CPA exam it is rather easy to keep moving up in these type of organizations. The supply of good, hard-working, Certified Public Accountants is just not as high as the demand. I know many people who pass their exam and got an immediate bump in salary and tittle within the company.

How to get the job…

Start looking early. Most people wait until the last semester to look for an internship. Most organization that I spoke to at Meet The Firms were wanting to hire students in the sophomore or junior year of college. If you get in early and work your but off, you will be ahead of the game.

Have the career center look at your resume. You would hate for a small mistake to keep you from getting that dream job.

Get great grades. Most accounting positions or internships had a minimum GPA requirement, especially in your accounting courses. Make sure you pay attention to your overall and major GPA.

Network! Get to know your classmates, your fellow accounting club members, your teachers, and the companies you want to work for. I first went to an informational meeting for the CPA firm, through the accounting club. Then I introduced myself again at Meet The Firms. After meeting them a few times and keeping in contact, they offered me an interview.

Ace the interview. Review your material. Although if you get good grades, you should understand the basic questions they may throw at you. Review the job description and what you talked about in past conversations. Think about what the company wants and how you can fill that for them. Dress the part, I have never seen an accounting interview that was less than business professional. Practice, Practice, Practice. I used the career center to get a mock interview.

If I could redo college…5 things I would have done differently

Please, refer to other post for more detail. I already have posted about some of these and I plan on posting about the rest in the future.

#1 I would have worked less and concentrated on my classes/grades more. Having a job was very important for my self – discovery and my resume, but I could have worked less hours.

#2 I would have got a better GPA. I found out the GPA was very important if you wanted to make yourself marketable to your ideal company.  Even if you just want to move on to graduate school, GPA is important.

#3 I would have got to know my classmates. I wish I would have got to know more people in my classes. They are a factor to good grades and a better career.

#4 I would a joined a club and/or student organization much earlier. I would have met my classmates in these groups. The networking experience and company information I got in one year was extremely valuable.

#5 I would have got to know my teachers better. They can be a great resource for your career. If they see you more, they know your trying. Lastly, you may end up needing a letter of recommendation from them.

Why I’m happy I went to a community college first…

My story…

Most of the time, students are pushed to pick a career before they get into college. Somehow you are suppose to know what you want to do for the rest of your life, when you haven’t even learned to live on your own or what your true passions are. So, like everyone else, I picked a career and a suitable college to go with it. At the time, I was taking care of my sick mother while going to high school. I cooked, I cleaned, and I ran the household while my dad was away on business trips. I thought maybe my mother had been sick for a reason, possibly caring for my mom would better prepare me to care for other people who are sick. So there is was…the major of my choice “nursing.” Boy was I wrong. It was actually because of my mom that I was unable to become a nurse. I hated to see people go through what she went through and I couldn’t handle how depressing the job could be. I give a huge praise to those who can handle being a nurse.

Then I went on to find my true passions and learning more about myself. I switched from taking the prerequisites of nursing to just taking the general education course for any degree. I even jump around to some fun classes to see what I really enjoyed. My classes ranged from religion, art, and physical education to economics, building your own business, and accounting (all for $26 a unit at the time). That when I realized that I was a business woman at heart and I wanted to transfer to get my Bachelors in Business.

Reasons community college worked for me:

1. It was a low cost way to find my true passions and switch majors if I needed too.

2. My teachers seemed to take a huge interest in my success.

3. It was an easier to change from part-time to full-time and vice-verse.

4. It was easy to transfer to a University.

5. It was easier to get into the classes that you needed.

Yes, there are some pros to going straight to the college of your choice. This article is just explaining why community college was beneficial for me.

Educational Advice: Think About What You Are Wearing…

It is very interesting how many people show up to class wearing PJ’s or sweatpants on  a daily basis. Some students don’t think about how this could effect their careers. I’m not saying you need to come to class wearing a suit everyday, but at least put some thought into what your outfit is saying about you. Do you look like you didn’t even get ready in the morning? Do you dress inappropriately? Just a few things to think about when getting ready in the morning…

Here are a few major reasons why you should care about how you look when you step into the classroom:

#1 Your teacher knows people in your fields of study and could be a great recommendation for you. If you are a great student but they feel like you wouldn’t represent professionalism, you may be shooting yourself in the foot.

#2 Your classmates may already work for the companies you wants to work for.

#3 You never know who you are going to run into.

Your Health and Your Work.

Yoga Class at a Gym Category:Gyms_and_Health_Clubs (Photo credit: Wikipedia)

I understand as much as the next person that your job is important, but YOU are important too. You may like your job. You may like your salary. You may like being busy or you may like the praise. Whatever the case may be, your job can not be your life. You should be living a healthy lifestyle while you are being a good employee. Really, I think living a healthy lifestyle will help you be a good employee.

Here is some advice to keep a healthy lifestyle while working hard.

1. Work in some activity– Go for a walk on your lunch break. Take your kids on a hike on the weekends. Go for a jog before work. Take the dog for a walk.

2. Work in some healthy eating– I not saying you should take 2 hours to make dinner, but you should work in some healthy choices. I always try to eat something for breakfast. I have room at my job for a little pantry. At the beginning of the week I bring in fruit, bread, peanut butter, soup, and snacks. I bring in a bag of carrots as much as possible. I try to make or order healthy dinners, but sometimes it doesn’t always work out that way.

3. Visit the doctor- Whatever issues you may be experience, big or small, you should see your doctor and listen to him or her. You may find that your life is a lot easier if you figure out whats wrong. See me blog about fatigue and how seeing my doctor changed my life.

4. Visit your dentist– Some people avoid the dentist at all cost, but having issues in your mouth could hinder your success. You would hate to have to leave work on a busy day because you have a tooth ache.

5. Understand mental health- relaxation and stress relief activities can make you more productive. Not to mention, you may like your job a lot more if your not stressed out about it all the time. It is very important to work in relaxation and fun. Take a yoga class or go out with your friend on the weekend.

My First Networking Event-ASWA

MyBIZNet - Your Worldwide 'Business Networking' site. (Photo credit: Wikipedia)

The American Society of Women Accountants put on an event yearly, called ASWA Annual Student Night. They invite accounting staffing companies, Big 4 Accounting Firms, accounting review courses, accounting clubs, and small to medium size accounting firms. They also invite students from local schools and let them network and eat with these companies. You get to spend the first hour and a half networking, then you sit for dinner and listen to the speakers.

It was extremely nerve racking to get ready for such an event. I got my first suit, nice button up shirt, and close toed heels, so I could look professional for these potential employers. I took my resume in to get reviewed and brushed up on it right beforehand (although not a lot of employers ask for your resume right then and there). I got a portfolio with a notepad and wrote down a few notes. My notes consisted of important information I wanted to know and key points about the firms. I was nervous that the conversation would not flow, so I started to think of ways I could flow into the questions. Here is an example of the open ended questions I asked in order to keep the conversation flowing…

Make eye contact (make sure you are not interrupting another student)

Shake their hand and introduce yourself.

I then ask, so you work in Tax/Audit in ____________ company?

Why did you pick this area of accounting?

Do you get to Travel? How much?

Do you find that there is a nice work/life balance at this company?

What types of training programs do you provide for your employees?

Do you have any advice for me?

When do you hire for internships?

It was a pleasure to meet you,

Do you have a card, so maybe I could contact you again?

I am not an expert at this, again, this was my first event. These were the issues that were important to me, so please ask questions that you care about. I did cater my questions to the person who I was speaking to. For example, I would not ask a recruiter how much they travel, because I’m not looking to be a recruiter. I would not ask an Intern about what she looks for in a potential intern. Although Interns can be a good source of information for the internship life. Other notes I wrote down, was key points about the firms that were attending. It seems a little silly to walk up to a Big 4 accounting firm and ask, so who are you? Write down information from heir websites. There are examples of what I wrote down…

Where are they located?

Are they Big 4?

Are they regional? International? Local?

Interesting facts from their website that you can bring up in a conversation?

Overall, this was a GREAT experience. Even if I don’t get that job from this event, The practice really helped me out for the big Meet The Firms event. I relaxed and realized that these people aren’t as scary as they may seem. They were actually very nice. They we

re there to answer our questions and we were there to ask questions. What do you know, a perfect fit!

By the way, on another note. I didn’t write down any notes during this event. I wish I would have. Now that it is the next day, I may be getting a few companies mixed up. So, my suggestion to anyone going to a networking event or job fair, please, write down what you liked and key points about the conversation. That way if you met this person again, like say, in an interview, you can bring it up again.

Please, comment if you have any questions or if you have any other ideas. I have plenty more of these events to attend.

Educational Advice: Meet Your Classmates

Class Room (Photo credit: Wikipedia)

Your sitting in the classroom waiting for the teacher to walk in. There is only one other student near you. I know you might not want to talk to anyone, but getting to know this student may be very helpful in the future. Think of a question to ask or compliment them on their laptop bag.

This person may be able to give you notes when you miss class due to a flat tire. This person may give you their number so you can ask them questions about their homework. This person may be the same major as you and know some good teachers to take. This person may work at the place you want to work. At very least, this person may just be someone cool to talk to while your waiting for class to start. This person could end up being a long time friend.

So, the next time your in class and just waiting for class to start, I challenge you to talk to someone.

Educational Advice: Picking Classes

(Photo credit: Wikipedia)

I wanted to pass on some information I wish I knew before I started at the University. This will most likely pertain to community college, also. I can’t stress enough how a class  and the teacher can make or break your semester. Here is some advice to consider when picking your classes.

1.Talk to you counselor– I don’t just mean the general education counselor, your major (business) counselor is just as important. They helped me order my classes, pick my electives, and plan my whole education out. I would even go back every semester. One semester I could not get into the classes I needed, so they wrote me a special pass to get into a class that I did not have the prerequisites for.

2. Evaluate your schedule– Think about your commute. Leave some time for lunch. Do you need time to catch up on homework between classes? Is 6 classes too much? It took me a few semesters to figure out what works for me, but it is important for you to know yourself and what you need.

3. Check the teacher ratings– I can’t tell you how much a mean, difficult, hard to work with teacher can make your semester a nightmare. Go to http://www.ratemyprofessors.com and read about what other students think.

4. Pick classes that interest you– I find that I get a lot more out of college if I enjoy as least some of it. Maybe, take a PE class or an art class to bring some fun to your semester.

5.Pick a variety of classes– I know this may sound like the last one, but I have talked to classmates who take 5 accounting classes in one semester. I don’t even like to take 3 accounting classes at one time, because I get tired of the same material and sometimes I get them mixed up.

6. Take a class with a friend- It can be nice to know someone and talk to someone about the material. If you miss a class, you can have someone to copy the notes from.

7. Have back up choices– With the budget cuts, it is very hard to get the first class you want. I suggest having a list of desired classes. That way, when it’s time to sign up, you don’t have to waste time doing research.

Hope this helps…