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CPA Meaning: Definition, Examples, and Translations

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CPA

[หŒsiห piห หˆeษช ]

Definition

Context #1 | Noun

accounting

Certified Public Accountant (CPA) is a professional accountant who has passed the CPA exam and met specific education and experience requirements.

Synonyms

accountant, auditor, financial expert.

Which Synonym Should You Choose?

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Word Description / Examples
CPA

This title is used to refer to a Certified Public Accountant who has passed certain exams and met all criteria set by the state. A CPA handles complex financial activities and provides tax advice and auditing services.

  • We hired a CPA to help with our companyโ€™s tax preparation.
  • You should consult a CPA before making large financial decisions.
accountant

An accountant is a professional who works with financial records, including bookkeeping, preparing financial statements, and managing budgets. This term can be used in everyday business contexts.

  • Our accountant will review the financial reports at the end of the month.
  • She decided to become an accountant after taking several finance courses in college.
auditor

An auditor examines and verifies financial records to ensure accuracy and compliance with regulations. This term often applies to those who scrutinize records for mistakes or fraud.

  • The auditor found discrepancies in the company's expense reports.
  • We have an external auditor to check our financial health every year.
financial expert

This term is broad and can refer to anyone with extensive knowledge and skills in financial matters, including investments, budgeting, and economic strategies. It is often used in media or general discussions.

  • As a financial expert, she provides insights into market trends.
  • The panel included a financial expert who discussed the implications of the new tax law.

Examples of usage

  • I hired a CPA to help me with my taxes.
  • She became a CPA after years of studying and training.

Translations

To see the translation, please select a language from the options available.

Interesting Facts

Historical Origins

  • The CPA designation was established to provide assurance of accountability and expertise in accounting during financial tumult and growth in the early 20th century.
  • In 1903, New York became the first state to license CPAs, guiding other states to adopt similar legislations.

Regulatory Framework

  • CPAs must follow a strict code of ethics and professional standards outlined by the American Institute of CPAs (AICPA).
  • Each state in the U.S. has specific requirements for becoming a CPA, including a certain amount of education, experience, and passing the CPA exam.

Pop Culture

  • In popular media, CPAs are often portrayed as smart, detail-oriented individuals who are essential during tax season, highlighting their role in society.
  • Movies and shows sometimes depict CPAs as the unsung heroes behind successful businesses, showcasing their critical role in financial decisions.

Impact on Society

  • CPAs play a vital role in maintaining trust in financial systems, providing audits to ensure accuracy in financial reporting.
  • They are key in advising individuals and businesses on financial strategies, tax laws, and compliance, influencing economic health on multiple levels.

Origin of 'CPA'

Main points about word origin

  • The term 'Certified Public Accountant' first gained prominence in the United States in the early 1900s.
  • The word 'public' in CPA indicates an accountant's ability to serve the general public, unlike private accountants who work in companies.

The term CPA originated in the United States in the late 19th century when the accounting profession was becoming more regulated. It was created to establish a standard of qualification for accountants to protect the public interest. Over time, the CPA designation has become globally recognized as a symbol of accounting expertise and professionalism.