Aguila, Paulo Timothy DR.

III – BSA

“The Effect of Changing Accounting Standards to the CPA Licensure Exam and to the
Accounting Profession”

Change is always part of our daily lives. Every single day we are experiencing some
minor or major changes around us. Everything is always temporary and we must adopt to the
changes that might eventually occur. Some may consider it a blessing and some might find it a
curse. There is no permanent here in the world and we must adjust our selves to those changes.

Accounting Standard is a common set of principles, standards and procedures that define
the basis of financial accounting policies and practices. It is being taught to accountancy students
from the very first chapter of their college life and it is being practice by accounting professionals.
It was created a long time ago and many licensed professionals are using it. However, changing it
might cause serious difficulties to those who will be taking CPALE and to the accounting
profession.

Certified Public Accountant Licensure Examination is being conducted every twice a year
to examine every accountancy graduate students around the Philippines if they are qualified to be
a Certified Public Accountant. The accounting standard that was taught to them are being mixed
up to every exam that they will be taking but if those accounting standards are being changed,
there will a lot of confusion and a lot of adjustments not only for the students but also for all the
universities and review centers. It has a great impact to all professors and students because they
will adjust on those changes.

Accounting profession such as educators, public accountant, private accountant, internal

or externals auditors have big role in our society most especially to big businesses, entities and
companies. They are licensed professionals that took up CPALE and we can say that they almost
mastered the accounting standards. They are already using it every day in their field of works and
specialties. However, if those accounting standards that they already mastered suddenly change,
there will be a great effect on how they are doing their work. There will be a huge alterations and
modification on their job and it will also take a lot of time for coping up to those changes.

Therefore, I could conclude that changing accounting standards to the CPA licensure
exam and to the accounting profession has an enormous effect not only to the students who will
taking up the examination and professionals but also to the society since accounting is already
part of our daily life.