Cases in Accounting

RSM 426 – Critical Thinking and Analysis

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WELCOME to RSM 426 !
Competency Map

What is the CPA Competency Map?

• Provides the vision of the CPA
profession
• Provides a detailed analysis of the core
knowledge and skills expected of CPAs
• https://www.cpacanada.ca/en/become-a-
cpa/cpa-certification-program-evaluation/

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Competency Map

Seven Enabling Competency Areas:

• Act Ethically and Demonstrating Professional

Values
• Leading
• Collaborating
• Managing Self
• Adding Value
• Solving Problems and making decisions
• Communicating
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Competency Map

The six technical Competency areas are:

• Financial Reporting
• Strategy and Governance
• Management accounting
• Audit and Assurance
• Finance
• Taxation

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Competence

• The broad range of knowledge, skills, attitudes and

observable behaviour that account for the ability to
deliver a specified profession service
• The particular tasks that CPAs perform while
applying, or bringing to bear, the pervasive
qualities and skills that are characteristic of CPAs
to the level of proficiency defined as appropriate by
the profession

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Evaluation Methodology

Each primary indicator is evaluated as one of the

following:

NA = Not addressed
NC = Nominal competence
RC = Reaching competence
C = Competent
CD = Competent with Distinction

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Evaluation and Feedback

Feedback Guides used:

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Types of Cases

Comprehensive Cases
• 4 - 5 hour cases
• Focus on at least 4 technical competency areas

Multi-subject Cases
• 2 hour cases
• Usually Focus on 2 – 3 technical competency areas
• Time constrained; designed to cover both technical
and enabling competencies
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Framework Summary – Multi- Subject Cases

1. Determine your role and requirements

2. Identify information users and their needs given in the
case environment
3. Identify the case issues
4. Identify the CPA standards that will be applied to each
issue
5. Consider integration for each issue if required
6. Provide recommendation; consider impact on f/s,
covenants etc.
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CPA Handbook

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Approaching a Case - Planning

• Allocate time to planning (15 – 20% of total time)

• Read the narrative (once or twice)
• Scan and read the exhibits
• Take a step back and pause
• Plan what you are going to do
• Rank and order the issues
• Allocate your time

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Approaching a Case - Planning

1. Identify Role
2. Identify Users and their strategic objectives
3. Timeline
4. Issues – watch for:
• something that your are specifically asked to do
• something that is confusing to a user or the user doesn’t know
• Something that the user says they do not have but you think they need
• Something that a user thinks is correct but has the potential to be
incorrect
• A hidden issue that the user should know about
5. Relevant case facts

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Approaching a Case - Planning

Ranking

Consider:
•Risk of the transaction
•Impact on cash flow
•Immediacy of need
•Impact on the life of the entity
•Impact on future viability
•Materiality
•Quantitative potential
•Volume of coverage
•Specific requests
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