Assignment 4

Question 1

CPA

Answer 1

Certified Public Accountant

Question 2

do all CPAs provide the same services

Answer 2

no, can specialize in finance areas

Question 3

is it appropriate to obtain references on an accounting professional you are considering engaging

Answer 3

yes, find 3 or 4 and ask about meetings, tech use, community, strengths and weaknesses

Question 4

is it appropriate to ask an accounting professional you are considering hiring if they charge for quick phone calls

Answer 4

yes, but most do not charge for quick calls or simple questions

Question 5

whether an accountant is the same as a CPA

Answer 5

no, accountants is general term for tax or finance person, CPAs are licensing and more knowledgeable and current on law

Question 6

whether the CPA exam is considered easy, or difficult, to pass

Answer 6

extremely hard

Question 7

who licenses CPAs

Answer 7

the state they practice in

Question 8

whether CPAs have continuing education requirements

Answer 8

yes

Question 9

who can represent you before the IRS: a CPA, an accountant, or both

Answer 9

only CPA

Question 10

whether a business’s revenues is the only factor that determines its accounting needs

Answer 10

no, number of sales, technical complexity, tax complexity, financial analysis

Question 11

whether the benefit of hiring an accounting professional can outweigh the cost

Answer 11

usually, if not in dollars, in time spent figuring out tax instead of growing the business

Question 12

appropriate questions to ask regarding fees

Answer 12

rates - hourly, monthly and what is included for what price

Question 13

appropriate questions to ask regarding representation before the IRS in an audit

Answer 13

are they qualified, how many audits have they done, CPA certified people who can actually represent legally

Question 14

appropriate questions to ask regarding their experience

Answer 14

have they performed x services before, have they worked in this field of business before, can they work in all states I operate in

Question 15

appropriate questions to ask regarding use of electronic comms with clients

Answer 15

do they offer video chats, emails, calls, how far do they go to contact and talk

Question 16

appropriate questions to ask regarding frequency of meetings

Answer 16

ask that person how often, at least twice a year or every quarter, depends on complexity more diligence the better

Question 17

appropriate questions to ask regarding approach to taxes cautious or aggressive

Answer 17

philosophies should line up to avoid conflict and increase comfort on both ends

Question 18

5 tips to looks for when hiring a CPA

Answer 18

find one with industry XP
ask for referrals (word of mouth/SCORE)
check online views and if registered in state
meet them or schedule an interview (more than 1)
set expectations (who is preparing the statements)

Question 19

is it a good idea to keep the same accountant as the business grows in size and complexity

Answer 19

no, evaluate the fit of the company based on your needs and size, always find one that matches needs the best

Question 20

SCORE

Answer 20

service corps of retired executives