Both fields deal with numbers and a lot of problem analyses. But the programs differ in several ways, especially when it comes to their respective specialization and college curriculum.
Finance is the management of money and investments, while accounting involves recording and reporting such financial records.
Chances are, if you’re gifted with number-crunching skills, these courses are in your priority list. The question is which course should you take? What’s the difference?
We prepared a comparison guide between finance and accounting to help you understand the courses’ similarities and differences.
BSBA Finance is a four-year course that helps students understand the art of money management. You’ll need to study economics, corporate finance, and banking laws. If you’re an analytical thinker, this could be the course for you!
Meanwhile, BS Accountancy is a four- or five-year course, depending on your chosen school. The program focuses on taxation, business law, ethics, accounting theories, and problems (lots of them)! You should choose Accountancy if you’re into details and problem-solving.
Here’s another difference between finance and accounting that you’ll definitely remember.
Finance has a forward-looking perspective, which means it relies heavily on projections and estimates. You’ll encounter a lot of risks and uncertainties as you make decisions on your client’s profitability.
In contrast, accounting uses a backward-looking perspective; Accountants record and interpret data based on the costs of the past year. Instead of relying on your analysis, you’ll be referring to tons of laws and accounting standards to come up with a decision.
A finance degree can open doors for you to be a financial analyst, investment banker, financial examiner, personal financial advisor or money manager.
There are certifications you may acquire after earning your finance degree. Meanwhile, you have to pass the Certified Public Accountant Licensure (CPALE) Examination to become a CPA.
One last piece of advice: Don’t ever fall into the trap of thinking that one course is better (or harder) than the other just because one doesn’t have a board exam, or because your friend told you so.
Every course in college is relevant. Repeat louder for those in the back!
So make sure your decision is backed up by research and sound reasoning. One way or another, you’ll definitely have a great shot in your chosen career path with a great deal of hard work and enthusiasm throughout your journey!