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Information technology for CA Students – ‘UN-necessary’ or ‘UTMOST-necessary’

Hello Friends !!!

Information Technology…..not again, we are not interested in this. Are you thinking like that. If so, then don’t think and read this article carefully and sincerely but not seriously. I know ITSM at CA Intermediate and ISCA at CA Final level is nightmare for most of the students. I will discuss importance of Information Technology for finance professionals particularly for CA Students in this article. Hope you will enjoy it. So, let’s start with a question. Why ICAI has included paper relating to Information Technology in CA curriculum. Are we supposed to develop computer software…..The answer is BIG NO. As a Chartered Accountant I’m not going to develop any sort of software. First understand our learning structure. Firstly we have 100 hours practical training for understanding basic of Information Technology. Then we have Information Technology paper at Intermediate (IPC) level, which provides us knowledge how business process can be automated through technology, various information systems etc. Actually here we create a base for CA-final. And finally comes Information Systems Control & Audit paper at CA-Final level. It is considered to be toughest paper but trust me friends it is not so. One must try to understand it practically. Now, let’s discuss importance of Information Technology for Chartered Accountants and why we have it in CA course. Friends, I believe you must have visited a bank till now. Now try to remember the scene you saw there. Everything is through software or I say through CORE BANKING SOFTWARE. Now, we know in banks there must be proper internal control system and the most common and best way to create MAKER-CHECKER responsibility. In older/manual systems transaction exceeding certain limit shall be signed/authorized by 2 officers but now we don’t have any physical documents. So, how will transactions be authorized???? Here comes the role of control like 2 officers will authorize the transaction with their respective password. Still we don’t find where the role of CA is, isn’t it. Now let’s go further. You visit the bank branch for concurrent audit and bank official says “Sir, we have all things online and centrally controlled and all are correct” and we mostly agree with them. No friends, we have to check whether controls are working or not. There are so many controls and so many type of threats like a manager is absent as per attendance sheet but on the same day his/her password has been used to authorize transaction etc., which I will discuss in further editions. Friends, there is one more big importance of Information Technology. One can choose to be System Analyst or ERP consultant. Let’s understand with a practical example. A manufacturing company wants to get developed a new accounting software and contact to a software developer. Now that software developer doesn’t know what are the various requirement and security considerations. Also, the manufacturing company doesn’t know how to explain their various processes and how to integrate them. Now, As a Chartered Accountant one can act a bridge between software vender and manufacturing company being the CA has expert knowledge about accounting, taxation and other requirement and business process of the company and also having knowledge of Information Technology and control systems, that CA can effectively communicate and explain requirements to software vendor. I suppose till now, I have guided you a little bit about importance of Information Technology. There are so many issued like cross border transaction, VAT/Service Tax in e-commerce transaction, cloud computing which I will discuss in further editions. Now, let’s come to the most important topic……EXAMSSSSSS. How to crack ITSM and ISCA Friends, there is no bottled formula to crack CA exams but here I discuss certain tips and methodology which I followed in my PCC exams and always suggest my Students to follow. 1. Firstly, ICAI study material is the best and covers all areas for your exams. I understand covering ICAI study material that too of Information Technology is too difficult. For difficult areas you may refer any good book. For selecting a book, I advise don’t go for the book others are saying. 2. Secondly, make your own notes, if possible. One need to prepare notes in such a way that complete syllabus can be covered in a day before exams. For solving this problem I have designed unique LMR (Last Minute Revision) Notes. 3. Third thing which most students complain….SIR SAMAJ TOH SAB AA GAYA BUT YAAD KUCH NAHI HO RAHA. For solving this better visualize things. Like to remember LAN components just draw diagram of LAN in mind and bingo, you will get all 6 components of LAN. I used to follow this and now following this in my classes too. 4. Friends, now come to language. Mostly student think that we have to mug up module’s language. I don’t think we need to. if this is the case, I would be still in IPCC. See Friends, each subject has its own language and importance. Like the words, ‘ASSESSEE’ & ‘PERSON’ may be same for a layman and certainly not for a Chartered Accountant. So just try to remember keywords and headings. 5. And lastly the presentation. I suggest write to the point and write only what has been asked. During class/mock test it has been observed that Students write whatever they know about the topic. I request you to avoid this. Here I end my discussion. For any problem students may contact me through facebook @ https://www.facebook.com/kunalagrawal.ca CA. Kunal Agrawal [ACA, DISA(ICAI), B.Com and also Certificate holder of Concurrent Audit of Banks organized by ICAI]

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