EDUCBA

EDUCBA

MENUMENU
  • Free Tutorials
  • Certification Courses
  • 250+ Courses All in One Bundle
  • Login

CPA vs CMA

Home » Finance » Blog » Accounting Fundamentals » CPA vs CMA

CPA vs CMA

Difference Between CPA vs CMA

CPA stands for Certified Public Accountant and the degree is provided by the American Institute of Certified Public Accountants (AICPA) which is the largest Accounting Body across the world. The Field of CMA is mainly confined within the Company Finance but CPA has the authority to guide the legal matters and work in many fields of Finance. CMA stands for Certified Management Accountant which specializes in Financial Accounting and strategic management and the Degree is awarded by Institutes of Management Accountants (IMA). CMA deals with the management and strategy areas while CPA is prioritized for the regulatory and the taxation part.

Let us study much more about CPA and CMA in detail:

Start Your Free Investment Banking Course

Download Corporate Valuation, Investment Banking, Accounting, CFA Calculator & others

Accountancy or Finance can be termed as the blood of any Business. Be it a small firm or an MNC employing million people, with its presence across the Globe, the business needs Accountants to maintain the day to day transactions related to money. Right from Revenue generations to all petty and Capital intensive expenditures, the Accountant is liable for the accountability of each and every transaction. Thus a whole Finance requires Accountants with special training that could summarize the procedures and train new Accountants for maintaining the books on a regular basis. Thus, a Commerce Graduate with decent knowledge in Accounts needs the extra knowledge to maintain in a procedural way so that proper interpretations can be made to know the Business flow and each & every nooks and corner of the Business. It helps the Investors, the management board to know the exact situation of the Business and the necessary steps that should be taken to improvise certain courses.

Across the Globe, all the successful Business houses implemented several procedures to identify problems within a business and apply proper module so that the Business should run properly and in longer-term improvise from its earlier mistakes.

On the other hand, CPAs are the authorized persons who could conduct Audit at Federal and State levels and guide other Business units as Consultants regarding the legal regulatory framework. They are the ones who could handle the income tax for individuals and for other small and midsized firms.

CPA’s can choose any segment in Finance to be it Management Accounting, Financial Analyst, Auditing, Taxation, Finance Controlling, etc but on the other hand, CMAs are focused on Management of Finance or Finance Controller or adopting different strategies within a Business. To pass CPA, one has to pass Uniform Certified Public Accountant Examination organized by AICPA and after passing the exam the Degree holders are entitled to maintain certain ethics and abide by the regulatory framework guided by the governing bodies. In case of any breach of contracts, the degree can be canceled by the regulatory body. CMAs, on the other hand, need to follow ethics. Most of the Company management with CPA degree is well informed by the profitability of the Business and any illegal steps for personal benefits can hamper the ethics of CPAs.

Popular Course in this category
All in One Financial Analyst Bundle (250+ Courses, 40+ Projects)250+ Online Courses | 1000+ Hours | Verifiable Certificates | Lifetime Access
4.9 (3,296 ratings)
Course Price

View Course

Related Courses
Finance for Non Finance Managers Course (7 Courses)Cost Accounting Course (5 Courses)US GAAP Course (29 Courses with 2020 Updated)

CPA vs CMA Infographics

Below is the top 5 difference between CPA vs CMA

CPA vs CMA Infographics

Key Differences CPA vs CMA

Both CPA vs CMA are popular choices in the market; let us discuss some of the major Difference between CPA and CMA:

  1. CPA stands for Certified Public Accountants whereas CMA stands for Certified Management Accountants. CPA is the Auditors or the Regulator of a business whereas CMA takes charge of the Management of any company.
  2. CMA Course deals with subjects like Financial Accounting and Reporting, Audit & Attestation, Business Environment and Concepts followed by The CMA Course includes a couple of subjects which are Financial Planning, Performance, and Control, and Financial Decision- making.
  3. The timeframe for the course of CMA is six months whereas CPA takes 18 months to complete.
  4. CPA has a wider training format as they are entitled to both Government and private bodies. The training period is comparatively less as CMAs are primarily involved in private bodies only.

Head To Head Comparison Between CPA vs CMA

The primary comparison between CPA vs CMA are discussed below:

The basis of Comparison between CPA vs CMA 

CPA

CMA

Related to CPA stands for Certified Public Accountant and the degree is provided by the American Institute of Certified Public Accountants (AICPA). They are entitled to Auditing, taxation, Management Accounting, Handling accounts, etc. CMA stands for Certified Management Accountant which specializes in Financial Accounting and strategic management and the Degree is awarded by Institutes of Management Accountants (IMA). The roles which can be chosen by CMA are Financial Analyst, Budgeting or internal Auditor or Management Accounting,
Field of Work The field of work is related to license to accounting services to the public. To maintain the law and procedure these specialized degree holders are required to guide individuals, Small and mid-size firms and MNCs, etc. Other than Auditing, taxation, etc a CPA can indulge themselves with other Field of finance like Finance Controlling, Accounting, Financial Analysis, etc. The primary task which a Certified Management Accountant can perform is to deal with the finance of any business and to interpret the consequence and compare with their pre budgeting numbers and several strategical steps that should be taken to improve the Business on both short-term and Long-term Perspective.
Tenure The tenure of the course of 18 months. The tenure of the course is 6 months.
Position They are tasked with the rules and regulations of a company and compile with the Auditing and Taxation part. They are entitled to the management and takes a decision on behalf of the company.
Experience required The experience which is required is 1-2 work experience years of licensed CPA along with a Graduation degree and 40 Hours of Continuing Education Degree. Minimum criteria required are a Graduation degree with Works Experience of 2 years of Financial Management. Again 30 hours of Continuing Education per year is required.

CPA vs CMA – Final Thoughts

Both CPA vs CMA are advanced modules in the Finance segment. The courses have their benefits of their own by which one can promote their own position in the workplace. The packages are offered by the companies after the completion of these courses are more or less equal. But the difference between CPA and CMA is the active role one plays after passing the Course. While a qualified CPA can handle the role of a CMA but on the other hand, CMAs are restricted within a field of strategy and management only.

Recommended Article

This has been a guide to the top differences between CPA vs CMA. Here we also discuss the CPA vs CMA key differences with infographics, and comparison table. You may also have a look at the following articles –

  1. CPA vs CFA
  2. CISA vs CIA
  3. ACCA vs CIMA
  4. CPA vs CA

All in One Financial Analyst Bundle (250+ Courses, 40+ Projects)

250+ Online Courses

1000+ Hours

Verifiable Certificates

Lifetime Access

Learn More

1 Shares
Share
Tweet
Share
Primary Sidebar
Finance Blog
  • Accounting fundamentals
    • Direct vs Indirect Cash Flow Methods
    • Salvage Value
    • Balance Sheet Analysis
    • Current Liabilities Examples
    • Debtor
    • Other Comprehensive Income
    • Period Costs
    • Inventories List
    • Marketable Securities in Balance Sheet
    • Gross Sales
    • Tax Haven
    • Interim Reporting
    • Date of Record of Dividends
    • Short Term Assets
    • Revenue Streams
    • Tax Planning
    • Accounts Receivable Journal Entry
    • Book Profit
    • Capital Budgeting Importance
    • Accounts Payable Cycle
    • Inventory Audit
    • Estimated Tax
    • Dividend Declared
    • SG & A Expenses
    • Tax Lien
    • Excise Tax Examples
    • Accelerated Share Repurchase
    • Accounting Ethics
    • Accounts Payable Credit or Debit
    • Accounting for Fair Value Hedges
    • Long Term Debt in Balance Sheet
    • Assets Example
    • Audit Assertions
    • Accounts Receivable Process
    • List of Operating Expenses
    • Income Tax Accounting
    • Non-Operating Expenses
    • Unrealized Gains and Loses
    • Warranty Expense
    • What is Budgeting?
    • WIP Inventory
    • Current Liabilities
    • Zero Based Budgeting
    • Types of Liabilities on Balance Sheet
    • Marginal Costing vs Absorption Costing
    • Non-Current Liabilities Examples
    • Cash Equivalents
    • Types of Assets
    • Assets List
    • Deferred Income Tax
    • Working Capital Management Importance
    • Extraordinary Items
    • Deferred Tax
    • Long Term Liabilities
    • Perpetual Inventory System
    • Intangible Assets Examples
    • Goodwill
    • Working Capital Loan
    • Consolidated Financial Statement
    • Contingent Asset
    • Cash and Cash Equivalents
    • Fixed Assets
    • Current Asset
    • Financial Assets Types
    • Financial Assets
    • Wasting Asset
    • Write off
    • Objectives of Financial Statement Analysis
    • Earnout
    • Hire Purchase
    • Sublease
    • Off Balance Sheet
    • Liabilities Example
    • Leasehold
    • Off Balance Sheet Financing
    • Revolving Credit Facility
    • General Reserve
    • Accounting Information System
    • Accounting Transaction
    • Limitations of Financial Statement Analysis
    • 3 Types of Inventory
    • Cook the Books
    • Non Performing Assets
    • Revenue Reserve
    • Commitments and Contingencies
    • Conservatism Principle of Accounting
    • Money Measurement Concept
    • Materiality Concept
    • Types of Accounting
    • Types of Financial Statements
    • Balance Sheet Items
    • Components of Financial Statements
    • Cost Method
    • Related Party Transactions
    • Relevance in Accounting
    • Responsibility Accounting
    • Tragedy of the Commons
    • Accounts Receivable Aging
    • Accounting Scandals
    • Cost Benefit Principle
    • Accrual Accounting Examples
    • Fiscal Year
    • Financial Statement Limitations
    • Grey List
    • Objectives of Financial Statements
    • What are Accounting Principles?
    • Accounting Controls
    • Users of Financial Statements
    • Accounting Cycle
    • Accounting Estimates
    • Window Dressing in Accounting
    • What are Accounting Policies?
    • Fringe Benefits
    • Full Disclosure Principle
    • Financial Statement Examples
    • Sunk Cost
    • Accounts Receivable Turnover Ratio
    • Days in Inventory
    • Current Ratio vs Quick Ratio
    • Investment Banking vs Private Equity
    • Private Equity vs Hedge Fund
    • Accounting Ratios
    • Shell Corporation
    • Cost Accounting Career
    • Funds from Operations
    • Accounting Career
    • Actuaries Career
    • General Ledger Accounting
    • Forensic Accounting Career
    • Auditing Career
    • Budgeting Career
    • Gross Profit Ratio
    • Management Accounting Career
    • Cycle Counting
    • Going Concern Concept
    • Debit Note vs Credit Note
    • EBIT vs Net Income
    • EBIT vs Operating Income
    • EBITDA vs Net Income
    • EBITDA vs Operating Income
    • GAPP vs Non-GAAP
    • Finance vs Lease
    • Gross sales vs Net sales
    • Income Tax vs Payroll Tax
    • Mortgage Banker vs Broker
    • Revenue vs Net Income
    • Shareholder vs Stakeholder
    • Stock Option vs RSU
    • Full Form of FYI
    • Return on Invested Capital
    • Transaction Exposure
    • LLC vs Partnership
    • Replacement Cost
    • Unit Contribution Margin
    • Accounts Payable vs Notes Payable
    • CA vs CS
    • Capitalizing vs Expensing
    • CPA vs CA
    • Trial Balance vs Balance Sheet
    • CA vs MBA
    • Merger Accounting
    • Cash Management
    • Sole Proprietorship vs LLC
    • Manufacturing Overhead
    • Asset Retirement Obligation
    • Temporary Account
    • Leveraged Lease
    • Predetermined Overhead Rate
    • Drag-Along Rights
    • Special Journal
    • Interest vs Dividend
    • Direct Materials
    • Accounting Method
    • Return on Sales
    • Calendar Year vs Fiscal Year
    • Contribution Margin Income Statement
    • Activity Based Budgeting
    • Common Size Income Statement
    • Capital Lease vs Operating Lease
    • Insolvency vs Bankruptcy
    • Vertical Analysis of Income Statement
    • Debt vs Equity Financing
    • Adjusted EBITDA
    • LLC vs Inc
    • Return on Average Capital Employed
    • Stocks vs Real Estate
    • Return on Equity
    • Return on Capital Employed
    • Diluted Earnings Per Share
    • Limited Partner vs General Partner
    • Basic EPS
    • Cash Flow Return on Investment
    • Fixed vs Variable
    • Public Company vs Private Company
    • Market Order vs Limit Order
    • Return on Total Assets
    • Hard Cost vs Soft Cost
    • Return on Average Assets
    • Ethereum vs Ethereum Classic
    • Capital Employed
    • Gross Profit Percentage
    • OIBDA
    • Average Collection Period
    • Profit Margin
    • EBITDA Margin
    • Working Capital Turnover Ratio
    • Marginal vs Effective Tax Rate
    • CFO vs Controller
    • Accounting Interview Questions
    • EBITDA
    • Asymmetric Information
    • Days Payable Outstanding
    • Journal Examples
    • Debit vs Credit
    • Lease vs Rent
    • Buying vs Leasing
    • Finance Job From Engineering
    • Days Inventory Outstanding
    • Horizontal Integration Example
    • Revenue Expenditure
    • Accounts Payable Turnover Ratio
    • Statement of Cash Flows
    • Days Sales Uncollected
    • Days Sales Outstanding
    • Statement of Income Example
    • Unadjusted Trial Balance
    • Red Herring Example
    • Revenue vs Turnover
    • Functions of Financial Market
    • Cost of Goods Sold Example
    • Operating Ratio
    • Stock Turnover Ratio
    • Bill of Sale Examples
    • Break Even Analysis Example
    • Financial Analysis Example
    • Statement of Retained Earnings Example
    • Equity Ratio
    • Long Term Liabilities Example
    • Defensive Interval Ratio
    • Operating Expense Example
    • Solvency Ratio
    • Capital Adequacy Ratio
    • Cash Flow From Operations Ratio
    • Working Capital Example
    • Cash Reserve Ratio
    • Quick Ratio
    • Loan Sharks
    • Fixed Asset Examples
    • Partnership Example
    • Standard Deviation Examples
    • Accounting vs CPA
    • Period Cost vs Product Cost
    • Cash Ratio
    • Investment vs Speculation
    • Annuity vs Lump Sum
    • Bank Draft vs Certified Cheque
    • Bidding vs Auction
    • Better in Business and Finance
    • Direct Tax vs Indirect Tax
    • Financial Ratio Analysis Technique
    • EPS and Diluted EPS
    • Stocks vs Bonds
    • IFRS Vs US GAAP
    • Finance Degree Career Options
    • Tax Slabs & Rates
    • Lease vs Buy
    • Interest Rate vs Annual Percentage Rate
    • Long Term vs Short Term Capital Gains
    • Memorandum of Association vs Article of Association
    • Large Cap vs Small Cap
    • CPA vs CMA
    • Assets vs Liabilities
    • Revenue vs Income
    • Bookkeeping vs Accounting
    • Financial Lease vs Operating Lease
    • EBIT vs EBITDA
    • Revenue vs Sales
    • Common stock vs Preferred stock
    • US GAAP vs IFRS
    • Current Account vs Capital Account
    • IFRS in India
    • Finance vs Economics
    • ACCA vs CIMA
    • Current Assets vs Non Current Assets
    • Economic Examples
    • Investment vs savings
    • Active vs Passive Investing
    • Financial Accounting vs Management Accounting
    • Revenue vs Earnings
    • Trade Discount vs Cash Discount
    • Limited Liability Company
    • Finance for Non Finance Professionals
    • Costs vs Expenses
    • Chapter 11 vs Chapter 13
    • Why Financial Analytics
    • Accounting vs Financial Management
    • ACA vs ACCA
    • ACCA vs CPA
    • Budget vs Forecast
    • Positive Economics vs Normative Economics
    • CA vs ACCA
    • Stakeholders Example
    • Stock vs Options
    • Liquidity vs Solvency
    • Stock vs Equities
    • Franchising vs Licensing
    • GDP vs GNP
    • Inflation vs Deflation
    • Economic Growth vs Economic Development
    • Direct cost vs Indirect Cost
    • Accrual Accounting vs Cash Accounting
    • FCFF vs FCFE
    • Public vs Private Accounting
    • Capex vs Opex
    • BSE vs NSE
    • Loans vs Advances
    • Discount Rate vs Interest Rate
    • ROIC vs ROCE
    • Percentage Of Completion Method
    • 10K vs 10Q
    • Shares Outstanding vs Float
    • Contribution Margin vs Gross Margin
    • Short Term vs Long Term Capital Gains
    • General Journal vs General Ledger
    • Outsourcing vs Offshoring
    • Depreciation vs Amortization
    • Liability vs Debt
    • Asset Purchase vs Stock Purchase
    • Accrual vs Provision
    • Actuary vs Accountant
    • Stock vs Inventory
    • Liability vs Expense
    • Dividends EX-Date vs Record Date
    • Bid Price vs Ask Price
    • Dividend vs Growth
    • Time vs Money
    • IRA vs 401 (k)
    • Corporation vs LLC
    • CEO vs President
    • Margin vs Markup
    • Leasehold vs Freehold
    • Lending vs Borrowing
    • Non-Profit vs Not For Profit
    • Corporation vs Incorporation
    • CFO vs CEO
    • Purchase vs Procurement
    • Deficit vs Debt
    • Internal Audit Vs External Audit
    • C Corp vs S Corp
    • Absolute Advantage vs Comparative Advantage
    • Tangible vs Intangible
    • Executive Director vs Managing Director
    • Company vs Firm
    • Insurance vs Assurance
    • Expense vs Expenditure
    • Hard Money vs Soft Money
    • Entrepreneurship vs Management
    • Loan vs Mortgage
    • Fair Value vs Market Value
    • Chief Executive Officer vs Managing Director
    • Manufacturing vs Production
    • Random Error vs Systematic Error
    • 401(K) vs Roth IRA
    • 403(b) vs 457
    • Adjusting Entries
    • Equity vs Commodity
    • Turnover vs Profit
    • Effective Interest Rate
    • Working Capital Ratio
    • Margin vs Profit
    • Loan vs Lease
    • Shares vs Debentures
    • Equity vs Fixed Income
    • Market Equilibrium
    • Economics vs Business
    • Secured vs Unsecured Credit Card
    • Profitability vs Liquidity
    • Z score vs T score
    • Equity vs Asset
    • Geometric Mean vs Arithmetic Mean
    • Cost vs Price
    • Industry vs Sector
    • ShortSale vs Foreclosure
    • Revenue vs Profit
    • Real Interest Rate
    • Account Payable vs Accrued Expense
    • Day Trading vs Swing Trading
    • Indirect Costs
    • Graphs vs Charts
    • Issued Shares vs Outstanding Shares
    • Creditor vs Debtor
    • Annuity vs IRA
    • Pension vs Annuity
    • Debt Consolidation vs Bankruptcy
    • Equity vs Shares
    • Economic Utility
    • Average vs Weighted Average
    • Operating Profit vs Net Profit
    • Purpose of Income Statement
    • NASDAQ vs Dow Jones
    • Direct Method of Cash Flow Statement
    • Real GDP
    • Derivatives Example
    • Nominal GDP
    • Generally Accepted Accounting Principles
    • Cost of Sales vs Cost of Goods Sold
    • Historical Value vs Fair Value
    • General Ledger vs Trial Balance
    • Actual Cash Value vs Replacement Cost
    • Job Costing vs Process Costing
    • Standard Cost vs Actual Cost
    • 401k vs Annuity
    • FIFO vs LIFO
    • Bid Price vs Offer Price
    • Sole Proprietorship vs Partnership
    • Equity Shares vs Preference Shares
    • Debt vs Equity
    • Cost Accounting vs Financial Accounting
    • Coupon vs Yield
    • Career in Finance
    • Gross Salary vs Net Salary
    • Tax Credit vs Tax Deduction
    • Variance vs Standard Deviation
    • What is Disposable Income
    • Liabilities in Accounting
    • Chapter 7 vs Chapter 11
    • Budgeting Examples
    • Fixed Costs Example
    • Joint Venture Example
    • Quantitative Research Example
    • Bootstrapping Examples
    • Monopoly Examples
    • Monopolistic Competition Examples
    • Risk Assessment Example
    • Inflation Accounting
    • Defined Benefit Plan
    • Variable Costing Example
    • Acquisition Examples
    • Cognitive Dissonance Example
    • Opportunity Costs Examples
    • Globalization Example
    • Histogram Examples
    • Mean Example
    • Trial Balance Example
    • Command Economy Examples
    • Sunk Cost Examples
    • Compounding Example
    • Compound Interest Example
    • Profit vs Income
    • Joint Venture vs Partnership
    • Comparative Advantage Example
    • Bank Reconciliation Example
    • Competitive Advantage Example
    • Accrual vs Deferral
  • Asset Management Tutorial (63+)
  • Banking (43+)
  • Corporate Finance Basics (125+)
  • Credit Research Fundamentals (6+)
  • Economics (44+)
  • Finance Formula (372+)
  • Financial Modeling in Excel (13+)
  • Investment Banking Basics (60+)
  • Investment Banking Careers (26+)
  • Trading for dummies (65+)
  • valuation basics (24+)
Finance Blog Courses
  • Finance for Non Finance Managers Certification
  • Cost Accounting Course
  • US GAAP Course
Footer
About Us
  • Blog
  • Who is EDUCBA?
  • Sign Up
  • Corporate Training
  • Certificate from Top Institutions
  • Contact Us
  • Verifiable Certificate
  • Reviews
  • Terms and Conditions
  • Privacy Policy
  •  
Apps
  • iPhone & iPad
  • Android
Resources
  • Free Courses
  • Investment Banking Jobs Offer
  • Finance Formula
  • All Tutorials
Certification Courses
  • All Courses
  • Financial Analyst All in One Bundle
  • Investment Banking Training
  • Financial Modeling Course
  • Equity Research Course
  • Private Equity Training Course
  • Business Valuation Course
  • Mergers and Acquisitions Course

© 2020 - EDUCBA. ALL RIGHTS RESERVED. THE CERTIFICATION NAMES ARE THE TRADEMARKS OF THEIR RESPECTIVE OWNERS.

EDUCBA
Free Investment Banking Course

Corporate Valuation, Investment Banking, Accounting, CFA Calculator & others

*Please provide your correct email id. Login details for this Free course will be emailed to you
Book Your One Instructor : One Learner Free Class

Let’s Get Started

This website or its third-party tools use cookies, which are necessary to its functioning and required to achieve the purposes illustrated in the cookie policy. By closing this banner, scrolling this page, clicking a link or continuing to browse otherwise, you agree to our Privacy Policy

EDUCBA

*Please provide your correct email id. Login details for this Free course will be emailed to you
EDUCBA Login

Forgot Password?

EDUCBA
Free Investment Banking Course

Corporate Valuation, Investment Banking, Accounting, CFA Calculator & others

*Please provide your correct email id. Login details for this Free course will be emailed to you

Special Offer - All in One Financial Analyst Bundle (250+ Courses, 40+ Projects) Learn More