Does Graduate Education Improve Success In Public Accountin

In 1983, the Committee on Standards of Professional Conduct (Anderson Committee) was formed by the AICPA to evaluate the existing ethical standards related to the public accounting profession. The Committee proposed that, beginning in the year 2000, individuals applying for membership in the AICPA must have completed a program of 30 hours beyond the requirements for a baccalaureate degree. To determine whether a post-baccalaureate education affects an individual's success in public accounting, the educational backgrounds of individuals admitted to the partnership of Big Eight accounting firms over the period 1978-1987 were examined. The results indicate that post-baccalaureate education appears to enhance the probability that an individual will achieve success in public accounting. The large percentage of partners promoted who hold graduate degrees indicates that post-baccalaureate education may favorably affect the overall practice of public accounting. The benefit is particularly evident for tax and consulting personnel.