CA vs MBA: what is the best career option?
Given the current level of competition, it is certain that a professional degree is essential. On the one hand, there are professional programs such as Chartered Accountancy (CA), and on the other, there are postgraduate degrees such as Master of Business Administration (MBA) (MBA).
The fundamental difference between CA and MBA is the curriculum. So the CA course provides specialized accounting and financial knowledge. Moreover, the MBA degree provides a more comprehensive understanding of businesses and organizational activities.
If you are still confused about choosing between CA or MBA, then through this post, students make an educated choice between CA and MBA.
Let’s get started.
CA Vs MBA: An Overview Of Chartered Accountant Course
Chartered Accountancy is a professional certification exam. The CA course covers accounting, finance, and taxes.
Further, there are three levels in the CA course:
- CA Foundation
- CA Intermediate
- CA Final
Also, there is a mandatory 3-year articleship that the student needs to complete.
Moreover, most 12th-grade commerce students seek careers in accounting or auditing. Usually, students start preparing for the CA after completing their 12th standard. Also, a candidate with a bachelor’s degree can directly enrol in the CA Intermediate course. The ICAI is the regulating authority in India for the CA Course.
The total fee for CA course for 5 years is between 3-4 lakhs, including CA Coaching.
CA Vs MBA: An Overview Of MBA
The Master of Business Administration (MBA) is a postgraduate degree. MBA degrees are generally accepted worldwide. Further, MBA candidates have plenty of professional opportunities.
To enrol in an MBA program, a bachelor’s degree in any discipline, including science, humanities, or commerce, is necessary. Students must pass assessments such as the CAT, CMAT, XAT, and others to be accepted to business schools.
The primary objective of an MBA program is to introduce learners to numerous sectors, like human resources, marketing, and finance.
The MBA course fees can range between 10-25 lakhs, depending on the B-school you choose.
Now that we have a basic understanding of CA and MBA, let’s check which one is better.
CA vs MBA: Difference Between CA And MBA
1. Skills Acquired
Whenever a student completes the CA course and articleship training, he receives practical training in auditing, accounting, and taxes. In contrast, an MBA graduate develops leadership traits, networking skills, the ability to operate under pressure, time management, decision-making abilities, and more.
When comparing CA vs MBA, duration is also another deciding factor. Candidates for the CA certification must pass three examinations and complete three years of articleship under a professional CA. So, the students can take at least 4.5 years if they clear all the levels on the first attempt.
Alternatively, candidates may complete a full-time MBA degree in one to two years, depending on the degree course or business school selected.
3. Knowledge Acquisition
According to several career and education forums and their in-depth understanding of business regulations, taxation rules, and accounting principles, CAs are more knowledgeable than MBAs.
Additionally, a company may have numerous MBAs to oversee the various business functions. Still, the CA enters the corporation’s financial core and steers it on the right path.
4. CA vs MBA Salary & Fees
Salary & fees are also important considerations when comparing CA vs MBA. The CA course may be lengthy but less costly than a standard MBA program. However, a standard MBA program from a reputable institution may be at least 5-6 times more costly than the total cost of studying a CA course.
The total fee for all 3 levels of the Chartered Accountancy Course is Rs. 76,200. It comprises registration, exam application, and membership costs for the duration of the five-year program. However, if we include the cost of coaching and study materials, the total would be approximately three to four lakhs.
The MBA curriculum is more expensive and more difficult to afford. The MBA fees might vary between 5 and 40 lakhs. However, students need to understand that college costs vary considerably.
When discussing the salary, the CA salary is around 8-9 lakhs annually. Moreover, an MBA fresher can get a salary of Rs. 5 – 12 lakh.
5. Eligibility & Training
A CA course may be taken immediately following class 12 examinations. However, an MBA course is a postgraduate degree that only graduates can pursue.
In a CA program, article-ship training with a certified CA company is required for three years, while internships are required in an MBA program which ranges from 3-6 months.
CA vs MBA: Which Is Better?
CA and MBA are equally prestigious in the employment market. In some professions, CPAs are favoured above MBAs, and vice versa. Additionally, we have seen CA professionals acquiring new abilities on the job and assuming greater responsibilities than MBA graduates.
Also, most colleges claim to offer 100% placement following MBA completion, yet a few stands by their claim. Getting a placement also depends on the student’s capabilities, skillsets, and interview performance. Yet, in CA, once you clear the examination, you will surely find employment since every organization is looking for a qualified CA.
When comparing CA vs MBA from IIM, those who emerge from top IIMs earn between Rs 18 and 22 LPA, but this is not the case for Tier-II and Tier-III institutions graduates.
Hope this article on CA vs MBA gives an overview of both courses. Both of these courses are quite different from one another. Hence, the choice between Chartered Accountancy and MBA is entirely up to the student.
For any other queries, VSI Jaipur can help you and assist you with CA Coaching.