CPD Final 8-10-18 1 Daddy

University of Perpetual Help Laguna
Old National Highway, Biñan, Laguna

College of Business and Accountancy
CONTINUING PROFESSIONAL DEVELOPMENT ON SELECTED

CERTIFIED PUBLIC ACCOUNTANTS
IN BIÑAN CITY, LAGUNA
A Thesis Presented
Presented to the Faculty of the College of Business and Accountancy
University of Perpetual Help System Laguna
In Partial Fulfillment of the

Requirements for the Degree of
Bachelor of Science in Accountancy
By:
Alcabasa, John Patrick D.

Angulo, John Emmanuel B.
Diongco, Edrick V.
Garcia, Kurt Patrick C.
October 12, 2018

CHAPTER 1
THE PROBLEM AND ITS SETTING
Introduction
It is the desire of every professional, valuing the education, to develop and enhance
professionalism to be able to progress in their chosen career. It will be their edge to help the
organization or company progress and develop as well in terms of knowledge, skills and
productivity. An organization may have employees with ability and determination with appropriate
equipment and managerial support yet productivity still falls. A factor of this failure was lack of
adequate skills and knowledge which is acquired through training and development. The
researchers chose this study because being a Certified Public Accountant (CPA) is a lifelong
journey and the researchers want to build a deep understanding of the effects of Continuing
Professional Development (CPD) to lead the CPAs’ to love more the career they have chosen to
be able wholeheartedly serve their chosen field of service to the community.
To ensure improvements of practice of professionals in the country and enhance the
competence of professionals in line with the standards of international practice for their part in
development of the country, the Republic Act No. 10912 also known as the Continuing
Professional Development Act was established. The purpose of this is to enhance, update and
improve the professional capabilities. The republic act provides that the current required CPD units
for CPAs is one hundred twenty (120) credits within a period of three (3) years with the increments
of twenty (20) units per year. In alignment with the international standards, competence areas have
been changed namely: Technical Competence, Professional Skills and Professional Values and
Ethics and Attitudes (Professional Regulatory Board of Accountancy, 2017).
Continuing Professional Development is essential to keep professional skills and
knowledge updated. CPD enables professionals to adapt to the industry’s needs and use such
learnings to use in the workplace. CPD is the learning and development that improves and
standardize professional competence to ensure employees to perform their part competently.
(International Federation of Accountants, CPD is essential as it brings benefit to the professional,
the profession and the public (Kloosterman, 2013; University of Sterling, 2015). CPD allows to
inform employees of new practices or standards, enabling them to conform with the current needs
(University of Sterling, 2015).
Maintaining professional competence helps individuals to improve their skills and
knowledge to adapt to the changes and innovations (International Bank for Reconstruction and
Development, 2016). Career advancement of CPAs can be determined by the credit units earned
and were proven to have influence on the development of professionals (Tan, 2015). Encouraging
professional development ensures employees to be more effective and efficient and it could
increase their knowledge (Half, 2017). Being beneficial to the employees, trainings and
development may greatly sustain competitive advantage of the organization (Saks and Haccoun,
2011)
The researchers identified from the above premises the gaps that there were no general
studies on CPD as regards to the compliance of CPAs. There were no general studies as well on
the relation of professional development and compliance of the CPAs.

The objective of this study is first to determine the level of compliance of CPAs in their
CPD requirement and to determine the level of professional development in terms of increase in
knowledge, enhancement of skills and increase in productivity. Second, to determine the level of
compliance in CPD requirements of CPAs when they are grouped according to the profiles of the
CPAs as to their position and length of service and to determine the CPAs level of professional
development when they are grouped according to profile variables as well. Lastly, to determine
the relationships between the level of compliance in CPD requirements and the level of
professional development of CPAs in the City of Binan, Laguna.

Theoretical/Conceptual Framework
The study was based on the theory of “The Impact of Training and Development on
Workers Productivity” developed by Halidu Salihu Gambo (2015). It was related to training and
development and its effect on employees’ skills, knowledge and productivity. Results show that
the training and development programs has improved employees’ knowledge, skill and
performance and the professional development of employees (Halidu, 2015).
This study has a relation to the concept of the researchers’ study because there is a
relationship between training and development for improving the employees’ skill and knowledge,
a factor of workers’ productivity, enhancing the career of employees. This result seen by Halidu
SG leads the researchers to the idea that the training and development of CPAs has a relationship
with the professional development of the CPAs as shown on Figure 1.
Independent Variable Dependent Variable

Professional Development
 Training  Knowledge
 Skill
 Productivity
Figure 1. Model of Conceptual Framework

Operational Model
The operational framework of this study is composed of two independent variables and one
dependent variable. In independent variables, which are the demographic profiling and
professional development that affect the dependent variable which is the level of compliance on
CPD as shown on Figure 2.
Independent Variable Dependent Variables
 Level of
 Demographic Compliance on
Profiling CPD
Independent Variables
 Professional
Development
Figure 2. Model of Operational Framework

Statement of the Problem

The purpose of this study is to determine whether the productivity of CPAs in the City of
Biñan, Laguna is affected by complying the CPD requirements. The purpose of the study is to
specifically answer the following questions:
1. What is the profile of the respondents?
1.1 Position
1.2 Length of service
2. What is the level of compliance of CPAs in their CPD requirements?
3. What is the level professional development of CPAs in Biñan City, Laguna? In terms of:
3.1 Increase in knowledge
3.2 Enhancement of skills
3.3 Increase in productivity
4. Is there a significant difference in the respondents’ level of compliance in CPD
requirements of CPAs in Biñan City, Laguna when they are grouped according to profile
variables?
5. Is there a significant difference in the respondents’ in the level of professional development
when they are grouped according to profile variables?
6. Is there a significant relationship between the level of compliance in CPD requirements
and level of professional development of CPAs in Biñan City, Laguna?

Statement of the Hypothesis

The following are the hypothesis of the study:
H0: There is no significant relationship between the level of compliance and level of
professional development of CPAs in Biñan City, Laguna.
H0: There is no significant difference between the level of compliance of CPAs Biñan
City, Laguna if grouped according to profile.
H0: There is no significant difference between the level of professional development of
CPAs in Biñan City, Laguna, if grouped according to position.
H0: There is no significant difference between the level of professional development of
CPAs in Biñan City, Laguna, if grouped according to length of service.
Assumptions of the Study
The study will revolve around the following assumptions:
1. Compliance with CPD is required.
2. The respondents of the study comply with the requirements of CPD.
3. Professional Development is acquired by the respondents.

4. The respondents of the study answered the questions with the best of their ability
and based from their experience.
Scope and Delimitation
The study dispensed with level of compliance and level of professional development of
Certified Public Accountants. The study covers the year 2018. The researchers limited its
respondents into CPAs in Binan City, Laguna as the researchers seek to know the level of
compliance and its effect to the level of professional development.
Significance of the Study
The result of this research is beneficial to the following:
The CPAs and the management of companies in Biñan City, Laguna
The study aims to help the management and the employed CPAs of the said place to be
aware of the effect of CPD on the development of employees, as they will be the focus of the study.
BS Accountancy Students
The study will provide them insights on their future career track and will help them prepare
themselves in the future.
Manufacturing Companies
The study will provide information to those companies to motivate their employees to pursue and
comply with the CPD requirements.
Researchers
The study conducted will serve as motivation as the researchers are aspiring to be future CPAs.
Future Researchers
It will be a guide and a tool that will help the future researchers to innovate more. They
may use the result of the study as basis of another similar study that may obtain different results
and may contribute new information to the study.
Definition of Terms
For a better understanding of the discussions of this study, the following terms are defined.
Continuing Professional Development- instilling of advanced knowledge, skills and ethical
values in a post-licensure specialization for assimilation into professional practice. (Professional
Regulatory Board of Accountancy)
Certified Public Accountant- Accountant at the managerial level of the company whether top
management, middle management or lower management.
Top Management- Executives responsible for the decision making of an organization as they
translate policies into goals, objectives and strategies. (Business Dictionary)

Middle Management- Employees who are considered heads of their departments and are
responsible for the enactment of the top management’s plans and policies.
Lower Management- Employees who works for their respective departments.
Training- Synonymously used with Continuing Professional Development.
Professional Development- Refers to increase in knowledge, enhancement of skills and increase
in productivity.
CHAPTER 2
REVIEW OF RELATED LITERATURE AND STUDIES
State of the Art

The literature and studies that were reviewed were found to have resemblance on the
present study. They served as basis for the conceptualization of the study’s research problem,
framework and research methodology.
Related Literature
According to Republic Act No. 10912 (2016), also known as Continuing Professional
Development Act of 2016, which mandates and strengthens the CPD programs for all regulated
professions, it is established to enhance the practice of professions in the state. For the professional
development of practitioners in line with the international standards of practice, exhilarating the
growth and development of the state. For each regulated profession, there shall be respective CPD
programs that will improve their skills and capabilities as professionals in their practice.
Conforming in the international standards of respective profession. Effecting development of
assured mechanisms of the learning outcomes, including experience and prior studies. Maintaining
the foundation of each profession with accordance to its current and future competencies in order
to adapt to the needs. Realizing the contributions of the professionals to the growth and
development of the state. CPD programs will be consisted by, but not limited to, formal learning,
non-formal learning, informal learning, self-directed learning, online learning activities and
professional work experience. This program will be implemented by the Professional Regulatory
Commission and Professional Regulatory Boards that shall, form councils for each regulated
profession and create instructions for their operation, analyze current and forthcoming programs
for each profession, create and apply instructions for the implementations of the programs,
communicate with the concerned agencies that are related in the implementation of the program
and in the grant and transfer of the credits earned by the professionals. The CPD councils will be
supervised by the PRB, comprised of a chairperson and two (2) members. CPD is a mandatory
requirement for the renewal of professional license of all regulated professionals, supervised by
the PRC. Valid units earned by the professional shall be accumulated and transferred in accordance
with their equivalents.
The Board of Accountancy, being a member of International Federation of Accountants,
obliged in conforming with the international standards, issued BoA Resolution No. 358-2016
stating that requirements of CPD units of CPAs has increased gradually from sixty (60) to one
hundred twenty (120) units within a period of three (3) years for complying and changing its
framework into competency areas for all CPAs in Public Practice, Academe, Commerce and
Industry and Government. Requiring forty (40) units under required competence areas for its
minimum and having flexible units specifically, thirty (30) units for technical competence, which
refers to current and recent issuance on the practice of the profession, IFAC pronouncement,
issuances of regulatory bodies, international treaties affecting the Filipino CPAs and the
environment of practice.
Kloosterman (2013), founder of Continuing Professional Development which promotes
lesson online for professionals that are relevant and practical to help fulfill CPD requirements,
stated that CPD is important because it brings benefit to the professional, the profession and the
public. CPD ensures that abilities of professionals are in par with the current standards. CPD
contributes to the professionals’ knowledge to become more effective. CPD helps professionals to
make more contribution in the workplace. CPD is a responsibility to update professionals’
knowledge and skills so that they will deliver excellent service to their clients.
According to the International Bank for Reconstruction and Development (2016),
maintaining professional competence helps individuals to improve their skills to adapt to the
changes and innovations, and to give high quality service to their clients.
Development as defined by Qureshi (2016), is enhancement of skills, obtaining knowledge
and changing attitude to improve effectiveness and productivity of employees. Development also
helps in raising job knowledge and skills of employees. Development is related to the increase in
efficiency and productivity of employees.
According to University of Sterling (2015), encouraging Continuous Professional
Development brings benefits also to the business as well as to the employee. Through CPD, skills
and knowledge are enhanced making the workforce more effective. CPD allows to inform
employees of new practices or standards, enabling them to conform with the current needs. CPD
promotes development as well as retaining staffs and motivation.
According to the University of Liverpool (2014), the business landscape has changed.
Organizations need to ensure that they provide developmental training for their employees, in
order to compete on a global scale. A major priority for organizations of all sizes is to retain these
employees and engender a fully-motivated workforce, boosting productivity, reputation and profit.
Engaging in CPD, allows individuals to improve their career and overall performance in the
organization, especially production. Through CPD, individuals can identify gaps in skill and
knowledge to increase their level of outputs, improve reputation for professionalism and enhancing
skillsets to ensure achievement of goals.
According to the Human Resources Department of University of Guelph (2015),
continuous learning and development is about expanding your ability to learn by regularly
improving your knowledge. Strong continuous learning skills are needed to successfully adapt to
changing standards. Continuous learning in the workplace involves learning from experience and
re-examining assumptions, values, methods, policies, and practices.
From an article made by Blanthorne, Bhamornsiri and Guinn (2005), it is said that during
the undergraduate studies of students taking up accountancy, the curriculum was more focused on
developing their technical skills rather than non-technical skills.
Related Studies
Tan (2015), determines the effectiveness of Continuing Professional Development to the
career advancement of Certified Public Accountants. According to the results of the study, career
advancement of CPAs can be determined by the credit units earned. CPD programs were proven
to have influence on the development of professionals. Thus, CPAs must capitalize on those facts
in order to improve their career and also improve competence, skills, knowledge and productivity
to enhance the quality of their service. Also, in his study, he found out that compliance with the
CPD requirements does not differ when grouped according to profile and that there is no significant
difference between the level of professional development of CPAs when grouped according to
their length if service.
Sangsawang (2011), studied about that positive relationship of CPD and work success of
professionals. The study provides additional theoretical contributions for the relationship of CPD
and work success. The conclusive comment of the study is that the CPD improves the work of
Thai accountants which was in accordance to hypothesis of the study.
Degraft-Otoo (2012), found out that training and development had a direct relationship
with the competencies of the employees of the Polytechnic. Accra Polytechnic needs to ensure
effective training and development in order to improve employees’ productivity.
Smith (2013), investigated about training and development leads to higher productivity and
retention. Developed employees are more likely to assume more control over their work, needs
lesser supervision. Improving their attitude, knowledge and skills. According to the reference that
Smith used, “In a study of more than 3,100 U.S. workplaces, the National Center on Educational
Quality of the workforce found out that on average, increased on education and development led
to an increase in productivity”. In addition to the study about productivity, employee development
makes a lasting impression leading to retention.
Khan (2011), examined the relation of Training and Development, On the Job Training,
Training Design and Delivery style to the organizational performance of professionals. According
to the study, all these have a positive effect on organizational performance based from the literature
review of Khan, proving the hypothesis by empirical data.
Hulme (2015), studied about the benefits of continuing professional development to SMEs.
According to Hulme, CPD encompasses progression, knowledge and understanding within the
field of work. The process of CPD allows an individual to check personal skills, allowing them to
determine skill sets and specific knowledge gaps. CPD gives an overview of learning and helps in
setting development goals and objectives as CPD is a documented process but it is self-directed,
by the will of the employee, giving a freedom and enthusiasm not limited by boundaries. As
organizations shift responsibility of CPD back to individuals, managing personal growth can be a
key strength to the workplace as it is not only professional development motivational to the
individual, but also to the organization itself.
Driscoll, Schostak and Davis (2014), found out that majority of their respondents when
interviewed described CPD in terms of learning. “The day you stop learning is the day you
shouldn’t be doing the job”, one consultant said in an interview. This learning was described as
being of two types: either it was learning something new or it was learning that what they were
doing was what everybody else was doing and therefore indication good practice. This is a form
of professional triangulation, that is, a process of comparing experience about similar activities
across a range of professional perspectives in order to find what is common, what is different and
what is contrasting. It is not carried out in a systematic manner as would be the case in research
procedures. Nevertheless, it is a way of constructing what may be called a process for the public
development and sharing of professional knowledge, skills and experience. However, just because
everyone is doing something does not necessarily mean it is good or indeed the best practice
possible, but it does provide a quasi-public base-line from which to reflect upon evidence and
assess practice. This description was generic across the respondents. It suggests that CPD could
be employed to make this process more Effectiveness of Continuous Professional Development
systematic, rigorous and robust in terms of formulating procedures for “validity checking”. CPD
and the need to keep up-to-date in order to be safe to practice. Often their roles left them “out of
the loop of a lot of practice activities that keep a very active partnership up to date”, as in the case
of CPD for example. More effort to keep on top of new therapies, for instance, had to be made,
and in some instances, interviewees found that since the major part of their working week was
spent on activities, they could not spend sufficient time ensuring that they were safe to practice,
and therefore they decided to opt out of their respective roles altogether.
Elnaga and Imran (2013), studied about the impact of employees’ trainings to the
knowledge and performance of employees. They sighted that the trainings and development
programs that were attended by the employees would add value to their level of knowledge and
performance as it plays a vital role to the improvement of competencies of the current and old
employees to perform their job in an effective way.
Singh (2012) concluded that training has a significant role to play on productivity. That
there are other dominant market forces which reduces its significance. He classified the
productivity into various segments as needed productivity levels differ from other industries.
According to Jagero, Komba and Mlingi (2012), there is a strong relationship between the
on the job trainings received and their consequential. It was clearly shown that workers consider
the types of trainings they received to have led to good performance at their jobs. They concluded
that on the job training is the sole factor why it leads to good performance but their relationship is
very big.
Al Ali and Salari (2016), studied on the effect of staff training on performance of
companies where he found out that the staff training affect performance of companies, Results
showed that the staff training affects the quality of work, work speeding and customer satisfaction.
According to Nassazi (2013), the trainings and development programs has an impact on
employees’ performance depending on the job they belong and how they comply to it. In order to
address the needs of the employees, different methods should be given. He used different
questioners to examine the needs of the employees and he used this as a basis on what the
employees’ training needs.
According to Saks and Haccoun (2011), investment on trainings and development may
greatly sustain competitive advantage of the organization. It can also facilitate and enhance the
goals or strategy and the effectiveness of the organization doing the trainings and development.
He also said that it can also be beneficial to employees in an organization internally and externally
such as knowledge and attitude.
According to Kamesh (2010), the determinants of the productivity in Indian Science were
the collaboration of efforts between scientist and the eradication of communication barrier between
scientists. He believes that in order to promote these determinants in the company, there must be
funding from the organization or from the government so that post – graduate studies and trainings
may be provided for the individual/s to improve scientists’ level of knowledge.

According to the study of Mendoza (2013), the assessment of the respondents on the CPD
variables does not have any significant differences when they are grouped according to their years
in practice. The result of the study was higher than the level of significance of 0.05, thus accepting
the null hypothesis.
Based from the study of Dombeck (2015), knowledge can be studied but improvement of
skills requires practice in order to fully learn them because knowledge is generally learned through
mentally and abstractly compared to skills that requires both as well as, physical learning.
The study of Suwardy, Lange and Jacking (2011), showed that majority of their
respondents believes that cost is an important factor to consider with CPD compliance alongside
with location and length of time.
According to Wahab, Syamir and Yusof (2013), CPD programs are needed for accountants
to cope up with development in the profession and maintain their quality of service. The results of
their study found out that taxation, financial reporting, auditing and management advisory services
were amongst the to be chosen for the respondents’ CPD activities as they are the focus of the
work of the CPAs in Malaysia.
According to Megginson (2015), the need for CPS no longer lies in the job or the
organization we work but, in the skills, knowledge and experience that we have within ourselves.
Employers are mostly concerned that employees undertake CPD. First, because it contributes to
staff keeping their skills, knowledge and experience up to date. Second, employers rely on their
staff to take responsibility for their own development and CPD provides the envelope in which a
diverse range of development strands may be held together and leveraged for maximum benefit.
Third, CPD helps with succession planning. For some organizations in highly competitive sectors,
CPD is a means of retaining staff. Staff vote with their feet - if the organization is not committed
to their professional development, they go elsewhere.
Synthesis of the State of the Art
The reviewed literature and studies were based on the study of Halidu that training
and development affects workers’ productivity and that knowledge and skills are factors of an
employees’ productivity. The study of Halidu was the basis of the present study. Some of
related literatures were related to the required CPD units such as resolutions from Board of
Accountancy (2016) and the mandated law of Republic Act 10912 (2016) of Several literatures
and few studies relate to compliance to CPD and its effect to the employee like, Kloosterman
(2013), International Bank for Reconstruction and Development (2016), Qureshi (2016),
University of Liverpool (2014), Human Resources Department of University of Guelph (2015),
Tan (2015), Sangsawang (2011) and Driscoll, Schostak and Davis (2014). Several authors
tackled about how training and development affects knowledge and skills of an employee, a
factor of an employees’ productivity as studies by Halidu such as Hulme (2015), University of
Sterling (2015), Elnaga and Imran (2013) and Kamesh (2010). There are also authors like,
Degraft-Otoo (2012), Smith (2013), Khan (2011), Singh (2012), Jagero, Komba and Mlingi
(2012), Al Ali and Salari (2016) and Nassazi (2013) that tackled about how training and
development affects the productivity of employees, directly. Few authors discussed about how
trainings and development can also affect the organization like Saks and Haccoun (2011)
Gaps Bridged by the Study
From the above view of related literature and studies, the following gaps were determined:
1.) There were no general studies relating the CPD to level of compliance of CPAs in Biñan
City, Laguna
2.) There were no general studies relating the level of compliance and level of professional
development of CPAs in Biñan City, Laguna
3.) There were no general studies relating the CPD to the level of professional development
of CPAs in Biñan City, Laguna.
CHAPTER 3
RESEARCH METHODOLOGY
This chapter emphasizes on the discussion of the research design and methodology utilized
for the study. The research design consists of the following components: the research design,
sources of data, population of the study, instrumentation and validation, data gathering and
statistical treatment of data.

Research Design
The researchers used the descriptive - correlational method in gathering and analyzing
information, through survey-questionnaire.
The descriptive - correlational method of research goes beyond collection and tabulation
of data. It involves the element of interpretation to give meaning and significance to what is
described. (Calderon & Gonzales, 2007) It describes existing situations, without being influenced
by the researchers. It involves determining the relationship between two variables.
Sources of Data
The primary sources of the researchers were the responses from the selected Certified
Public Accountants in Biñan City, Laguna. Their second sources were the recent published books,
journals and other publications about Continuing Professional Development among CPAs.
Population of the Study
The population of the study is composed of the employed CPAs in Biñan City, Laguna,
comprised by a minimum of thirty (30) selected employed CPAs, where the researchers used
Purposive Sampling as a sampling method. This method is based on judgement, mostly selective
or subjective sampling.
Instrumentation and Validation
The researchers used “self – made questionnaire” as the instrument of the study which will
consist of the questions that was answered by the respondents which are inclined to answer the
problems of the study.
For validation purposes, the researchers consulted to their advisers and the questionnaire
was validated by the expert statistician.
Evaluation and Scoring
A Likert Scale survey technique was used for evaluation and scoring in this research and
were interpreted as follows: Strongly Disagree, Disagree, Agree, Strongly Agree.
Data Gathering
The researchers will ask permission first to their dean for the approval of the research that
will be done. After getting the approval, the researchers will then seek for the approval of the
authorities and managers in the companies in LIIP and Laguna Technopark before proceeding to
the place for the survey. The data that will be gathered by the researchers will be compiled and
will answer the answers to the stated problem with the help of the published books and other
publications released internationally.
Statistical Treatment of Data
1. Percentage was used to describe the profile of the respondents.

2. Weighted Mean was used to determine the CPAs (a) level of compliance to CPD requirements, and (b)
level of professional development.
3. Kruskal-Wallis Test was used to determine if there is significant difference in the CPAs (a) level of
compliance to CPD requirements, and (b) level of professional development when they are grouped
according to position.
4. t -Test was used to determine if there is significant difference in the CPAs (a) level of compliance to
CPD requirements, and (b) level of professional development when they are grouped according to length
of service.
5. Pearson r was used to determine if there is significant relationship between the CPAs level of compliance
to CPD requirements and level of professional development.
CHAPTER 4
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
This chapter includes the analysis and interpretation of data gathered in this study as
guided by the problems presented in Chapter 1.

Table 1 represents the profile of the respondents according to position and length of
service of the CPAs.
Table 1
Profile of the Respondents
Profile Frequency Percentage
Position
Top Management 6 16.7
Middle Management 20 55.6
Lower Management 10 27.8
Length of Service
1-5 years 19 52.8
6 years and above 17 47.2
Total Number of CPA Respondents = 36
As to the CPAs position, 6 respondents or 16.7 percent of the total respondents belonged
to the top management, while 20 respondents or 55.60 percent are part of the middle management
and 10 respondents or 27.8 percent are from the lower management. As shown on the table,
majority of the CPAs are part of the middle management. On the other hand, when profiled as to
the length of service, 19 respondents or 52.8 percent accumulated between 1-5 years of service
and the remaining 17 respondents or 47.2 percent of the total respondents are practicing in the field
for 6 years and above. Based on the table a large part of the respondents is working for 1-5 years.
Table 2
Level of Compliance of CPAs in their CPD Requirements
Weighted
Mean
Indicators Interpretation Rank
1. Complies with the minimum required 3.36 High 1

CPD units in year
2. Makes up with its lacking CPD units 2.92 High 5

from the previous period
3. Takes the course regarding Technical 3.11 High 3.5

Competence (30) when attending
seminars
4. Takes the course regarding 3.17 High 2

Professional Skills (5) when attending
seminars
5. Takes the course regarding 3.11 High 3.5

Professional Values and Ethics and
Attitudes (5) when attending seminars
6. Writes a research study to acquire 2.64 High 7

CPD units to comply with its CPD
Requirements
7. Attends graduate studies to comply 2.75 High 6

with its CPD Requirements
Average Weighted Mean 3.01 High
As shown in table 2, there is a high level of compliance of CPAs in their CPD requirements
as they comply with the minimum required CPD units in a year with a weighted mean of 3.36 and
a high interpretation. On the other hand, indicator number 4 which is Takes the course regarding
Professional Skills (5) when attending seminars ranked 2nd with the CPAs had highly level of
compliance garnering a weighted mean of 3.17 and a high interpretation. While both indicators
number 3 and 5 Takes the course regarding Technical Competence (30) when attending seminars
and Takes the course regarding Professional Values and Ethics and Attitudes (5) when attending
seminars both ranked 3rd which the CPAs accumulated a high level of compliance that both
garnered a weighted mean of 3.11 and a high interpretation.
Republic Act No. 10912 (2016) provides the law that CPD is a requirement by the Board
of Accountancy (BOA) on the renewal of the CPA’s license that explains why indicator 1 had the
highest rank in the level of compliance, in effect the indicator 2 got only a 5th rank because majority
comply to the minimum required CPD per year. Next were indicators 4, 3, 5 which pertained to
attending seminar hours to gain CPD units. The reason behind this is that attending seminars
regarding Technical Competence, Professional Skills, Professional Values and Ethics and
Attitudes is more time efficient and less costly than those of Indicators 6 and 7 where the CPAs
need to attend graduate studies and do researches as supported by Suwardi, De Lange, Jackling
(2011), wherein they found out that the most relevant consideration of choosing a CPD activity is
the flexibility followed by location, cost and length of time.
Table 3
Level of Professional Development of CPAs in terms of
Increase in Knowledge
Weighted
Mean
1. Processing accounting concepts and 3.64 Very High 1.5

theories quickly.
2. Interpreting financial statements more 3.64 Very High 1.5

reliable.
3. Conceptualizing own accounting 3.22 High 5

concepts to be used in an accounting
system.
4. Analysing different workplace 3.31 High 4

situation.
5. Enhancing and expanding knowledge 3.54 Very High 3

in taxation
Average Weighted Mean 3.47 High
Based on the gathered data shown in table 3, CPAs have a high interpretation in their level
of professional development in terms of increase in knowledge elevated as they process accounting
concepts and theories quickly and interpret financial statements more reliably (Indicator 1 and 2)
both garnered a weighted mean of 3.64 with a very high interpretation. They also enhanced and
expanded their knowledge in taxation (Indicator 5) with a weighted mean of 3.54 and a high
interpretation. It was followed in the ranking by indicator number 4 as the CPAs knowledge in
analyzing different workplace situation increased with a weighted mean of 3.31 and a high
interpretation. Lastly, CPAs knowledge in conceptualizing own accounting concepts to be used in
an accounting system increased with a weighted mean of 3.22 and a high interpretation.
The data showed that indicators 1,2 and 5 had the highest rank because according to
American Institute of Accountants (1997) the nature of work of the CPAs were focused on
Taxation, Auditing, Management Advisory services and Processing, interpretation and application
of accounting concepts and standards. That explains the reason behind escalation the level of
professional development among CPAs on knowledge specifically indicators 1, 2, 5. On the other
side, indicators 3 and 4 also have a high level of professional development in terms of knowledge
where indicator 3 and 4 was supported by BOA Resolution (2016 - 358) where it stated in its
thematic areas that it will focus on environment of the practice where frameworks, models, best
practices, information technology and other tools and techniques will be taught on this thematic
area of CPD.
CPAs strongly agreed that their level of professional development elevated in terms of
increase in knowledge with an overall average weighted mean of 3.47 and a high interpretation. It
coincides with the articles of Qureshi (2016), University of Sterling (2015), Human Resources
Department of University of Guelph wherein continuous training and development would have an
effect to the knowledge of the CPAs.

Table 4
Level of Professional Development of CPAs in terms of Skills
Weighted
Mean
1. Making reliable decisions in different 3.69 Very High 2

situations
2. Managing time efficiently 3.72 Very High 1
3. Adapting to the changing business 3.56 Very High 5

environment
4. Advanced set of communication skills 3.42 High 7
5. Professional integrity in the field of 3.67 Very High 3

work
6. Capacity to lead different kinds of 3.44 High 6

personnel
7. Handling different accounting 3.39 High 8

software easily
8. Incorporating new accounting 3.61 Very High 4

standards appropriately
Average Weighted Mean 3.56 Very High
For the purpose of interpretation, the researchers grouped the indicators according to
skills, namely: Management skills (Indicators 1, 2, 4, 6), Accounting Competence (Indicator 7 and
8) and Professional Integrity (Indicator 5).
Data in table 4 showed that their level of professional development escalated in terms of
skills as the CPAs comply with their CPD requirement. The information above describes how level
of professional development would affect the skills of CPAs. This is supported by the statement
of the International Bank of Reconstruction and Development (2016), as they stated that this
maintenance of professional competence would help in the improvement of skills.
The CPAs agreed that their level of professional development in terms of skills escalated
mostly on Management skills, data showed indicator 1,2,3,4 and 6 with a weighted means of 3.69,
3.72, 3.56, 3.42, 3.44 respectively a very high interpretation, the CPA perceived that their
Management skills escalated, they’ve improve in terms of decision making provided that they can
make more reliable decisions, manages time efficiently, adapts to sudden changes in the business
environment, shows improvement in their communication skills and they’ve developed their
leadership skills in leading different kinds of personnel. The data also showed that their
Accounting competence skills escalated and have a high interpretation (Indicator 7, 8) with a
weighted means of 3.39 and 3.61; they have the ability to adapt in the competition showing
improvement in handling different accounting software easily and Incorporating new accounting
standards. Lastly, it showed that their Professional Integrity skill also escalated and has a very high
interpretation (Indicator 5) with a weighted mean of 3.67; they practice their professional integrity
in their line of work without conflict. According to Megginson (2015), employers are mostly
concerned that employees undertake CPD. First, because it contributes to staff keeping their
skills, knowledge and experience up to date. Second, employers rely on their staff to take
responsibility for their own development and CPD provides the envelope in which a diverse range
of development strands may be held together and leveraged for maximum benefit. Third, CPD
helps with succession planning. For some organizations in highly competitive sectors, CPD is a
means of retaining staff. Staff vote with their feet - if the organization is not committed to their
professional development, they go elsewhere.
Table 5
Level of Professional Development of CPAs
in terms of Productivity
Weighted
Mean
1. Dedication to do work 3.47 High 3

2. Motivation in accomplishing the 3.44 High 4

assigned task.
3. Increase of outputs finished in a given 3.56 Very High 2

time.
4. Achievement of planned goals and 3.58 Very High 1

objectives of the firm.
Average Weighted Mean 3.51 Very High
As shown in table 5 the Level of Professional Development of CPAs increased in terms of
productivity when they comply with their CPD requirements. Indicator 4 had the highest rank with
a 3.58 weighted mean and a very high interpretation, this means that the CPAs was able to achieve
planned goals and objectives of the firm when they comply with their CPD requirements. Second
to the highest was indicator 3 with a weighted mean of 3.56 with a very high interpretation and it
implies that they had an increase of outputs finished in a given time when they comply with their
CPD requirements. Third in the ranking was indicator 1 with a weighted mean of 3.46 which means
that their dedication to work has increased when they comply to their CPD requirements. Lastly,
the CPAs agreed that their motivation in accomplishing the assigned task increased as shown in
indicator 2 with a 3.44 weighted mean and a high interpretation. Overall, the CPAs strongly agreed
that their level of Professional Development in terms of Productivity increased with a weighted
mean of 3.51 and a very high interpretation.
Based from the results above, the more that the CPAs comply with their CPD requirements the
more productive they become as they are able to achieve their objectives and goals since the
number of their outputs also increases in effect of the enhancement of their professional skills
considering they comply with their CPD requirements. This statement is supported by an article
by University of Liverpool (2014), engaging in CPD would allow professionals to improve their
productivity as to increasing their level of output and helping in the achievement of their goals
which coincides with the results presented above. Also, the studies of Degraft-Otoo (2012), Smith
(2013) and Singh (2012), supports the results above as their study found out that training and
development increases the level of productivity of employees.
Table 6
Summary Table of the Level of Professional Development of CPAs
Weighted
Mean
Professional Development Interpretation Rank
Increase in Knowledge 3.47 High 3
Skills 3.56 Very High 1
Productivity 3.51 Very High 2
Overall Weighted Mean 3.51 High
Table 6 shows the summary of the level of Professional Development of CPAs in terms of
Increase in Knowledge, Skills and Productivity. The data in the table shows that CPAs skills have
the highest improvement in their level of professional development when they comply on their
CPD Requirements with a weighted mean of 3.56 and a very high interpretation. Following that is
the escalated level of professional development as to the productivity of the CPAs with a weighted
mean of 3.51 and a very high interpretation. Lastly, the CPAs agreed that they heighted their level
of professional development in terms of increase in knowledge with a weighted mean of 3.47 and
a high interpretation. The overall weighted mean of 3.51 denotes that the CPAs strongly agreed
that their level of professional development elevated in terms of increase in knowledge, skills and
productivity as they comply with their CPD requirements.
Table 7
Difference in the Level of Compliance of CPAs in their CPD Requirements
When They Are Grouped According to Profile Variables
Profile Mean Statistical Test p-

value
Interpretation
Position X1 (Top Management) = 3.1667 Kruskal-Wallis

Test
X2 (Middle Management) = 2.9786 0.935 Not Significant
X2 = 0.135
X3 (Lower Management) = 2.9714
Length of X1 (1-5 years) = 3.1053 t test

Service
X2 (6 years and above) = 2.8992 t = 0.807 0.425 Not Significant
0.05 level of significance

As shown in the table, for the difference in the level of compliance of CPAs in their CPD
requirements when they are grouped according to position and length of service, p values of
0.935 and 0.425, respectively were obtained which were higher than the 0.05 level of
significance. This shows that there is no significant difference in the level of compliance of
CPAs in their CPD requirements when they are grouped according to position and length of
service. The level of compliance of CPAs in their CPD requirements is the same regardless of
their position and length of service because every CPA is required to comply with their CPD
requirements regardless of their position and length of service. Therefore, accepting the
hypothesis that there is no significant difference between the level of compliance of CPAs Biñan
City, Laguna if grouped according to profile.
The results above was supported by the study of Tan (2015), which said that there is no
significant difference between the level of compliance of CPAs and when they are grouped
according to profile.
Table 8
Difference in the Level of Professional Development of CPAs
When They Are Grouped According to Position
Statistical Test
Professional Mean (Kruskal- p-

Development Wallis Test) value
Interpretation
Increase in X1 (Top Management) = 3.7000

knowledge
X2 (Middle Management) = 3.5150 X2 = 7.157 0.028 Significant
Skills X1 (Top Management) = 3.6042
X2 (Middle Management) = 3.5813 X2 = 0.144 0.930 Not Significant
Productivity X1 (Top Management) = 3.4583
X2 (Middle Management) = 3.5750 X2 = 1.171 0.557 Not Significant
As shown in the table, for the difference in the level of professional development of CPAs
in terms of skills and productivity when they are grouped according to position, p values of 0.930
and 0.557, respectively were obtained which were higher than the 0.05 level of significance. This
shows that there is no significant difference in the level of professional development of CPAs in
terms of skills and productivity when they are grouped according to position. The level of
professional development of CPAs in terms of skills and productivity is the same regardless of
their position. For the difference in the level of professional development of CPAs in terms of
increase in knowledge when they are grouped according to position, a p value of 0.028 was
obtained which was lower than the 0.05 level of significance. This shows that there is significant
difference in the level of professional development of CPAs in terms of increase in knowledge
when they are grouped according to position. The CPAs with top management positions had higher
level of professional development in terms of increase in knowledge than those from middle and
lower management positions. Thus, in the case of skills and productivity, the hypothesis that there
is no significant difference between the level of professional development of CPAs Biñan City,
Laguna if grouped according to position is accepted. The result above was supported by the study
of Nassazi (2013) wherein the effect of trainings and development could affect the performance of
an employee is affected by on what job they belong.
According to Megginson (2015), the need for CPS no longer lies in the job or the
organization we work but, in the skills, knowledge and experience that we have within ourselves.
However, when it comes to increase in knowledge, the result is significant when grouped
according to position, rejecting the hypothesis, because knowledge is easier to be improved which
coincides with the study of Dombeck (2015), which states that knowledge can be learned easily
because it does not require additional physical learning. This was also supported by the study of
Elnaga and Imran (2013), wherein they found out that trainings add value to the knowledge as it
plays a vital role in the improvement of competencies of employees and knowledge is a lot easier
to be improved.
Table 9
Difference in the Level of Professional Development of CPAs
When They Are Grouped According to Length of Service
Professional Mean Statistical Test p-

Development value
(t test) Interpretation
X1 (1-5 years) = 3.3789

Increase in X2 (6 years and above) = 3.5706 t = 1.584 0.123 Not Significant

knowledge
Skills X1 (1-5 years) = 3.6447
Productivity X1 (1-5 years) = 3.4868
As shown in the table, for the difference in the level of professional development of CPAs
in terms of increase in knowledge, skills and productivity when they are grouped according to
length of service, p values of 0.123, 0.170 and 0.668, respectively were obtained which were higher
than the 0.05 level of significance. This shows that there is no significant difference in the level
of professional development of CPAs in terms of increase in knowledge, skills and productivity
when they are grouped according to length of service. The level of professional development of
CPAs in terms of increase in knowledge, skills and productivity is the same regardless of their
length of service because CPAs can benefit from CPD whether they are young or seasoned,
therefore length of service does not have a significant effect among CPAs.
The results above was supported by the study of Mendoza (2013), wherein the results of
his study reveal that there is no significant difference between the level of professional
development and when respondents are grouped according to their length of service. Also, the
results of the study of Tan (2015), showed that value of CPD is not affected by the years of service
of CPAs.
Table 10
Relationship Between the Level of Compliance in CPD Requirements
and Level of Professional Development of CPAs
Professional Development Pearson r p value Interpretation
Increase in knowledge 0.488 0.003** Significant
Skills 0.757 0.000** Significant
Productivity 0.366 0.028* Significant
**0.01 level of significance

*0.05 level of significance
As shown in the table, for the relationship between the respondents’ level of compliance in
CPD requirements and level of professional development of CPAs in terms of increase in
knowledge, skills and productivity, p values of 0.003, 0.000 and 0.028, respectively were obtained
which were lower than the 0.01 and 0.05 level of significance. This shows that there is significant
relationship between the respondents’ level of compliance in CPD requirements and level of
professional development in terms of increase in knowledge, skills and productivity.
Based from the results above, the more that CPAs complies with their CPD requirements,
the more their level of professional development would improve because as they comply with their
requirements they are able to enhance their level of knowledge, their skills and their level of
productivity. This result was supported by the study of Tan (2015), wherein the compliance with
CPD of CPAs, the more their level of professional development changes. Thus, rejecting the
hypothesis that there is no significant relationship between the level of compliance and level of
Chapter 5
SUMMARY OF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS
This chapter presents the summary of the research study, the conclusions made, and the
recommendations based from the results of the study. The focus of this study was to determine if
CPD affects the professional development of CPAs.

Specifically, this study sought to answer the following questions:
1. What is the profile of the respondents?
1.1 Position
1.2 Length of service
2. What is the level of compliance of CPAs in their CPD requirements?
3. What is the level of professional development of CPAs? In terms of:
3.1 Increase in knowledge
3.2 Enhancement of skills
3.3 Increase in productivity
4. Is there a significant difference in the respondents’ level of compliance in CPD
requirements of CPAs in Biñan City, Laguna when they are grouped according to profile
variables?
5. Is there a significant difference in the respondents’ in the level of professional development
when they are grouped according to profile variables?
6. Is there a significant relationship between the level of compliance in CPD requirements
and level of professional development of CPAs in Biñan City, Laguna?
Summary of Findings
The findings of the study were summarized and organized in relation to the purposes and
objectives.
1. Profile of respondents
The profile of respondents presented the Certified Public Accountant’s position.
Six respondents belonged to the top management, while twenty of them were part of
the middle management and ten respondents were from the lower management.
Majority of the respondents were part of the middle management. On the other hand,
when profiled as to the length of service, nineteen respondents accumulated between
1-5 years of service and the remaining seventeen respondents were practicing in the
field for six years and above. A large part of the respondents is working for 1-5 years.
2. Level of compliance
A high level of compliance of CPAs in their CPD requirements arose in the results as
they comply with the minimum required CPD units in a year. On the other hand,
indicator 4 course regarding professional Skills and 5 as regards attending seminars
ranked 2nd with the result of high level of compliance garnering a weighted mean of
3.17. While both indicators number 3 and 5 which meant the respondents took the
course regarding Technical Competence and as to when attending seminars as well as
the course regarding Professional Values and Ethics they all ranked 3rd which meant
that the CPAs accumulated a high level of compliance with a weighted mean of 3.11.
All of the indicators were interpreted as high. The average weighted mean was 3.01
which were interpreted as high level.
3. Level of professional development
3.1.Increase in Knowledge
Three out of six indicators were interpreted as very high while the remaining
three indicators were interpreted as high. The average weighted mean was 3.47
which were interpreted as high level.
3.2.Enhancement of skills
Five out of eight indicators were interpreted as very high while the
remaining 3 indicators were interpreted as high. The average weighted mean was
3.56 which were interpreted as very high level.
3.3.Increase in productivity
Two out of four indicators were interpreted as very high while the other two
were interpreted as high. The average weighted mean was 3.51 which were
interpreted as very high level.
4. Significant difference between level of compliance of CPAs when grouped
according to profile.
There is no significant difference between the level of compliance of CPAs
when grouped according to profile.
5. Significant difference between level of professional development of CPAs when
grouped according to profile variables.
5.1.As to position
There is no significant difference between the level of professional
development in terms of enhancement of skills and increase in productivity when
grouped according to length of service. However, in terms of increase in knowledge
there is a significant difference.

5.2.As to length of service
There is no significant difference between the level of professional
development in terms of increase in knowledge, skills and productivity when
grouped according to length of service.
6. Significant relationship between the level of compliance and level of professional
development.
There is a significant relationship between the level of compliance and level of
Conclusions
Based on the findings, the following conclusions are formulated:
1. Most of the respondents are part of the middle management with shorter length of service
ranging from 1 -5 years. There was a little difference from their length of service as they were
almost equal with 1-5 years in service or 6 years and above.
2. The respondents had a high level of compliance with their minimum CPD requirements in
a year and occasionally makes up with its lacking CPD units from the previous period. Most of the
time the CPAs attend seminars to acquire CPD units and takes the course regarding Professional
Development more often than the other options. The respondents rarely attend graduate school or
compose a research study to comply with their CPD requirements.
3. When it comes to the CPAs level of professional development, the respondents had
noticeable enhancement as to their knowledge, skills and productivity but they observed a larger
growth in their skills (management skills, accounting competence, professional integrity) and
shown a remarkable improvement in their overall productivity in comparison with their increase
in knowledge.
4. The respondents’ position in the management (Top management, middle management,
lower management) as well as their length in service did not made any significant difference in
their level of compliance to the required CPD units since the position of the respondent or the
length of service does not affect the responsibility of a licensed professional to comply with their
CPD requirements.
5. The respondents’ length of service did not make any substantial difference in their level of
professional development, likewise, the position of the respondents’ in the management (Top
management, middle management, lower management) did not make any significant difference in
their level of professional development in terms of their skills and productivity nonetheless the
respondents’ position in the management made a significant difference in relation to its increase
in knowledge.
6. The CPAs shown a visible improvement in their level of professional development as they
comply with the CPD requirements and have a high level of compliance, this purports that a
significant relationship between the level of compliance in the required CPD units of a CPA and
its level of professional development transpires.
Recommendations
The following are the recommendations based from the study:
1. The CPAs should not view the additional required CPD units and their compliance with it
as a burden for them before they can renew their professional licenses hence they should
invest more in it as complying with the CPD units will help the growth of their knowledge
in relation to the profession, develop their skills and increase their overall productivity.
2. The companies should formulate a strategy that focuses in motivating and supporting their
employees to pursue and comply with their CPD requirements. Giving the employees time
and incentives for them to acquire CPD units or organizing their own BOA approved CPD
seminars in their company. The improvements to knowledge, skills and to productivity that
the employees can acquire in complying with CPD will greatly benefit the company’s
performance and that will exceed the cost of implementing the said strategy.
3. The community is the recipient of the services provided by the CPAs, the municipal
government should collaborate with the CPAs through creating or supporting programs
with regards to CPD. The municipality may be a venue to help both the CPAs and the
constituents in providing the best services through collaborative programs for the
betterment of the services provided by the CPAs in the community.
4. The students with the willingness to be the future CPAs, that they may find this research
interesting to develop more their sincerity to serve the community wholeheartedly not only
in the future but now as students learning and being challenged by the hardships of studying
BSA. To be a good CPA in the future is to be a good student now. This research may be a
good instrument to realize the value of education today and be the best we can be in the
future.

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University of Perpetual Help Laguna

Old National Highway, Biñan, Laguna

CONTINUING PROFESSIONAL DEVELOPMENT ON SELECTED

In Partial Fulfillment of the

Alcabasa, John Patrick D.

October 12, 2018

be able wholeheartedly serve their chosen field of service to the community.

To ensure improvements of practice of professionals in the country and enhance the

Ethics and Attitudes (Professional Regulatory Board of Accountancy, 2017).

Continuing Professional Development is essential to keep professional skills and

standardize professional competence to ensure employees to perform their part competently.

(International Federation of Accountants, CPD is essential as it brings benefit to the professional,

(University of Sterling, 2015).

Maintaining professional competence helps individuals to improve their skills and

the relation of professional development and compliance of the CPAs.

professional development of CPAs in the City of Binan, Laguna.

performance and the professional development of employees (Halidu, 2015).

with the professional development of the CPAs as shown on Figure 1.

Independent Variable Dependent Variable

Figure 1. Model of Conceptual Framework

CPD as shown on Figure 2.

Independent Variable Dependent Variables

Figure 2. Model of Operational Framework

Statement of the Problem

specifically answer the following questions:

1. What is the profile of the respondents?

1.2 Length of service

2. What is the level of compliance of CPAs in their CPD requirements?

3.1 Increase in knowledge

3.2 Enhancement of skills

3.3 Increase in productivity

4. Is there a significant difference in the respondents’ level of compliance in CPD

5. Is there a significant difference in the respondents’ in the level of professional development

when they are grouped according to profile variables?

6. Is there a significant relationship between the level of compliance in CPD requirements

and level of professional development of CPAs in Biñan City, Laguna?

Statement of the Hypothesis

professional development of CPAs in Biñan City, Laguna.

City, Laguna if grouped according to profile.

H0: There is no significant difference between the level of professional development of

CPAs in Biñan City, Laguna, if grouped according to position.

H0: There is no significant difference between the level of professional development of

CPAs in Biñan City, Laguna, if grouped according to length of service.

Assumptions of the Study

The study will revolve around the following assumptions:

1. Compliance with CPD is required.

2. The respondents of the study comply with the requirements of CPD.

3. Professional Development is acquired by the respondents.

and based from their experience.

Scope and Delimitation

compliance and its effect to the level of professional development.

Significance of the Study

The result of this research is beneficial to the following:

The CPAs and the management of companies in Biñan City, Laguna

themselves in the future.

comply with the CPD requirements.

and may contribute new information to the study.

Continuing Professional Development- instilling of advanced knowledge, skills and ethical

values in a post-licensure specialization for assimilation into professional practice. (Professional

Regulatory Board of Accountancy)

management, middle management or lower management.

translate policies into goals, objectives and strategies. (Business Dictionary)

Lower Management- Employees who works for their respective departments.