C-Suite CPAs: We're OK, Economy's Not

Executive-level CPAs in business and industry are confident in the future of their own companies, but much less so in the prospects for the U.S. economy, according to a recent survey. While two thirds of the C-suite CPAs responding to the American Institute of CPAs' Spring 2007 Business and Industry Economic Outlook Survey expected their businesses to expand in the next 12 months, less than half have a favorable view of the economy. "Despite reservations about the U.S. economy, companies continue to have a healthy outlook on their own businesses with the next 12 months, and anticipate continued stability in terms of revenue and hiring expectations," said John Morrow, the AICPA's vice president for members in business, industry and government. Most of the surveyed CPAs, however, noted that they expect increases in revenues, not profits, which will be held down by employee costs and a limited ability to raise prices. Fully 95 percent of respondents noted that employee and benefit costs are a challenge, and staff-related issues -- including finding and retaining qualified staff -- accounted for four of the top five challenges faced by organizations. The survey, which represents the views of over 1,350 AICPA members in a wide range of industries, is available online at the institute's Financial Management Center Web site.