Education

Do I Need To Be Good At Maths To Study Accounting And Finance

Finance and accounting is a career that deals with money, but it is also a field that demands the most math, a common perspective that every layman believes in. While all business students are expected to take some math classes, finance is one of the most rigorous areas. You will need a strong mathematical foundation to grasp critical skills like analyzing and evaluating investment activities and economic planning for savings objectives. While you won’t need to acquire advanced mathematical theories, you will need to build strong analytical skills and a strong grounding in algebra, calculus, and statistics to apply principles from these math branches to the financial profession.

I’m a non-math financial guy. It is entirely feasible to succeed in a career in finance and accounting (both academically and professionally) without being mathematically gifted. I was in the same position as you – math was never meant for me in elementary and high school, and I was anxious about taking my first finance class in college as a result.

What you need to know!

For starters, the math you will need as a finance professional for most financial positions is elementary arithmetic or algebra. You only need a strong understanding of basic mathematical equations and how they interact, even if you seek to earn your finance or management accounting certifications unless you plan to get into anything more quantitative Also, you will need to understand percentages to calculate things like growth, return, and contraction, but any exposure to finance will make percentages second nature.

Second, math began to click for me when I took earned my first finance certification at least in my experience. I’m not sure why this is, but I think it has something the modern techniques and skills thought in the process. In high school geometry class, I was never interested in doing the arithmetic to figure out “How many candy bars can fit into Lata’s backpack?” But what if the challenge asks, “What is the price of a stock if you sold it for Rs.50 and made a 15 percent profit?”. That is exactly when math became more appealing to me since it was more practical and relevant.

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