Using the data from 2004 to 2012 of Chinese listed companies as samples, this paper examines the impact of directors' CPA firm working background on corporate cash holdings. We find that there are significant negative correlations between director working background indices (including a dummy variable indicating the existence of at least one director who has ever worked at a CPA firm, the number and proportion of directors who have ever worked at a CPA firm) and corporate cash holdings, and these negative relationships suggest that companies whose directors have CPA firm working background hold less cash. Our further empirical evidence shows that directors who have ever worked at an accounting firm perform a role of corporate governance in reducing cash holdings only when they are on the board of companies that have high growth opportunities or that their top management team's power is high. And this may be due to information asymmetry and agency conflicts faced by high growth companies and high managerial power companies.