CPA Exam Structure [2024]

  • Published in: CPA

CPA Exam Structure [2024]

Table of Contents

CPA Exam Structure 2024

  • To become a CPA in the U.S., candidates must pass the Uniform CPA Exam.
  • The exam is set by the AICPA* and administered by NASBA*.
  • The exam has three core sections that all candidates must take.
  • Candidates must also choose one of three discipline sections,
    • completing a total of four sections.

Exam Structure

Core Sections (All candidates must take these):

  1. Auditing and Attestation (AUD)
  2. Financial Accounting and Reporting (FAR)
  3. Regulation (REG)

Auditing and Attestation (AUD)

  1. Ethics, Professional Responsibilities, and General Principles: 15-25%
  2. Assessing Risk and Developing a Planned Response: 25-35%
  3. Performing Further Procedures and Obtaining Evidence: 30-40%
  4. Forming Conclusions and Reporting: 10-20%

Financial Accounting and Reporting (FAR)

  1. Conceptual Framework, Standard-Setting, and Financial Reporting: 25-35%
  2. Select Financial Statement Accounts: 30-40%
  3. Select Transactions: 20-30%
  4. State and Local Governments: 5-15%

Regulation (REG)

  1. Ethics, Professional Responsibilities, and Federal Tax Procedures: 10-20%
  2. Business Law: 15-25%
  3. Federal Taxation of Property Transactions: 5-15%
  4. Federal Taxation of Individuals: 22-32%
  5. Federal Taxation of Entities: 22-32%

Discipline Sections (Candidates choose one)

  1. Business Analysis and Reporting (BAR)
  2. Information Systems and Controls (ISC)
  3. Tax Compliance and Planning (TCP)

Business Analysis and Reporting (BAR)

  • Business Analysis: 40-50%
    • Current period/historical analysis
    • Prospective analysis
  • Technical Accounting and Reporting: 35-45%
    • Revenue recognition
    • Business combinations
    • Consolidated financial statements
    • Derivative and hedge accounting
    • Leases
    • Public company reporting topics
  • State and Local Governments: 10-20%

Information Systems and Controls (ISC)

  • Information Systems and Data Management: 35-45%
    • Security, confidentiality, and privacy
    • Considerations for System and Organization Controls (SOC) Engagements
    • Internal controls

Tax Compliance and Planning (TCP)

  • Federal Tax Compliance for Individuals and Entities: 55-65%
    • Nonroutine transactions
    • Higher complexity transactions
    • Personal financial planning
  • Tax Planning Strategies: 25-35%

Exam Format

Each section is 4 hours long. Candidates will encounter a mix of:

  • Multiple-choice questions (MCQs)
  • Task-based simulations (TBSs)

Breakdown of Questions

The Core sections consist of:

  • AUD: 50% MCQs, 50% TBSs
  • FAR: 50% MCQs, 50% TBSs
  • REG: 50% MCQs, 50% TBSs

The Discipline sections have varying weights:

  • BAR: 50% MCQs, 50% TBSs
  • ISC: 60% MCQs, 40% TBSs
  • TCP: 50% MCQs, 50% TBSs

Total Duration and Scoring

To become a licensed CPA, you must pass the CPA Exam, a four-section, 16-hour assessment.

  • The total exam time across all sections is 16 hours.
  • Each section is scored on a scale of 0 to 99,
    • with a minimum passing score of 75 required for each section.

Time Limits

  • Candidates must pass all four sections within a rolling window of 30 months,
    • starting from the date they pass their first section.
  • If they do not complete all sections within this timeframe,
    • any passed sections will expire, requiring retaking those exams.

Sources