Uniform Certified Public Accountant Examination is an examination given to persons wishing to become US Certified Public Accountants. The CPA exam is used by regulatory agencies of all fifty states plus the District of Columbia, Guam, Puerto Rico, the US Virgin Islands and Northern Mariana Islands.
The CPA exam is developed, maintained and printed by the American Institute of Certified Public Accountants (AICPA) and administered at the Prometric test center in partnership with the National Association of State Board of Accountancy (NASBA).
Video Uniform Certified Public Accountant Examination
exam content
The CPA exam is tailored to professional practice. This exam is a sixteen-hour exam tested in four separate sections. Two parts can be taken on a certain day or each part can be taken on a separate day. The basic outline of the exam section is as follows:
- Audit and Endorsement (4.0 hours): (AUD) - This section includes knowledge of engagement planning, internal controls, obtaining and documenting information, reviewing engagement and evaluating information and preparing communications.
- Business Environment and Concepts (4.0 hours): (BEC) - This section covers knowledge of business structure, economic concepts, financial management, information technology, and planning and measurement.
- Financial Accounting and Reporting (4.0 hours): (FAR) - This section covers knowledge of concepts and standards for financial statements, typical items in financial statements, types of transactions and special events, accounting and reporting for government agencies, and accounting and reporting for non-governmental and nonprofit organizations.
- Rules (4.0 hours): (REG) - This section covers ethical knowledge and professional responsibilities, business law, federal tax procedures and accounting issues, Federal taxation of property transactions, Federal taxation - and Federal-entity taxation.
The Uniform CPA exam also tests the main understanding and ability to apply authoritative literature - such as auditing and accounting standards, the Uniform Commercial Code, and the Internal Revenue Code - universally adopted by all US jurisdictions, or federal in nature. Every effort is made to avoid asking about course material that may have the correct answer different in different jurisdictions.
The following is a summary summary of the proportions in which the topic is tested in each section of the examination:
Audit and endorsement
- Ethics, Professional Responsibility, and General Principles 15-25%
- Assessing Risks and Developing Planned Responses 20-30%
- Perform Further Procedures and Obtain Evidence 30-40%
- Creating Conclusions and Reporting 15-25%
Business environment and concepts
- Corporate Governance 17-27%
- Economic Concept and Analysis 17-27%
- Financial Management 11-21%
- Information Technology 15-25%
- Operations Management 15-25%
Financial accounting and reporting
- Conceptual Framework, Standard Setting and
- Financial Reporting 25-35%
- Choose 30-40% Financial Account Account
- Select 20-30% Transaction
- State and Local Government 5-15%
Rules
- Ethics, Professional Responsibility, and Federal Tax Procedures 10-20%
- Business Law 10-20%
- Federal Taxation of Property Transactions 12-22%
- Individual Federal Taxes 15-25%
- Federal Agency taxes 28-38%
Test method
For three of the four test sections (AUD, FAR, and REG), multiple choice questions represent 50% of the total score, while the other 50% comes from the simulated style question. For the BEC section of the exam, the score comes from 50% multiple choice questions, 35% simulation, and 15% written communication. Accounting knowledge is tested in simulations through various tasks, some of which require database searching, completing written communication exercises, and working with spreadsheets and forms. The skills that the simulation is meant to measure are: analysis, assessment, communication, and research.
In 2011, the BEC was the only part that contained a written communication task simulation. It measures the ability of CPA candidates to be able to write effective and coherent business English. Prior to 2011, a written communication assignment was contained in all four parts of the exam.
A written communication response was scored on three criteria:
- Organization - structure, ordering ideas, connecting ideas to one another.
- Development - presentation of supporting evidence.
- Expression - use of standard business English.
Responses that do not answer assigned topics are not scored.
During the examination, candidates can rest after completing the "testlet" (either a set of multiple choice questions or simulations). Once the testlet is complete, however, the candidate is not allowed to return, so it is not possible to use "rest time" to increase a person's value by finding an answer. Hours continue to run during breaks.
The "bank" question is much larger than the set presented to each candidate. Different candidates (even taking checks at the same time) can therefore receive a completely different examination. This variance is recorded in the assessment.
Question pretest
The multiple choice questions in each part of the CPA Exam are organized into three blocks, called testlets. Each testlet contains operational and pretest questions. Operational questions are scored, while pretest questions are not printed. In contrast, candidate responses to pretest questions are used to evaluate the statistical performance of those questions. Most of the questions are operational questions; However, pretest questions are mixed in the exam and are not identified as pretest questions. From the candidate's perspective, the pretest question can not be distinguished from operational questions. Pretest questions that meet certain statistical criteria are used as operational questions on upcoming exams. The strategy for this pretesting question is a common practice in high-risk testing.
Difficulty level
Multiple-choice testlets vary in difficulty. There are two levels of difficulty: medium and difficult. In the testlet, items often vary greatly in the degree of difficulty, but throughout the testlets, the hard-coded ones contain questions that are more difficult than the average of the media labeled testlets. Each candidate receives a medium-sized testlet first. The success of a testlet can be medium or difficult, depending on the performance of the candidate. Assessment procedures will complicate all questions, so that candidates get a fair score regardless of the difficulty of the testlet they take. A difficult question is worth more points, but it is still possible to recover and receive a graduation score even if the difficulty of a second testlet candidate is only medium.
Scoring
A reported score of 75 is required to pass any part of the CPA Exam. The reported score does not represent the correct percentage nor does it represent the percentile rank. Conversely, the reported score is a scale score. CPA Experts and Board of Examiners determine how many accumulated difficulty points are required for graduation scores after a thorough analysis and discussion of the knowledge and skills that should be able to be displayed by the candidate to qualify as a CPA. After the graduation score of accumulated difficulty points is determined, it is mapped to equal to 75 on a statistical scale capable of reporting a score from 0 to 99. A score of 75 indicates an examination performance reflecting the level of knowledge and skills required for public protection.
Per NASBA website, completed test sent to AICPA to score. The ID Checking section is only used for identification. When a candidate's performance has been printed, NASBA receives a score for processing. The score is then forwarded to the Accounting Board for their approval and release. Each board of the accountant has its own process and schedule to release the score to the candidate.
How the exam content is selected
Prior to appearing in the CPA Exam, all operational and pretest questions have passed through extensive and rigorous material reviews to ensure that they are technically correct, have the best or current correct answers, and measure the knowledge and skills required of new licensed CPAs as determined in Blueprint Exam. The Blueprint Exam specifies the percentage that each part of the multiple-choice question should be devoted to each content area. The Blueprint Exam is currently enacted in 2017 based on the analysis results of the board's practice and accountant response to the recommended Blueprint Exam design plan. Operational questions have also been evaluated statistically to ensure they meet the psychometric requirements of the CPA Exam.
Maps Uniform Certified Public Accountant Examination
Computer-based checks
Since April 5, 2004, the exam is only managed by a computer in a secure testing center. In addition to the required CPA knowledge, the CPA Exam assesses the essential skills that the CPA possesses. This includes the ability to use authoritative database software and electronic applications such as word processors and spreadsheets. Professional business writing skills are also assessed. In July 2009, the administration of one million computerized CPA exams was recorded.
Currently, the year of testing is divided into four "windows" consisting of three months. Each three-month window is divided into two consecutive months of allowable testing followed by a month in which tests can not be performed. During each three-month window, candidates can take one or more sections, but can take each part only once.
Feasibility to take the exam
To follow the Uniform CPA Exam, a person must be declared eligible to do so by one of the 55 state accountants' councils in the United States. The state board requirements vary, but almost always include a US undergraduate degree and a number of accounting credit credits. In addition, some states require that candidates have completed an additional year of study (which can be either at the undergraduate or postgraduate level) before sitting for the exam and almost every country requires additional year of study completed before certification. An educational requirement equivalent to five years of full-time study is known as the "150 hour rule" (150 units of college semester or equivalent). The NASBA has drafted a discussion paper outlining the history, issues and issues, 150-hour educational requirements, and presenting arguments, pros and cons, to require 120 or 150 credit hours before allowing CPA candidates to take the Trials.
Checkout process
The steps involved in sitting for the Uniform BPA Exam are as follows:
First time applicant
- Apply to one of 55 country boards to determine eligibility. Some state councils delegate this to the NASBA. No need to apply for sitting for all four parts of the Uniform CPA Exam (at least one section should be applied for).
- The State Council notifies NASBA qualified candidates.
- NASBA places candidates on the National Candidate Database and publishes the Notice to Schedule (NTS). NTS validity is usually 6 months, but some countries issue NTS with validity of 3, 9, 12 or 18 months.
- Prometric candidate contacts to participate in their exam section in NTS validity.
- On the day of the exam, the Prometric test center receives electronic data from the AICPA to enable the exam to take place.
- The test response from the candidate is sent back to the AICPA, identified only by the section ID number that NASBA has given to the candidate.
- AICPA test score and send the results to NASBA.
- NASBA match scores (from section ID) to candidate details in the National Candidate Database.
- The NASBA passes the score to the candidate's Country Council (some state councils allow the NASBA to report scores directly to the candidate).
- The Country Board passes the score to the candidate, after a self-review.
Applicants
Candidates who have previously taken part of the Uniform CPA Test are examiners of the retest . The registration process for re-exam candidates with the state board is usually simpler than the first candidate, and usually does not require new evidence or qualifications. Some state councils allow online registration for candidates for retest. In addition, candidate records are already in the National Candidate Database, which allows faster processing by NASBA. Otherwise, the process is the same.
Fingerprint collection
AICPA and NASBA mandate exam candidates to submit fingerprints before each exam for identification purposes. According to published AICPA and NASBA reports, all collected fingerprints are immediately delivered over the Internet to ChoicePoint/Reed Elsevier (Identico Systems) for storage. 1
Cost
The fee for taking the Uniform CPA Test varies by state. For first-time applicants seated for all four sections, the cost between USD $ 550 and USD $ 850 is typical.
For the state of Georgia for example:
Reporting timing calculation
The time scale for reporting scores depends on:
- when AICPA passes the result to NASBA
- NSBA processing time
- the timing of board processing (unless the state council delegates this to NASBA)
In July 2006, some few applicants who took the exam in the first month of the test window were reported by the AICPA earlier, usually in the third week of the second month of the window. For example, some scores of people sitting for the Uniform CPA Examination in April 2006 were reported in the third week of May 2006. The remaining score from April 2006, plus the score of participants in May 2006, was reported in the last two weeks of June 2006.
Candidates who do not receive a score at the end of the first month after the testing window in which they sit for the exam are advised to contact their state council. For example, all candidate scores from the April/May 2006 test window should be reported on 30 June 2006. However, unusual results will be accepted very late.
Section failed
Where a candidate fails part, it can be taken back without penalty in addition to re-examination fees and credit risk for the other part ends under the "18 month rule". Sitting back for the failed part in the same test window is not allowed.
Copy and appeal
A candidate who fails a section may request that the exam be copied over. As of July 2006, the cost of reselling was USD150 for the Environment and Business Concept (BEC) and USD200 for the rest. Applications for re-scoring should be made with a specified time limit, usually around the end of the first month after the test window in which the check is performed. For example, for the April/June test window, an application for rescore should be created before the end of July.
Some but not all state councils allow candidates who fail to appeal scores where candidates can review the checks section and challenge responses. This involves paying a fee of USD500 and traveling to the NASBA office in Nashville, TN. In safe condition, inspections can be reviewed and specific questions can be challenged at a cost of USD100 each. In addition, no material should be taken as a reference. Deadline to appeal is the same as the one for summary.
The outcome of the process takes about 8 weeks and is sent by NASBA to the state board of candidates' accountants. Applying for a rescore or appeal does not prevent the candidate from registering to retake the exam.
Confidentiality
Since 1996, the Uniform CPA Test has become a secret test. Everyone involved with a Uniform BPA Examination, including a candidate, must sign a confidentiality agreement not to disclose the specific content in question.
International Qualification Exam (IQEX)
Certain overseas qualified accountants may enter the International Qualification Examination (IQEX). This is an alternative to Uniform CPA Exam. As of July 2006, this feasibility applies to most of Canada, Ireland and Australia and Instituto Mexicano De Contadores Publicos (Mexican Institute of Certified Public Accountants).
Non-US. candidates
There are no special bars for non-US candidates sitting for the Uniform CPA Test, however:
- It is now possible to follow the CPA Exam outside the US but only in certain countries, currently including Japan, Brazil, United Arab Emirates, Lebanon, Kuwait and Canada.
- Most countries will receive non-US educational credentials, but should generally be evaluated by members of the National Association of Credential Evaluators. Some countries prefer specific evaluators, such as the Foreign Academic Credential Service or the World Education Service, while the Illinois State Board of Accounting prefers to evaluate the credentials themselves.
- About one-third of state councils require candidates for the Uniform CPA Exam to live or work in the state. However, the majority do not have residential requirements.
- Some US states (such as
) require candidates to become US citizens or Permanent residents (green cardholders).
Pass rate
The CPA exam challenges with historically fitting levels below 50%.
History of exam format
Until the mid-1990s, the Uniform CPA Test was 19.5 hours in duration and given for two and a half days. It consists of four subject areas (sections) tested in five sittings: Audit (3.5 hours); Business Law (3.5 hours); Accounting Theory (3.5 hours); and Accounting Practices (Parts I & amp; Part II; 4.5 hours each). Although Accounting Practices Sections I and II are provided in separate sittings, two scores are combined for assessment purposes. Trials are given twice per year: on Wednesdays, Thursdays, and Fridays in May and November each year. Test participants were only allowed to use paper and pencil (no electronic calculator or computer of any kind was allowed at that time).
In 1994, the exam was restructured into a four-part, two-day test. The subjects are rearranged, especially between Accounting Theory and Accounting Practice (Parts I and II). In addition, innovative test questions engine favored were included to better assess the skills required by the CPA to protect the public. For the first time, an exclusive electronic calculator is given to CPA candidates for two new accounting sections. The four new sections are:
- Business Law and Professional Responsibility
- Audit
- Accounting and Reporting - Taxation, Managerial, and Governance and Non-for-Profit Organizations
- Financial Accounting and Reporting - Business Companies
Until 1996, a new version of the CPA Exam was prepared and maintained twice every year (May and November). After each administration, all key questions and responses (correct answers) are published and available for purchase. Candidates can have an exam booklet actually sent to them the day after the exam. (Before the fax machine, candidates can leave the examination room with their testbook.) Beginning with the May 1996 administration, the exam became undisclosed. Almost all exam materials are now stored securely so that many high quality questions can be reused. Although this is a common practice in the world of large-scale testing, it was an important policy decision at the time, and was made only after extensive comments obtained from all key stakeholders, such as 55 accounting boards, members of the CPA profession, accounting educators, CPA candidates , and testing professionals. By deciding to release just a fraction of each exam - to help the candidate prepare for the exam experience - high quality exam materials can be reused. This allows for the first time using statistical techniques for equating tests and using passing scores referenced by the criteria. Maintaining a large database of safe examination materials also made it possible for the CPA Exam to switch to a computer-based administration format in 2004.
Beginning April 1, 2017, AICPA launched a new version of the Uniform CPA Test. This latest version is the result of comprehensive research and puts increasing emphasis on critical thinking, analytical skills, problem solving and professional skepticism. The exam duration increases from 14 to 16 hours with additional Task Based Simulations for each of the four sections. The Content Specification Outlines (CSOs) are replaced by Blueprints to be released by AICPA each year. Additional changes to the exam are an optional 15-minute pause that will not be counted in the 4-hour exam period.
See also
- The American Institute of Certified Public Accountants
- Certified Public Accountant (CPA)
- International Qualification Exam
- National Association of State Council of Accountants
Note
Source of the article : Wikipedia
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