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The Uniform CPA Examination, otherwise known as the CPA Exam, is the licensing exam for professionals seeking to become certified public accountants. It is developed and graded by the American Institute of Certified Public Accountants (AICPA) and administered in conjunction with the National Association of State Boards of Accountancy (NASBA).

What comprises the CPA Exam?

The CPA Exam is a four-part exam that tests entry-level accountants’ skills to practice public accounting. The exam contains four separate exams, referred to as sections. Testing time totals 16 hours, equal to four hours per section, and assessment occurs at the Prometric test center.

CPA Evolution

The CPA Exam is changing in 2024! Check out our resources to help you strategize for the new exam and understand the transition process.

CPA Exam format

The exam includes four sections: Auditing and Attestation (AUD), Business Environment and Concepts (BEC), Financial Accounting and Reporting (FAR) and Regulation (REG). The following question types appear on the CPA Exam:

Multiple-choice questions (MCQs)

  • One-sentence to paragraph-length questions 
  • Four potential answers
  • Candidates select the best response

Task-based simulations (TBS)

  • Practical questions
  • Require typed-in responses
  • May include research questions, journal entries, form completions or account reconciliations

Written-communication questions (WCQs)

  • Evaluates candidates’ writing skills
  • Test-takers type complete responses
  • May include memos directed to a specific audience

Each of the four exam sections is subdivided into five testlets that contain a variety of question types. Here is a breakdown of the questions found within each section of the test:

AUD


  • Testlet 1: 36 MCQs
  • Testlet 2: 36 MCQs
  • Testlet 3: 2 TBS
  • Testlet 4: 3 TBS
  • Testlet 5: 3 TBS

FAR


  • Testlet 1: 33 MCQs
  • Testlet 2: 33 MCQs
  • Testlet 3: 2 TBS
  • Testlet 4: 3 TBS
  • Testlet 5: 3 TBS

BEC


  • Testlet 1: 31 MCQs
  • Testlet 2: 31 MCQs
  • Testlet 3: 2 TBS
  • Testlet 4: 2 TBS
  • Testlet 5: 3 WCQs

REG


  • Testlet 1: 38 MCQs
  • Testlet 2: 38 MCQs
  • Testlet 3: 2 TBS
  • Testlet 4: 3 TBS
  • Testlet 5: 3 TBS

CPA Exam by sections, time and question type

AUD


  • 4 hours
  • 72 MCQs
  • 8 Task-based simulations

BEC


  • 4 hours
  • 62 MCQs
  • 4 Task-based simulations
  • 3 Written communications

FAR


  • 4 hours
  • 66 MCQs
  • 8 Task-based simulations

REG


  • 4 hours
  • 76 Task-based simulations
  • 8 Task-based simulations

CPA Exam scoring by section and question type

AUD


  • 50% MCQs
  • 50% Task-based simulations

BEC


  • 50% MCQs
  • 35% Task-based simulations
  • 15% Written communications

FAR


  • 50% MCQs
  • 50% Task-based simulations

REG


  • 50% MCQs
  • 50% Task-based simulations

CPA Exam skills tested by section

AUD


  • 30-40% Remembering and understanding
  • 30-40% Application
  • 15-25% Analysis
  • 5-15% Evaluation

BEC


  • 15-25% Remembering and understanding
  • 50-60% Application
  • 20-30% Analysis

FAR


  • 10-20% Remembering and understanding
  • 50-60% Application
  • 25-35% Analysis

REG


  • 25-35% Remembering and understanding
  • 35-45% Application
  • 25-35% Analysis

CPA Exam content areas, topics and weightings by section

Auditing and Attestation (AUD)

AREA I: Ethics, professional responsibilities and general principles (15-25%)

  • Nature and scope
  • Ethics, independence and professional conduct
  • Terms of engagement
  • Requirements for engagement documentation                             
  • Communication with management and those charged with governance
  • A firm’s system of quality control, including quality control at the engagement level

AREA II: Assessing risk and developing a planned response (25-35%)

  • Planning an engagement
  • Understanding an entity and its environment
  • Understanding an entity’s control environment and business processes, including information technology (IT) systems
  • Assessing risks due to fraud, including discussions among the engagement team about the risk of material misstatement due to fraud or error
  • Identifying and assessing the risk of material misstatement, whether due to error or fraud and planning further procedures responsive to identified risks
  • Materiality
  • Planning for and using the work of others
  • Specific areas of engagement risk

AREA III: Performing further procedures and obtaining evidence (30-40%)

  • Sufficient appropriate evidence
  • General procedures to obtain sufficient appropriate evidence
  • Specific procedures to obtain sufficient appropriate evidence
  • Specific matters that require special consideration
  • Misstatements and internal control deficiencies
  • Written representation
  • Subsequent events and subsequently discovered facts

AREA IV: Forming conclusions and reporting (10-20%)

  • Reports on auditing engagements
  • Reports on attestation engagements
  • Accounting and review service engagements
  • Reporting on compliance
  • Other reporting considerations

Business Environment and Concepts (BEC)

AREA I: Enterprise Risk Management, Internal Controls and Business processes (20-30%)

  • Enterprise risk management (ERM)   
  • Internal controls
  • Business processes

AREA II: Economics (15-25%)

  • Economic and business cycles
  • Market influences on business
  • Financial risk management

AREA III : Financial management (10-20%)

  • Capital structure
  • Working capital
  • Financial valuation methods and decision models

AREA IV: Information technology (15-25%)

  • Understanding of information technology (IT)
  • Risk associated with IT
  • Controls that respond to risks associated with IT
  • Data management and relationships

AREA V: Operations management (15-25%)

  • Financial and non-financial measures of performance management
  • Cost accounting
  • Process management
  • Planning techniques

Financial Accounting and Reporting (FAR)

AREA I: Conceptual framework, standard-setting and financial reporting (25-35%)

  • Conceptual framework and standard setting for business and nonbusiness entities
  • General-purpose financial statements: for-profit business entities
  • General-purpose financial statements: nongovernmental, not-for-profit business entities
  • Public company reporting topics
  • Financial statements of employee benefit plans
  • Special purpose frameworks

AREA II: Select financial statement accounts (30-40%)

  • Cash and cash equivalents
  • Trade receivables
  • Inventory
  • Property, plant and equipment
  • Investments
  • Intangible assets – goodwill and other
  • Payables and accrued liabilities
  • Long-term debt (financial liabilities)
  • Equity
  • Revenue recognition
  • Stock compensation (share-based payments)
  • Income taxes

AREA III : Select transactions (20-30%)

  • Accounting changes and error corrections
  • Business combinations
  • Contingencies and commitments
  • Derivatives and hedge accounting
  • Foreign currency transactions and translation
  • Leases
  • Nonreciprocal transfers
  • Research and development costs
  • Software costs
  • Subsequent events
  • Fair value measurements

AREA IV: State and local governments (5-15%)

  • State and local government concepts
  • Financial reporting concepts
  • Deriving government-wide financial statements and reconciliation requirements
  • Typical items and specific types of transactions and events: measurement, valuation, calculation and presentation in governmental entity financial statements

Regulation (REG)

AREA I: Ethics, professional responsibilities and federal tax procedures (10-20%)

  • Ethics and responsibilities in tax practice
  • Licensing and disciplinary systems
  • Federal tax procedures
  • Legal duties and responsibilities

AREA II: Business law (10-20%)

  • Agency
  • Contracts
  • Debtor-creditor relationships
  • Federal laws and regulations (e.g., employment tax, qualified health plans and worker classification)
  • Business structure

AREA III : Federal taxation of property transactions (12-22%)

  • Acquisition and disposition of assets
  • Cost recovery (depreciation, depletion, amortization)
  • Gift taxation

AREA IV: Federal Taxation of Individuals (15-25%)

  • Gross income (inclusions and exclusions)
  • Reporting items from pass-through entities
  • Adjustment and deductions to arrive at adjusted gross and taxable income 
  • Passive activity losses (excluding foreign tax credit implications)
  • Loss limitations
  • Filing status
  • Computation of tax and credits

AREA V: Federal Taxation of Entities (28-38%)

  • Tax treatment of formation and liquidation of business entities
  • Differences between book and tax income (loss)
  • C corporations
  • S corporations
  • Partnerships
  • Limited liability companies
  • Trusts 
  • Tax-exempt organizations