CPA Exam Sections
Format and Content Areas For 2023 - 2024 Exam
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CPA Exam Basics
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Wondering how the Uniform CPA Exam is structured? This guide provides information about the CPA Exam sections, format, and content areas for all parts in detail.
What Are the Sections of the 2023 CPA Exam?
The CPA Exam consists of four sections, each section is a separate exam with a four-hour time limit and covers a wide variety of topics.
- Auditing and Attestation (AUD) section of the CPA Exam tests CPA candidate’s understanding of the auditing process, including auditing procedures, generally accepted auditing standards, standards related to attest engagements, and the AICPA Code of Professional Conduct.
- Business Environment and Concepts (BEC) section of the CPA Exam comprises business concepts and the significance of a CPA’s professional duties and responsibilities within the larger context of the business environment.
- Financial Accounting and Reporting (FAR) section of the CPA Exam is the longest and by far the most comprehensive section of the CPA Exam. This part of the exam requires that CPA candidates have a strong knowledge of US generally accepted accounting principles (GAAP).
- Regulation (REG) section of the CPA Exam tests CPA candidates’ knowledge and skill level primarily on federal taxation, then on business law, business ethics, and professional and legal responsibilities.
2023 CPA Exam Format and Structure
Testing within each examination section is managed in blocks called testlets. Testlets contain operational and pretest questions. Operational questions are scored, whereas pretest questions are not scored. The CPA Exam includes 3 main question types, each testlet is comprised of questions from only one of these question types:
- Multiple-Choice Questions (MCQs) – One question with four potential answers. MCQs make up the majority of each exam section.
- Task-Based Simulations (TBSs) – Questions that require you to apply practical knowledge. This could include filling out a document or finishing a research question.
- Written Communication (WC) – Questions that require properly composed written essay responses and are found only in the BEC exam.
| Section | Time | MCQs | TBSs | WC |
|---|---|---|---|---|
| AUD | 4 hours | 72 | 8 | – |
| BEC | 4 hours | 62 | 4 | 3 |
| FAR | 4 hours | 66 | 8 | – |
| REG | 4 hours | 76 | 8 | – |
The AUD, FAR, and REG Exams are similarly formatted. These three exams are composed of MCQs and TBSs. MCQs are tested in the first two testlets. The eight TBSs are broken up over the remaining three testlets. There are no WC questions in the AUD, FAR, or REG exams.
The BEC exam consists of MCQ, TBS, and WC tasks. Like the other three sections, the MCQs are broken into two individual testlets with 31 questions each, followed by two testlets of 2 TBSs, for a total of 4 TBSs. Finally, there are 3 WC questions in the final testlet, one of which is pre-tested.
| AUD | BEC | FAR | REG | |
|---|---|---|---|---|
| Welcome / Launch | 5 mins | 5 mins | 5 mins | 5 mins |
| Confidentiality | 5 mins | 5 mins | 5 mins | 5 mins |
| Testlet 1 | 50 mins 36 MCQs | 50 mins 31 MCQs | 50 mins 33 MCQs | 50 mins 38 MCQs |
| Optional Break (Timer runs) | 5 mins | 5 mins | 5 mins | 5 mins |
| Testlet 2 | 50 mins 36 MCQs | 50 mins 31 MCQs | 50 mins 33 MCQs | 50 mins 38 MCQs |
| Optional Break (Timer runs) | 5 mins | 5 mins | 5 mins | 5 mins |
| Testlet 3 | 50 mins 2 TBSs | 50 mins 2 TBSs | 50 mins 2 TBSs | 50 mins 2 TBSs |
| Standard Break (Timer paused) | 15 mins | 15 mins | 15 mins | 15 mins |
| Testlet 3 | 50 mins 2 TBSs | 50 mins 2 TBSs | 50 mins 2 TBSs | 50 mins 2 TBSs |
| Optional Break (Timer runs) | 5 mins | 5 mins | 5 mins | 5 mins |
| Testlet 5 | 50 mins 3 TBSs | 50 mins 3 WCTs | 50 mins 3 TBSs | 50 mins 3 TBSs |
| Survey | 5 mins | 5 mins | 5 mins | 5 mins |
Allocated time
Understanding how long you have to complete each CPA Exam section, and knowing when to expect designated breaks, is key to helping you develop a strategic game plan for exam day.
- Each of the four CPA Exam sections have a 4-hour time limit. In other words, the entire CPA Exam is 16-hours in total.
- Before you begin the exam, you will be presented with a welcome screen, in which you must enter your launch code and confirm information within a 5-minute period.
- The next set of welcome screens includes confidentiality statements that you must accept within 5 minutes as well.
- There are optional breaks between each testlet. However, during these optional breaks, the timer continues to run and count towards your total exam time.
- There is a 15-minute optional standard break that occurs after you complete the third testlet. At this time, you can pause the timer on your exam. It is highly recommended that you take advantage of this break.
- Finally, post-exam, there will be a 5-minute survey.
Score weighting of questions
For the AUD, FAR, and REG exam sections, score weightage for MCQs and TBSs are 50% each. For the BEC exam, it’s slightly different. BEC weightage is divided into three parts: 50% for MCQs, 35% for TBSs, and 15% for written communication.
| Section | MCQs | TBSs | WC |
|---|---|---|---|
| AUD | 50% | 50% | – |
| BEC | 50% | 35% | 15% |
| FAR | 50% | 50% | – |
| REG | 50% | 50% | – |
2023 CPA Exam Content Areas
CPA Exam content areas are determined by the AICPA. Every year, AICPA releases a blueprint consisting of knowledge, skills, and content topics that will be tested on the CPA Exam. Here is a breakdown of the content areas of each section for you to prepare for the exam:
The AUD section checks various skills, including audit engagements, attestation engagements, or accounting and review service engagements. Here are the topics that make up the structure of the AUD exam:
- Ethics, Professional Responsibilities, and General Principles (15-25%)
- Assessing Risk and Developing a Planned Responses (20-30%)
- Performing Further Procedures and Obtaining Evidence (30-40%)
- Forming Conclusions and Reporting (15-25%)
The BEC section of the CPA Exam comprises corporate governance, economic concepts and analysis, financial management, information systems and communications, strategic planning, and operations management. One unique aspect of the BEC exam is that it is the only section that requires candidates to prepare and submit three Written Communication responses.
- Corporate Governance (17-27%)
- Economic Concepts and Analysis (17-27%)
- Financial Management (11-21%)
- Information Technology (15-25%)
- Operations Management (15-25%)
The FAR section of the CPA Exam is all about concepts and standards for financial statements, typical items in financial statements, specific types of transactions and events, accounting and reporting for governmental entities, and accounting and reporting for nongovernmental and not-for-profit organizations. It requires CPA candidates to have a strong knowledge of US GAAP.
- Conceptual Framework, Standard-Setting, and Financial Reporting (25-35%)
- Select Financial Statement Accounts (30-40%)
- Select Transactions (20-30%)
- State and Local Governments (5-15%)
The REG section of the CPA Exam primarily focuses on federal taxation. According to the AICPA Blueprints, this overarching topic area makes up more than 60% of the REG exam. The remaining topics include: business law, business ethics, and professional and legal responsibilities.
- Federal Taxation (55%-85%)
- Business Law (10-20%)
- Ethics, Professional Responsibilities, and Federal Tax Procedures (10-20%)
To know more detailed information on expanded topics and task coverage, please refer to the CPA Exam Blueprints.
Which Order to Take the 2023 CPA Exam Sections?
The four sections of the CPA Exam can be taken in any order you like. However, it is our general recommendation to take the exam in the following order:
FAR
You should ideally start with FAR, because it requires the most hours of study. This allows for unlimited study time on this large section, and then 18 months to pass the three remaining smaller sections.
AUD or REG
Next, prepare for AUD or REG, depending on your concentration in school or work. Completing an exam section based around an area that you’re already strong in is a great way to boost your confidence for the next sections.
BEC
We suggest you end with BEC. BEC has many familiar concepts you’ve already learned in the other sections. Applying those skills and knowledge to a business setting is the only new thing. It is also considered that BEC is the least time-consuming.
You should ideally start with FAR, because it requires the most hours of study. This allows for unlimited study time on this large section, and then 18 months to pass the three remaining smaller sections.
Next, prepare for AUD or REG, depending on your concentration in school or work. Completing an exam section based around an area that you’re already strong in is a great way to boost your confidence for the next sections.
We suggest you end with BEC. BEC has many familiar concepts you’ve already learned in the other sections. Applying those skills and knowledge to a business setting is the only new thing. It is also considered that BEC is the least time-consuming.
Contrary to the above, some candidates choose to start with the exam section that they find to be the easiest. It helps them to build exam momentum and confidence.
Overall, scheduling your exams to fit your life takes precedence above any of the above suggestions. For example, if you are a student you may want to take FAR during your summer off from school, or if you’re working in tax you may want to save BEC for tax season. Remember to do what makes the most sense for you and what you’re most comfortable with. The end goal is to make a plan, and play by your strengths.
What Are the Sections of the CPA Exam?
The CPA Exam is undergoing many changes starting January 1, 2024. At this time, the CPA Exam will consist of three core sections and three discipline sections. Core sections will be AUD, REG, and FAR. Furthermore, the BEC section will no longer be available and candidates will instead need to select one discipline section from the following:
- Business Analysis & Reporting (BAR)
- Information Systems and Controls (ISC)
- Tax Compliance & Planning (TCP)
All candidates are obliged to take the examination for all core sections and must select one discipline section. For more information, check out the 2024 CPA Exam Changes here.
What is the Format and Structure of the 2024 CPA Exam?
The new CPA Exam format also provides 4 hours to finish each section. Although the type and quantity of questions have altered from the previous format, the CPA Exam’s overall structure remains the same. For example, each section still contains MCQs and TBS. Only WC has been eliminated from the examination in its entirety.
The table below describes the updated question types and numbers in each section.
| Section | Time | # MCQ | # TBS | MCQs Score Weighting | TBSs Score Weighting |
|---|---|---|---|---|---|
| AUD – Core | 4 Hours | 78 | 7 | 50% | 50% |
| FAR – Core | 4 Hours | 50 | 7 | 50% | 50% |
| REG – Core | 4 Hours | 72 | 8 | 50% | 50% |
| BAR – Discipline | 4 Hours | 50 | 7 | 50% | 50% |
| ISC – Discipline | 4 Hours | 82 | 6 | 60% | 40% |
| TCP -Discipline | 4 Hours | 68 | 7 | 50% | 50% |
2024 CPA Exam Content Areas
- Ethics, Professional Responsibilities and General Principles (15–25%)
- Assessing Risk and Developing a Planned Response (25–35%)
- Performing Further Procedures and Obtaining Evidence (30–40%)
- Forming Conclusions and Reporting (10–20%)
- Financial Reporting (30–40%)
- Select Balance Sheet Accounts (30–40%)
- Select Transactions (25–35%)
- Ethics, Professional Responsibilities and Federal Tax Procedures (10–20%)
- Business Law (15–25%)
- Federal Taxation of Property Transactions (5–15%)
- Federal Taxation of Individuals (22–32%)
- Federal Taxation of Entities (including tax preparation) (23–33%)
- Business Analysis (40–50%)
- Technical Accounting and Reporting (35–45%)
- State and Local Governments (10–20%)
- Information Systems and Data Management (35–45%)
- Security, Confidentiality and Privacy (35–45%)
- Considerations for System and Organization Controls (SOC) Engagements (15–25%)
- Tax Compliance and Planning for Individuals and Personal Financial Planning (30–40%)
- Entity Tax Compliance (30–40%)
- Entity Tax Planning (10–20%)
- Property Transactions (disposition of assets) (10–20%)
Which Order To Take the 2024 CPA Exam Sections?
The 2024 CPA Exam unfolds many new aspects with newly included disciplines and a revised format. Thus, it is essential for you to choose your exam order strategically. The order of the exams depends on which discipline section you chose, how hard they are, and how well you are prepared for them.
Initially, you must determine which area is the most challenging; beginning with the most challenging section is always beneficial in the long run. Also, we strongly advise taking your chosen discipline after its corresponding core portion, as the content builds upon it.
This chart shows you the suggested order of the CPA Exam according to your discipline choice.
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Frequently Asked Questions (FAQs)
What's the hardest section/part of the CPA Exam?
According to our CPA Industry Survey, 46% of people surveyed believe FAR is the hardest section of the CPA Exam. The FAR section of the exam tests candidates’ knowledge of general accounting principles, and the skills needed to apply the financial reporting knowledge required of CPAs. Most importantly, FAR requires that CPA candidates have a strong knowledge of US GAAP.
However, this is a very subjective matter. The most difficult section of the CPA Exam can vary by individual, as some may find certain topics harder to understand than others.
Which part of the CPA Exam is the easiest?
The BEC section of the CPA Exam is considered to be the least difficult by candidates, and thereby has the highest pass rate. BEC covers Enterprise Risk Management, Internal Controls and Business Processes, Economics, Financial Management, Information Technology, and Operations Management.
What is required for exam day?
The CPA Exam is time-consuming and requires a lot of effort. Therefore, you must be fully prepared on exam day. This preparation includes bringing essential documents to Prometric, such as your ID and NTS. Check out all the things you need on your exam day from our CPA exam day checklist page.
Is there a time limit to pass all four CPA Exam sections?
The CPA Exam must be passed within an 18-month deadline and with a score of 75 or higher for each section. This means, you have 18 months from the time you pass your first exam to pass the remaining three parts. Once you pass an exam, your notification document will include the date that your passed section expires.
Can you take all 4 parts of the CPA Exam at the same time?
Candidates are allowed to take all four sections of the exam one at a time, two at a time, or even four parts at the same time. However, a candidate has to complete all four sections within 18 months of taking the first part.
How long do you have to study for each CPA Exam Section?
Studying for the CPA Exam is a time-intensive process. A typical candidate spends a total of 300 – 400 hours preparing to pass all four parts of the CPA Exam. We recommend candidates spend approximately 1.5 to 2 hours per day studying, but depending on how often you study is entirely up to you. It is, for this reason, we provide our students the option of 3, 6, 9, or 12-month study planners to help them stay on track to reach their goals.
Which part of the CPA Exam should I take first?
Our general recommendation is to take FAR first, because it requires the most hours of study. Since the 18-month window to complete all four sections begins after the first exam part is passed, this in turn will prevent students from having to give any of their crunch time towards the massive FAR section. To learn more detailed information, please read our blog on which section of the CPA Exam you should take first.
How many times can you take the CPA Exam?
There is no limit to the number of times that you can take each CPA Exam section. The computer-based CPA Exam, which is offered at Prometric Testing Centers, is offered on a continuous basis. The continuous testing model allows CPA candidates to take the CPA Exam throughout the entire year. The only barrier to taking another section of the CPA Exam would be waiting to receive scores from previous attempts of the same CPA Exam section.
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