Presentation to Students
Edward F. Hums
March 21, 2006
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 Vary by jurisdiction
 150-hour rule
 Pass the Uniform CPA Examination
 Professional experience
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“To admit individuals into the profession only after they have demonstrated the entry-level knowledge and skills necessary to protect the public interest in a rapidly changing business and financial environment.”
AICPA Board of Examiners
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 Pass rates range between 41% - 45% per section
 Higher pass rate that paper examination
 Candidate volume lower than expected
 Possibly due to professional work load
 Possibly due to flexible schedule www.cpa-exam.org
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Paper-based Exam
Auditing (4.5 hours)
Financial accounting and reporting (4.5 hours)
Computer-based Exam
Auditing and attestation
(4.5 hours)
Financial accounting and reporting (4.0 hours)
Accounting and reporting
(3.5 hours)
Regulation (3.0 hours)
Business law and professional responsibilities (3.0 hours)
Business environment and concepts (2.5 hours)
AICPA Board of Examiners
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Communication,
15%
Engagement,
25%
Audit
Objectives, 10%
Internal
Controls, 15%
Documentation,
35%
AICPA Board of Examiners
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Not-for-Profit,
10%
Governmental,
10%
Concepts &
Standards, 20%
GAAP
Transactions,
30%
AICPA Board of Examiners
GAAP Accounts,
30%
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Federal Tax -
Entities, 27%
Professional,
Ethical, and Legal,
19%
Federal Tax -
Individuals, 10%
Federal Tax -
Property, 10%
AICPA Board of Examiners
Federal Tax -
Procedures, 10%
Business Law,
24%
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Planning and
Measurement,
25%
Business
Structure, 20%
Economic
Concepts, 10%
Information
Technology, 25%
AICPA Board of Examiners
Financial
Management,
20%
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AICPA Board of Examiners
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 Multiple-choice questions – 80%
 Given in form of “testlets”
 Each section will include possibly three testlets
 There are 10 to 25 questions per testlet
 Return to questions and change answers only within the current testlet
 Simulations – 20%
 Approximately 20 – 40 minutes in length
 One or two simulations in each examination
AICPA Board of Examiners
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A simulation can be defined as an "assessment of knowledge and skills in context approximating that found on the job through the use of realistic scenarios and tasks, and access to normally available and familiar resources".
Simply put, simulations are relational case studies that will test candidates' accounting knowledge and skills using real life work-related situations.
Each simulation is approximately 20-40 minutes in length and will complement the multiple-choice portion of the examination. All simulations are intended to assess knowledge and skills that are appropriate to expect of an entry-level accountant.
Most of the simulations will contain some research activity, usually involving an electronic search or access to authoritative literature and Internal Revenue Code and Income Tax Regulations. For audit, research may also include identifying and accessing work papers or other published materials such as annual reports and stock reports.
AICPA Board of Examiners
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 Candidates are assumed to have basic computer skills
 Candidates are assumed to have basic communication skills
 Financial calculations on spreadsheets or financial calculator
 Common spreadsheet and word processing program skills
 Searching of authoritative literature
 “Drag and drop”
 “Copy and paste”
AICPA Board of Examiners
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 The computer-based examination will be available approximately 60 days out of each calendar quarter
 This 60 day period is called a “testing window”
 Each year will have four testing windows
Testing is Available
January and February
April and May
July and August
October and November
Testing is NOT Available
March
June
September
December
AICPA Board of Examiners
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 Apply to state board or their designee
 After eligibility confirmed, state board or designee sends applicant a “Notice to Schedule”
 This notice remains valid as jurisdiction mandates
 Applicant calls Prometric to schedule exam time
 May schedule exam at any secure Prometric site
 No restrictions are anticipated on examinations
“taken outside of the jurisdiction”
 However, examination not administered outside of
U.S. jurisdictions
AICPA Board of Examiners
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 Arrive early
 Must bring notice to schedule
 Must bring two forms of identification
 Must match application exactly!!!!
 One with photograph
 Both with signature and current
 Breaks and confidentiality policies
 Misconduct, cheating, and copyright infringement
 Grounds for dismissal
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 Numeric scale of 0 – 99
 Does not represent “percent correct”
 “A score of 75 reflects examination performance that has been judged to represent the knowledge and skills needed to protect the public”
 The computerized exam is weighted:
Multiple choice – 70 percent
Simulations – 30 percent
Objective portion – 20 percent
Written communication – 10 percent
AICPA Board of Examiners
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 Candidates can sit for each section individually, and in any order
 Candidates retain conditional credit for any section(s) passed for eighteen months
 Without regard for minimum score on failed section(s)
 Without regard to taking other sections
 Candidates may not retake a failed section(s) within the same examination window.
 Candidates must pass all four sections within a “rolling” eighteen month period, which begins on the date that the first section(s) passed is taken
 If all four sections are not passed within the “rolling” eighteen month period, credit for any section passed outside that period will expire, and that section must be retaken.
AICPA Board of Examiners
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 Report equipment or computer issues to test center staff immediately.
 Keep the Confirmation of Attendance after your exam; use to follow-up on any issues.
 Test center staff cannot:
 answer content questions
 explain how to use CPA Exam software
 extend or adjust exam time
 Be prepared before you take the exam
 Read The CPA Exam Alert for more test tips www.cpa-exam.org
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Prohibited items include, but are not limited to:
• Books
• Briefcase
• Calculator/Portable Computer
• Calculator Watch
• Camera, Photographic or Scanning Device (still or video)
• Cellular Phone
• Cigarette/Tobacco Product
• Container of any kind
• Dictionary
• Earphone
• Earplug (not provided by Test Center)
• Eraser
• Eyeglass Case
• Food or Beverage
• Handbag/Backpack/Hip Pack
• Hat or Visor (except head coverings worn for religious
• reasons)
• Headset or Audio Earmuffs (not provided by Testing Center)
• Jewelry – Pendant Necklace or Large Earrings
• Newspaper or Magazine
• Non-Prescription Sunglasses
• Notebook
Notes in any written form
• Organizer / Day Planner
• Outline
• Pager / Beeper
• Paper (not provided by Test Center)
• Pen / Pencil (not provided by Test Center)
• Pencil Sharpener
• Personal Digital Assistant or Other Electronic Device
• Plastic Bag
• Purse/Wallet
• Radio/Transmitter/Receiver
• Ruler/Slide Ruler
• Study Material
• Tape/Disk Recorder or Player
• Umbrella
• Watch
• Weapon of any kind
Locker provided
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Prometrics, Inc.
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 Apply early
 Schedule early
 Explore the AICPA website of:
 www.cpa-exam.org
 Take the practice exam
 Program is not Microsoft Word or Excel
 Do not learn as you go
 Study material available
 Do not walk into the testing center unprepared!
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 Determine how much time you can commit to study;
 Be prepared to drop other activities;
 Schedule study during times you are more productive;
 Choose study method in line with the way you learn best;
 Contact your state board about requirements to sit for the exam;
 Working professionals should closely look at schedules;
 Make sure you become familiar with researching the authoritative literature
 Practice, practice, practice;
 Simulations;
 Don’t burn the candle at both ends; and
 Relax on the day prior to your exam.
www.cpa-exam.org
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Available at: www.cpa-exam.org
Guidelines for registering for the examination
Guidelines at the testing centers
Taking the examination
Receiving the scores
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www.cpa-exam.org
www.nasba.org
www.aicpa.org
www.prometric.com
www.incpas.org
www.aicpa.org/pubs/jofa/jul2005/holder.htm
www.nd.edu/~ehums
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