CPA Exam 2024: Changes, Syllabus, Eligibility [Updated]

The CPA certification is the highest standard of competence in the field of accountancy globally and is a highly sought-after and versatile credential for accountants. Those who want to become a licensed Certified Public Accountant (CPA) must fulfil education, examination, as well as experience requirements. Candidates must pass the Uniform CPA Examination or CPA Exam. This exam consists of 3 four-hour core sections and 1 four-hour Discipline section of the candidate's choice. Core sections include Auditing and Attestation (AUD), Financial Accounting and Reporting (FAR), and Taxation and Regulation (REG). Discipline sections include Business Analysis and Reporting (BAR), Information Systems and Control (ISC), as well as Tax Compliance and Planning (TCP).

CPA full form is Certified Public Accountants. It is an exam conducted by the American Institute of Certified Public Accountants (AICPA). It is a globally recognized designation for which aspirants must take the Uniform CPA Examination® and pass it. In India, Chartered Accountant (CA) designation is equivalent to CPA. In this article, we will be discussing how to become CPA exam pattern in detail.

Table of Contents

• Important Announcements
  • CPA Exam Schedule 2024
  • Changes in Exam Pattern from 2024
• Brief History of CPA
• Exam Details, Eligibility Criteria and Requirements
• CPA Score
• Cost of Exam
• Exam Score Release Dates 2024

Important Announcements

• CPA Central online application system will not be available from August 21 till August 28. The new application system will be made available on August 29 that you can access through your current CPA Candidate Portal.
• Do note that AICPA prohibits former as well as current exam candidates from disclosing exam content through photography, writing, or memorization.

CPA Exam Schedule 2024

Changes in Exam Pattern in 2024: Infrastructure Changes to CPA Exam in 2024

NASBA will implement the CPA Evolution-aligned Exam in January 2024 where the following will happen:

1. Research and critical thinking related skills will be assessed:

• A research task based simulation (research TBS) will be introduced.
• AuthLit library1 will be removed which will reduce the exam restarts

2. Excel spreadsheet will be replaced with JavaScript based spreadsheet called SpreadJS:

• Use of Excel is not required to solve the questions in this exam. SpreadJS provides features and functionalities of SpreadJS with limited security lockdowns.

3. Written communication task (essay) will be removed:

• The present WC task only tests whether the candidate can communicate clearly. However, stakeholders want technical accuracy in the responses as well. It has been found that the automated scoring of essays is not as advanced as expected.

4. Multistage adaptive testing in MCQ testlets will be removed:

• It will be replaced with linear test design to provide flexibility in aligning CPA exam driver software in future.
• In 2017, number of MCQs were reduced and more emphasis was given on higher-order skills and TBSs.
• Implementation of linear design will provide accuracy and validity.

5. Four CPA Exam sample tests will be consolidated into one sample test for every CPA exam section:

• AICPA will still maintain a sample test for candidates that require testing accomodations but it will be consolidated into a single sample test.

6. CPA Exam is now available to candidates from the Republic of the Philippines since 1st July 2024.

For detail, download the file named: infrastructure-changes-to-CPA-Exam-in-2024.pdf

Brief History of CPA

To define the standards of the accounting industry, 31 accountants formed an association called the ‘American Association of Public Accountants (AAPA) in 1887. This association was renamed AICPA in 1957 and is responsible for conducting the CPA exam. In 2001, the industry witnessed a major scandal called the ‘Enron Corporation scandal’. As per sources, the company’s leaders duped regulations by showcasing fake holdings and poor accounting practices.

Thus, in 2002, the Sarbanes-Oxley Act was passed, and through this act, accountants are now liable to follow stringent restrictions for their consulting assignments. After this, the accounting industry saw a major shift in its general practices, hence the demand for certified accounting professional roles.

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CPA Course Details: Exam Schedule and Requirements

To become a CPA-certified professional, one must have the desired education and experience, preferably with certifications from accounting courses.

CPA Eligibility Criteria

Every state has its CPA exam prerequisites, but some standard eligibility criteria are:

• At least Graduation or equivalent degree
• 150 semester hours of college courses to earn a CPA license
• 1-2 years of experience under any CPA

Do remember that the eligibility criteria for the US states and other countries is different.

Eligibility Criteria For Indians

In this section, we will be discussing who can do CPA course. Indian students should have one of the following qualifications. They should be members of either ICAI, ICMAI, or ICSI. Other than being a member of one of these organizations, they can possess an MBA or M.Com degree.

Sections of the CPA Exam

CPA is a 4-hour long exam that is divided into four sections. These sections are created to assess the skills and knowledge of candidates. A candidate must finish all sections within the 18-month testing window. You are allowed to pause the exam time for 15 minutes only after third testlet.

You can take up any section in any order during one open testing window. You can take any number of exams during the same window, but you are not allowed to take one section twice in the same testing window. If you fail one part of the exam, you would not be able to retake that section until the next testing window opens.

Each section of the CPA exam has a time limit of 4 hours. The exam related CPA syllabus include:

1. Auditing and Attestation (AUD)- This section may include questions from the following areas:

• Forming Conclusions and Reporting
• Assessing Risk and Developing a Planned Response
• Performing Further Procedures and Obtaining Evidence
• Professional Responsibilities, Ethics, and General Principles

2. Business Environment and Concepts (BEC)- You can expect questions from the following areas:

• Corporate Governance
• Financial Management
• Operations Management
• Information Technology
• Economic Concepts and Analysis

3. Financial Accounting and Reporting (FAR)- Most of the questions in this section will be from:

• Transactions
• Financial Statement Accounts
• Local and State Governments
• Standard-Setting, Conceptual Framework, and Financial Reporting

4. Regulation (REG)- This part will include the following concept-based questions:

• Business Law
• Entity Federal Taxation
• Individual Federal Taxation
• Property Transaction Federal Taxation
• Professional Responsibilities, Ethics, and Federal Tax Procedures

Must Read>> Accounting Interview Questions with Answers

CPA Exam Structure

There are three parts in the CPA  exam, categorized as testlets – MCQ, task-based and written communication. From the past few years, more importance is given to task-based simulations. MCQs are weighted evenly along with simulations except on BEC. MCQs are worth 50% of your points and simulations are worth the rest 50%. The AICPA has also divided the grade weightage to each topic/section under these testlets.

Testlet Wise Data

Section	` Testlet 1	` Teslet 2	` Testlet 3	` Testlet 4	` Testlet 5
AUD	36 MCQ	36 MCQ	2 TBS	3 TBS	3 TBS
BEC	31 MCQ	31 MCQ	2 TBS	2 TBS	3 WCT*
FAR	33 MCQ	33 MCQ	2 TBS	3 TBS	3 TBS
REG	38 MCQ	38 MCQ	2 TBS	3 TBS	3 TBS

Question Wise Data

Section	AUD	BEC	FAR	REG
Multiple-Choice Questions (MCQs)	50%	50%	50%	50%
Task-Based Simulations (TBSs)	50%	35%	50%	50%
Written Communication Tasks (WCT)	n/a	15%	n/a	n/a

Skill Levels to be Assessed in Each Section

The CPA exam tests skills in a variety of evaluation methods.

Section	Remembering and Understanding	Application	Analysis	Evaluation
AUD	25–35%	30–40%	20–30%	5–15%
BEC	15–25%	50–60%*	20–30%	—
FAR	10–20%	50–60%	25–35%	—
REG	25–35%	35–45%	25–35%	—

*Includes written communication

Syllabus of Auditing (AUD) for the CPA Exam

	AUD Content	Allocation (%)
Area I	Ethics, Professional Responsibilities, and General Principles	15-25
Area II	Assessing Risk and Developing a Planned Response	25-35
Area III	Performing Further Procedures and Obtaining Evidence	30-40
Area IV	Forming Conclusions and Reporting	10-20

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Syllabus of Business Environment and Concepts (BEC) for the CPA Exam

	BEC Content	Allocation (%)
Area I	Enterprise Risk Management , Internal Controls, and Business Processes	20-30
Area II	Economics	15-25
Area III	Financial Management	10-20
Area IV	Information Technology	15-25
Area V	Operations Management	15-25

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Syllabus of Financial Accounting and Reporting (FAR) for the CPA Exam

	FAR Content	Allocation (%)
Area I	Conceptual Framework, Standard-Setting, and Financial Reporting	25-35
Area II	Select Financial Statement Accounts	30-40
Area III	Select Transactions	20-30
Area IV	State and Local Governments	5-15

Syllabus of Regulation (REG) for the CPA Exam

	REG Content	Allocation (%)
Area I	Ethics, Professional Responsibilities, and Federal Tax Procedures	10-20
Area II	Business Law	10-20
Area III	Federal Taxation of Property Transactions	12-22
Area IV	Federal Taxation of Individuals	15-25
Area V	Federal Taxation of Entities	28-38

Calculating CPA Score

CPA exam score range on a scale of 0 to 99. To pass the CPA exam, candidates must score at least 75 out of 99. Your total reported score does not correctly represent a percentage. In case, a student fails the exam, he/she will receive a Candidate Performance Report to help in assessing the performance on a particular section. Each response goes through several quality assurance reviews for ensuring score accuracy. The total score in FAR, REG, and AUD is the weighted combination of scaled scores from MCQs and task-based simulations. For BEC section, total score is the weighted combination of scaled scores from task-based simulations, MCQs and written communication tasks. In case candidates fail, they will receive a Candidate Performance Report to assess performance in a specific section.

CPA Exam Cost

1. Application Fee

Depending upon the state, the application fee is around $50-$200 (approx. Rs. 3,600 to Rs. 14,500)

2. Examination Fee

Approx. $193.45 for each section (approx. Rs. 14,100)

3. Registration Fee

Depending upon the state, one can either apply for one section at a time or can club all the sections and pay a registration fee to save the overall cost. The Notice to schedule (NTS) is valid for 6 months, so if you sign up for all four sections in one go, you need to schedule and appear for all four sections in the next 6 months, else, NTS won’t be valid. The list of CPA exam registration costs is:

• When you take one section at a time- $63 (approx. Rs. 4,600)
• If you take two sections at a time- $81 (approx. Rs. 5,900)
• When you take three sections at a time- $99 (approx. Rs. 7,200)
• If you take four sections at a time- $177 (approx. Rs. 12,900)

4. Ethics Fees

Some states ask to clear ethics exam in order to earn a license after the completion of the uniform CPA exam. The fees for the ethics exam is $150-200 (approx. Rs. 10,900 to Rs. 14,500).

5. CPA Licensing Fees

After the uniform CPA exam and ethics exam, candidates are eligible for earning a license, and for this, you need to pay approximately $50 -500 per year depending upon the state. Yes, licensing fees are to be paid every year till eternity so as to maintain a CPA license and practice CPA.

6. Continuing Professional Education (CPE) for CPA Exam

Many states demand 40 hours per year of continuing education so that the public accountant stays updated with the industry norms and updates. So the approximate cost for this CPE could be as low as $800 per year ranging up to $5000.

CPA Exam Score Release Dates 2024

The CPA exam takes place throughout the year and the scores are released on a rolling basis.

If you take your exam on/before	Your target score release date is
July 23	August 8
August 15	August 23
September 7	September 15
September 30	October 10
October 23	November 3
November 26	December 5
December 15	December 27
December 31	January 11
July 23	August 8

CPA Exam Pilot In India

The CPA exam is administered in India as a pilot at Prometric test centers in the cities of Ahmedabad, Bangalore, Calcutta, Chennai, Hyderabad, Mumbai, New Delhi, and Trivandrum.

A career as a CPA in finance and accounting is extremely rewarding. Your expertise is considered more than a normal accountant resulting in more opportunities, payouts, and increased credibility. Make sure to analyze the pros to generate more confidence.