The Uniform Certified Public Accountant examination is composed of four sections that cover various topics related to accounting theories and concepts. The sections in this exam are subdivided into four categories, namely financial accounting and reporting, business environment and concepts, regulation as well as auditing and attestation. Aside from these, some state boards in America include a special section on ethics. To help individuals who want to become one of the CPAs in the country, below are important information about the CPA exam questions.
To enhance the validity and reliability of the examination, the questions are divided into two types, the multiple-choice questions and simulations. The multiple-choice questions consist 70 per cent of the exam while simulations consist 30 per cent of the exam. It is important that examiners know the time limit for each section to make sure that they answer all the CPA exam questions. The scores received by examiners will be based on their ability to link the different concepts in accounting as well as provide supporting documents and evidences for their arguments or proposals.
Auditing and Attestation
Examiners are given four and a half hours to answer all the questions in the auditing and attestation section. The questions focus on engagement planning, documentation of important information, evaluation of information as well as assessment of internal controls. Aside from these, examiners are also required to answer questions regarding the proper ways of preparing documents or written communications to clients.
The time limit for answering the questions in the regulation section is three hours. The topics covered in this section include professional responsibility and work ethics. Some of the questions also focus on accounting issues related to federal tax procedures as well as business law.
Business Environment and Concepts
The questions in this section cover topics about financial management, economic concepts, business structures and information technology. Other topics covered in this section are planning and measurement as well as business management. Facilitators allow examiners to answer all the questions in this section for two and a half hours.
Financial Accounting and Reporting
Other than auditing and attestation, business environment and concepts as well as regulation, the exam also has a special section on financial accounting and reporting. The questions in the section focuses on the important matters about creating financial statements, the different kinds of business transactions, accounting issues concerning nonprofit and nongovernmental institutions as well as accounting issues related to the financial states of governmental agencies.