CPA Exam Facts

Getting your CPA can be a very confusing and stressful process for some, but once you get all your facts aligned, it may be easier to see that end goal of CPA licensure. The Fisher College of Business hosts CPA representatives throughout the school year who provide office hours to answer exam questions. Also, during orientation, several CPA courses give a brief presentation breaking down the information in more detail. I will discuss some common information about the exam.

150-hour requirement

150 credit hours are required by the AICPA. Directly referenced from its website, students can meet the 150-credit hour requirement if they:

  • Combine an undergraduate accounting degree with a master’s degree at the same school or at a different one;
  • Combine an undergraduate degree in some other discipline with a master’s in accounting or an MBA with a concentration in accounting;
  • Enroll in an integrated five-year professional accounting school or program leading to a master’s degree in accounting.

For those of you who do not come from a traditional non-accounting background, do not fear. If you notice the second bullet point, a master’s in accounting satisfies this requirement. Therefore, the Fisher MAcc program is your way to CPA.

It is important to recognize the distinction between the licensure requirements and the exam sitting requirements. Every state requires 150 credit hours for licensure, but some states may allow you to sit for the actual exam before those 150 credit hours are earned.

  • For example, the State of Ohio has a 150-hours education requirement for licensure and 150 hours must be completed prior to sitting for the exam.
  • Other states– for instance, Florida– have 150 hours education requirement for licensure, and 120 hours must be completed to sit for the exam.

You can find all this information broken down by state here.

Sections of the Exam

There are four sections of the exam:

  • Auditing and Attestation (AUD)
  • Business Environment and Concepts (BEC)
  • Financial Accounting and Reporting (FAR)
  • Regulation (REG)

Passing score

The magic number

A passing score is a 75; however, this score is not simply how many questions you get right. Similar to the GMAT, it is weighted and calculated through various methods. The AICPA has released information that is helpful to understand how your score is calculated.

Study Materials

While there are numerous study materials out there, make sure to pick the right materials for you. Know your study habits. If you love to use flashcards, make sure to pick materials with flashcards.

While going through the recruiting process, make sure to ask your employer if they can help financially with the cost of prep materials. A great thing is that most firms are willing to help.

Firm won’t help? No problem. Check out these AICPA scholarships here.  Additionally, make sure to check with your state board of accountancy as it may offer additional scholarships, too.

References

Helpful requirements by state

AICPA information

NASBA

Helpful blog forum

Good luck!