In recent years, rapid development and invasion of technology is being visible in every professional knowledge sector and accounting domain is not an exception to this. The accounting profession is thus going to face so many challenges in near future and needs upskilling. Certified Public Accountant (CPA US) being a highly recognized global professional accounting credential, is also facing the threat of below at par with its existing syllabus and courseware. From here, a new initiative has been started currently known as the “CPA Evolution.” This initiative has been taken by The American Institute of CPAs (AICPA) and the National Association of State Boards of Accountancy (NASBA) to combat the above-mentioned challenges which involve the revamping and restructuring the CPA Exam into a new CPA core-plus-discipline licensure model from 2024 onwards.
CPA Syllabus 2024
It has been proposed that from 2024, the entire CPA syllabus will be presented in a Core -Discipline model format. Among the all 4 previous sections, the BEC part will be replaced by 3 Discipline module from which the candidate can choose any one along with the three Core subjects, thus the exam remains in a 4-part format as before.
The Core Subjects in CPA 2024 Syllabus
1.AUD 2.FAR 3.REG
The Disciplines Subjects in CPA 2024 Syllabus
1.Business Analysis and Reporting (BAR) 2.Tax Compliance and Planning (TCP) 3.Information System and Controls (ISC).
Hence, it is obvious that as par the new 2024 CPA syllabus, the CPA exam will include three core exams (AUD, FAR and REG) and one discipline exam of choice (either BAR, ISC or TCP). It is to be noted that while the names of the core exams remain the same, the content of each is changing. Moreover, technology and data analytics are now become a core component spanning over all 6 subjects in the proposed core-discipline model of the CPA evolution.
Which Discipline of CPA 2024 Syllabus One should Select?
To start with, you should keep it in mind that all 3 disciplines have equal importance in your CPA career nothing more nothing less. First identify your interest and inclination to the topic. As for example, if you have interest in advisory services, financial statement analysis and reporting, technical accounting, and operation management etc., it is better to select BAR as your discipline subject.
Similarly, if you want to build your career in taxation and compliances, TCP should be your cup of tea.
On the other hand, if you have affinity towards computers, data management, information technology etc., it would be better to opt for ISC as your discipline subject for CPA exam 2024.
The CPA evolution has redesigned the CPA syllabus 2024 to develop future ready professional accountants who can take up the technological challenges with ease. It is expected that this revamping will make the CPA exam a little bit harder than its existing format. At the same time, it is also expected that CPA 2024 syllabus with its core-discipline model will equip you with advanced knowledge and skill in your CPA credential. No matter what discipline you opt, each one has importance of its own in the trending and changing accounting arena.
When we talk about the Certified Public Accountant (CPA) credential, we often discuss the repute and potential of this coveted accounting certification. We also know about the pattern and syllabus of this exam and licensing procedures obviously if we are serious about the CPA title. But, are we aware of the CPA Evolution initiative? Are we aware that the Unified CPA Exam is changing significantly in January 2024? Before jumping in to the bandwagon, it is important to know about this initiative and the upcoming changes to the CPA Exam to fully understand how it might impact the sojourn to CPA licensure. The question often comes to mind whether it is applicable to the current CPA pursuant or not? The answer to this stands as if you pass and retain credit for all four CPA Exam sections by December 31, 2023, the changes to the CPA Exam will NOT impact your journey. If you will still be working your way through the CPA Exam in January 2024 and beyond then the information about the CPA Evolution-aligned CPA Exam (the 2024 CPA Exam) and transition policy are most important to understand.
The Present CPA Exam Areas – the 4 Core Sections
The 4 Sections which a CPA aspirant has to clear through separate exams for each section is mentioned below.
Metamorphosis: The Proposed Forthcoming Areas of CPA Exam
According to the proposed initiative, the following structural plan for the CPA exam will be implemented from January, 2023.
The new CPA licensure and CPA Exam model is a Core + Discipline model. In this model, there are 3 core areas involve accounting, auditing, and tax that are mandatory to complete by all candidates. Furthermore, each candidate must opt for a Discipline section for demonstration of greater skills and knowledge. Technology knowledge and skills will be tested in all sections, as it pertains to each section. Irrespective of a candidate’s optional discipline, this model leads to a full CPA license, with rights and privileges consistent with any other CPA. The Discipline section selected for testing does not mean the CPA is limited to that practice area. The new Disciplines reflect three pillars of the CPA profession as mentioned below.
Business Analysis and Reporting (BAR)
Information Systems and Controls (ISC)
Tax Compliance and Planning (TCP)
CPA Evolution: The Transition Policy for Each Section
The transition policy was recommended to the Boards of Accountancy by the NASBA CBT Administration Committee which states that Candidates who have credit for AUD, FAR or REG on the current CPA Exam will not need to take the corresponding new core section of AUD, FAR or REG on the 2024 CPA Exam. Candidates who have credit for BEC on the current CPA Exam will not need to take any of the three discipline sections. If, however, a candidate loses credit for AUD, FAR or REG after December 31, 2023, they then must take the corresponding new Core section of AUD, FAR or REG. A candidate who loses credit for BEC after December 31, 2023, must select one of the three Discipline sections to be tested. It is important to note that none of the sections of the current CPA Exam will be available for testing after December 31, 2023. There is a hard cutover from the current CPA Exam sections to the 2024 CPA Exam sections on the January 2024 launch.
Break-up of the New CPA Evolution Exam Design
The forthcoming changes in the new CPA exam pattern is depicted below for convenience. The duration is fixed while the number of MCQs and Task Based simulations(TBS) vary.
Key Facts on CPA Evolution Exam Pattern
The important points to remember about the changing pattern and implications are mentioned below.
The Credit Extension of New CPA Evolution Exam
CPA Evolution Exam Section wise Changes
There are additions/modifications of contents in the new CPA exam sections which one must get accustomed to before starting the CPA journey in the coming year. Salient features of the changes are depicted below.
Some Other Changes for Newly Revolutionized CPA
CPA Evolution Dates to Remember
Summary
The amalgamation of new interdisciplinary domains in this CPA evolution will make a CPA more compatible in the new age financial arena. It has never been a more exciting time to pursue the CPA license. The role of today’s CPA has evolved, and newly licensed CPAs are taking on increased responsibilities that were traditionally assigned to more experienced staff. Becoming a CPA means you will need greater skill sets and competencies, and a greater knowledge of emerging technologies. That is why the CPA Evolution initiative is underway. It is a joint effort of the National Association of State Boards of Accountancy (NASBA) and the American Institute of Certified Public Accountants (AICPA).
So, want to start your CPA journey? Have gathered the required information about the CPA exam? If so, now is the time to apprehend the type of questions and skill levels associated to make an effective study plan with the aim to crack the CPA exam. Let us discuss this.
Sections of the CPA Exam:
The CPA Exam includes the following four sections:
Auditing and Attestation (AUD),
Business Environment and Concepts (BEC),
Financial Accounting and Reporting (FAR), and
Regulation (REG). Each section tests a different area of knowledge.
The Pattern of Questions in the CPA Exam:
Multiple Choice Questions (MCQ): MCQs analyze the understanding of accounting, auditing, taxes, or regulatory concepts of a candidate in a quantifiable manner. Here, from a given list of answers, one has to select the correct/ best one.
Task-Based Simulations (TBS): TBS is concerned with the evaluation of one’s capability on the application of accounting, auditing, taxes, or regulatory knowledge of a candidate in a realistic scenario. To meet up this demand, one must perform research, analysis, and finally to suggest a real-time solution to that open-ended framework.
Written Communications (WC): Since writing communication skill is the pillar in business environments and concepts, financial accounting, reporting, or regulation, this area of the question is concerned with the writing skill of the CPA aspirant. Here, in response to a hanging question.
The Skill Levels Required for the CPA Exam: To tackle the above-mentioned types of questions, a CPA aspirant must acquire the following skill levels:
Remembering and understanding (R&U): Depending upon the section concerned, this is the areathat covers about 10-40% of the CPA exam and requires the candidate to gather or apprehend specific information like the following:
Definition of terms
Description of a concept
Clarification of a principle
Identification of a link between two concepts.
1. Application (A): This involves 30-60% of the concerned section of the CPA exam. The chore required at this level includes problem-solving ability in varying situations based on the understanding of related concepts. The Application involves the following patterns:
Application of a concept to a new situation
Quantification of amounts based on the given information
Pinpointing the relevant/applicable methodology to apply in each situation.
2. Analysis (AN): It spans about 15-35% of the CPA exam section. At this level, the candidate must have the ability to recognize patterns and relationships between concepts. Examples include:
Understanding and interpretation of data to identify trends
Comparison of multiple sets of information
Arrangement of information to find out relationships.
3. Evaluation (EV): This comprises about 0-15% of the AUD section and requires the ability to judge the idea and materials in the given situation. Examples include:
Strength-weakness assessment of an argument
Comparing two or more alternatives
Opting for the best/desired line of action.
Study Pattern for the Skill Levels: 3 main patterns:
Knowing the part and parcel of the concepts through understanding the materials
The Adequate practice of questions, and
Regularly taking practice/mock exams.
Summary:
For the CPA exam, understanding the above-mentioned skill levels linked with the task type appears helpful for the preparation of the exam since it provides a clue to the strong and weak areas of a CPA aspirant. Once this is done, a CPA candidate can focus and address the area appropriately. For example, if someone finds issues with analysis questions, he or she can allocate extra time to practicing identifying relationships between concepts.
On the other hand, having problems remembering and understanding tasks is difficult, one can focus on memorization techniques. Finally, understanding the material concepts rather than memorizing everything, practicing a lot of questions, and undertaking mock tests more frequently to get familiar with the real-time situation are the key points for success in the CPA exam. For example, Uplift Professional academy par excellence is continuously giving all these kinds of support to its students to crack the CPA exam on the first attempt.
Certified Public Accounting (US CPA) exam is the topmost international professional credential in accounting conferred by The American Institute of Certified Public Accountants (AICPA). Before taking this exam, it is very much pertinent to know your expectation on the basis of a clear-cut idea on the structural component of the US CPA exam. Since the tasks provided in each section of the US CPA exam are grouped into both skill levels and question types, comprehensive coverage of the skill levels in US CPA exam is of immense importance for a US CPA exam taker. Let’s discuss:
Structural Pattern of US CPA Exam
The US CPA Exam has following four sections which tests different knowledge domain of a CPA candidate
1. Auditing and Attestation (AUD)
2. Business Environment and Concepts (BEC)
3. Financial Accounting and Reporting (FAR), and
4. Regulation (REG)
Components Pertinent to Each Section
1. Task-Based Simulations (TBS)
TBS intends to estimate the potential to apply accounting, auditing, taxes, or regulatory knowledge in a real time business scenario. These tasks demand your ability to execute research, analysis, and recommendation for performing required action in addressing an open-ended situation in a realistic manner.
2. Multiple Choice Questions (MCQ)
MCQs quantitate the ability to apprehend the concepts of accounting, auditing, taxes, or regulatory affairs. These questions are set to receive your response on the selection of the best fit answer from the given set of options.
3. Written Communications (WC)
WC are the tasks provided to analyze your potential of communicative writing skill in relation to business concepts, financial accounting and reporting, or regulation. WC needs to write an essay in reply to an open-ended question.
Need to know the US CPA Exam Blueprint
The US CPA exam blueprint is released and updated by AICPA every year: It contains documents that outline the content of each section of the exam with detailed presentation of the testing format of questions and weightage given to tasks and topic for each CPA exam sections.
Skill Levels in US CPA Exam
As mentioned in the blueprint, each and every task provided is linked to a particular grade of skill set which have similar patterns used to measure cognitive skills. For the US CPA exam, there are four levels of skill which are as follows.
1. Remembering and Understanding (R&U)
Tasks at the R&U level need the candidate to remember or understand specific informative facts. Contingent to the particular section, the R&U chore consists of 10-40% of the US CPA exam. Examples of R&U tasks involve:
1. Definition of terminologies
2. Narrating a concept
3. Expressing a principle
4. Identifying link between two concepts.
2. Application
Understanding of concepts and problem-solving abilities in new situations are required to perform tasks at this level. Application comprises between 30-60% of the US CPA exam. Examples of application include:
1. Application of a concept to a new scenario
2. Calculation of amounts based on given information
3. To find out the right procedure to use in a given situation
3. Analysis
Tasks at this level need to identify conceptual patterns and relationships which comprises between 15-35% of the US CPA exam. Examples include:
1. Elucidating data to detect trends
2. Comparison of multiple sets of information
3. Arranging information to observe relationships
4. Evaluation
Evaluation level tasks require judging ideas or materials and comprise between 0-15% of the AUD exam. Examples of the tasks include:
1. Assessment of the strengths and weaknesses of a justification
2. Weighing up two or more alternatives
3. Opting the best remedial action
Summary
Knowledge and understanding of different skill levels in the US CPA exam will help one to apply a strength -weakness analysis to sort out the areas which need more attention in study. Concept clearing or memorizing certain areas can be done by the marking of strong or weak areas through identified skill level to provide more appropriate inputs into the designated section/areas of the US CPA exam.
Once you are familiar with the skill levels, you have to focus on 3 major areas, namely, understanding the material, practicing questions, and taking practice exams. It is to be noted that mere memorizing without clearing the concepts will not help in the exam. In addition, practicing questions and writing mock tests in a regular and dedicated manner will provide the door for you to crack the CPA US exam. So, wish you all a happy US CPA journey at its best.
The US CPA certification is offered by the American Institute of Certified Public Accountants (AICPA). This is a highly qualified designation and in order to acquire this designation, a candidate needs to fulfill all the predefined educational and experience criteria. The most prominent of all the careers for a CPA include Public Accounting and Industry Accounting.
Both are responsible for assisting the organization reach its financial goals through performing a number of roles and responsibilities like Auditing and Review, Financial Planning and Business Valuation, Tax Preparation, Company Management, Litigation Services and Forensic Accounting Services.
Thus, candidates with a knack of Accounting and Finance can choose for a CPA course which includes education, CPA exam and experience. Candidates who wish to enroll must have basic understanding regarding various aspects of the course. One of the important parameters in the CPA program is to know the fee details of the exam and administrative expenses which an aspirant has to incur in the process. Let us discuss the same. The candidates are advised to stay updated and plan their preparation accordingly.
The CPA Exam fees will be additional around 3000 USD, below is the break up for your reference: In Indian currencies the below fees will be around 2,25,000 approx. which can vary as per the currency conversion rate applicable at the time of payment.
Examination Fees
Auditing and Attestation (AUD)
$226.15
Business Environment and Concepts (BEC)
$226.15
Financial Accounting and Reporting (FAR)
$226.15
Regulation (REG)
$226.15
Application Fee
150 USD – 200 USD varies state to state and is paid towards CPA Application fee whenever you apply for exams.
Evaluation Fee
225 USD – 350 USD is paid to NASBA for Evaluation.
Registration fees
70 USD to 150 USD varies state to state and all first-time applicants are required to pay both an application fee and an examination fee upon submission of the first-time application.
International Testing Fee
1500 USD for 4 CPA papers is paid as International Testing Fees only for students writing exams out of the US CPA Exam costs vary depending on your jurisdiction i.e. the state you have chosen to write your CPA exam.
Varies depending on the number of days of advance notice. If you reschedule your CPA Exam at least 30 days in advance, there is no fee associated with the reschedule. If you reschedule the exam between 5 and 30 days, you’ll have to pay the Prometric Testing Centre a rescheduling fee of $35.
If you reschedule within 5 days of your current exam date, you will need to pay Prometric Testing Centre the full amount for the CPA Exam section you are rescheduling. Finally, you will not be able to reschedule your exam if it is under 24 hours before your exam time; you will need to register again with your State Board of Accountancy.
Fees to Prometric for Rescheduling a CPA Exam Section
Notice
Fees
30+ days
$0.00
6-29 days
$35.00
1-5 days
$83.76
Less than 24 hours
Can’t reschedule, fees forfeited
CPA Exam Retake Fee
Varies between $50 and $200
For all re-examination candidates, instead of paying the application fee, they are required to pay both the reapplication and examination fee when they register to re-take any parts of the CPA Exam. This is sometimes also called the “registration fee.” Some states will offer discounts on CPA Exam retake fees if the candidate is retaking 2 or more exams.
Here is an example of how the state of Missouri breaks down their reapplication fees:
Reapplication Fees in Missouri
4 CPA Exam sections
$124.00
3 CPA Exam sections
$108.00
2 CPA Exam sections
$92.00
1 CPA Exam sections
$71.00
Background check
Some states may require a background check, which you will have to pay for. Find out whether your state board requires this in our guide to CPA Requirements. NASBA looked at background checks from past years and found that costs to the candidate ranged from $1 – $49. This is something you’ll want to confirm directly with your state board.
CPA Exam Cancellation Fees and Refunds
Unfortunately, CPA Exam fees are not refundable if your Notice to Schedule (NTS) expires or you do not show up for your scheduled exam. There is no cancellation fee if you cancel the exam at least 30 days in advance. If you cancel the exam between 5 and 30 days, you’ll have to pay the Prometric Testing Centre a cancellation fee of $35. However, there are some exceptions to this policy for candidates with extenuating circumstances. Those circumstances include:
Visa rejections
Military deployment
Medical emergencies
Death
To see if you qualify for a partial refund or NTS extension based on hardship, contact the National Association of State Boards of Accountancy (NASBA).
Note: CPA candidates are only eligible for one NTS extension or a partial refund for an NTS for the same hardship.
CPA Ethics Exam Fee
Varies between $150 and $250
Some states require passing an ethics exam and most state boards accept the AICPA’s comprehensive ethics course and exam. This exam can generally be taken before, during or after the CPA Exam and test results are valid for a 2-year period. CPA Ethics Exam Fee can be anywhere from $150 – $250, depending on the state.
CPA Licensing Fee
Varies between $100 and $500
Once you have passed the CPA Exam and taken the ethics exam (if required!), it is time to apply for certification. Your state likely has an online application process. They may require you to submit documentation such as a signed statement from a supervisor or licensed CPA that can attest to your work or additional educational or exam records. You may have to complete an in-person interview with the board. CPA Licensing fee from $100 – $500, depending on the state.
CPE Costs
Varies between $0 and $300
After CPA licensing, most states require CPAs to complete continuing professional education (CPE) credit hours to maintain licensure. Be sure to check with your State Board of Accountancy to find out how many hours are required each year to maintain your credential.
CPA Exam cost: study and preparation
To make your US CPA journey smooth since it involves substantial investment, it is very much crucial to select your study/training partner and the CPA review material. Uplift Professionals, a premier training institute for CPA partnered with Gleim International, the reputed CPA review provider can be a judicial choice to fulfil your CPA dream.
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3. A practice environment that’s just like the real exam
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The Uplift Professional-Gleim CPA Program has everything you need to pass on your first try!
Now is the time to invest in your future! The CPA designation is one of the most widely recognized certifications in the world — and with good reason! Over the lifetime of their career, CPAs are projected to make $1,000,000 more than non-CPAs. So, treat the CPA Exam costs as an investment in yourself. No matter what your goals are for becoming a CPA, remember that with hard work and dedication, it’s possible to obtain this license.
Summary
Now, after going through this article you are quite familiar with the cost involved to become a CPA US. Considering the income of a CPA, this cost will turn into an investment in your budgeting basket. You must keep in mind that the CPA certification is well worth every penny you spend because it pays for itself with dividends for the duration of your career.
Therefore, you should use this heads-up to develop a budget that accounts for all the CPA costs you may encounter. Because you’re an accountant, I hope you’ll surely be able to adequately prepare your funds once you learn all about the cost of the CPA.
