The Rigors of CPA Testing

Doctors and lawyers are not the only professionals who must undergo lengthy training and testing to meet the standards of their line of work. Though it is not as talked about, a Sacramento CPA must pass the rigorous Uniform Certified Public Accountant Examination administered by the American Institute of Certified Public Accountants. This fourteen hour test ensures that when you hire a Sacramento CPA, you are getting in-depth knowledge and the best financial consultation available.

The CPA exam is multiple choice and administered by computer. It is divided into four sections. The first section, Auditing and Attestation, takes four hours and tests planning, documenting evidence, evaluation, communication, and professional responsibilities, among other things. The second section is Financial Accounting and Reporting. This also takes four hours to administer, and it covers the concepts of financial statements, typical content of financial statements, and accounting for the government, private, and non-profit businesses. The third section, which takes three hours, is Regulation. This section covers law, ethics, and Federal taxation. The final section is called Business Environment and Concepts, and this takes three hours, as well. Topics covered on this section include business organization, economic theory, management, and computer technology.

As any Sacramento CPA can tell you, 60% of the questions on the exam are multiple choice and given in three sections called testlets. Within each testlet, there are pretest and operational questions. The pretest questions are not graded, but they are analyzed to see how well they are answered across the board. Multiple choice questions are divided into medium and difficult. Those being tested are first given a medium testlet and their performance determines whether they are next given a medium or a difficult one. The difficulty of the questions is taken into consideration when determining the final score. The other 40% of the test is made up of written questions. Potential CPA’s are graded on their ability to analyze business situations and come up with a good solution presented in coherent, well-written standard business English. These answers are graded on the organization of the answer, the information used to back it up, and writing ability.

The CPA exam is graded on a scale of 0 to 99 with 75 as the passing score. Unlike standard school testing, the score does not represent the percentage the applicant got right, so a score of 75 means that the person is fully qualified to handle the public’s money and provide solid financial advice. Thanks to the rigorous testing procedure and the high level of training, knowledge, and determination needed to pass the test, when you hire a Sacramento CPA, you know you are hiring an expert who will be able to come up with the best financial solutions for you and your business and present them to you in clear, concise terms.

If you are looking for an expert CPA who will be able to come up with the best financial solutions for you and your business, contact Shari L Cantor, CPA. For more information, visit them online.

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