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The Certified Public Accountant (CPA) exam is one of the most challenging professional examinations in the accounting industry. Financial-Accounting-Reporting examination tests the competency of candidates in financial accounting, reporting and other essential areas of accounting. Financial-Accounting-Reporting exam comprises four parts, and one of the sections that candidates must pass to qualify for licensure is the Financial-Accounting-Reporting section.
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| Section | Objectives |
|---|---|
| Specialized Accounting Topics | - Accounting changes and error corrections - Pensions and post-employment benefits - Foreign currency transactions |
| Financial Statements and Transactions | - Revenue recognition (ASC 606) - Income statement and comprehensive income - Balance sheet and statement of cash flows |
| Conceptual Framework and Financial Reporting | - Financial statement presentation - Disclosure requirements - FASB conceptual framework |
| Equity, Investments, and Business Combinations | - Business combinations and consolidations - Stockholders' equity - Bonds and debt instruments |
| Governmental and Not-for-Profit Accounting | - Governmental fund accounting - Not-for-profit financial reporting |
| Assets and Liabilities Accounting | - Leases (ASC 842) - Cash, receivables, and inventory - Fixed assets and intangible assets - Liabilities and contingencies |
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