According to Going Concern, less than 30% of Certified Public Accountant (CPA) exam candidates pass all four sections of the exam on their first try.
So, why do candidates endure this failure? Well, passing the CPA exam is required to receive the esteemed CPA license. The CPA Exam is composed of four sections that each require a score of 75 or higher to pass. The four sections of the exam include:
- Financial Accounting and Reporting (FAR)
- Auditing and Attestation (AUD)
- Business Environment and Concepts (BEC)
- Regulation (REG)
You might have already assumed this, but no, I was not part of that 30% unicorn group who passes the exam on the first try. In fact, I was far from it.
During my first year, I took the exam four times and failed each time. The exam was one of the most difficult challenges of my adult life. I lost hours of sleep, questioned my life goals, experienced health issues from stress and missed important social events to focus on my studies, only to consistently receive scores below that coveted 75. During the three years it took me to pass the exam, I made five changes to my study habits to finally achieve passing scores.
Prayer
When I finally qualified to take the exam, I felt confident that, if I was competent enough to receive my undergraduate and graduate degree from two of California’s top universities, then I could easily pass these exams.
I thought wrong.
My confidence was in myself. God humbled me during the exam process and reminded me that apart from him, we can do nothing. With each failed exam, my prayer life became stronger. I started to rely on Scripture to get me through instead of the study material alone. By the time I passed my final exam, I knew that only God could get the glory.
Study Time
My personal study habits became more consistent when I studied before work instead of after work. Some days, I would wake up at 5 am, study Becker materials for an hour, then listen to Another 71 audio on my way to work for additional study time.
Waiting until after work to study was a hit or miss because some days I was too drained to focus after working a full day in public accounting.
Study Groups
I had a coworker who was also struggling with the exam. For her, the issue was committing to a study time. To help each other, we set specific days to study together after work. We would leave work, drive a few miles to our favorite Starbucks and keep each other accountable to study.
Live Classes
After FAR, AUD was the most difficult exam for me to pass. I failed AUD twice before I passed. While I had conceptual struggles with FAR, I was perplexed by my AUD failures because the concepts were easier for me to comprehend.
To figure out what I was doing wrong, I took a live class that took place a few miles from my job. The instructor’s approach to the material clearly identified what I was doing wrong during my studies. After taking my first live class, I finally passed the AUD exam.
Practice Problems
During my first few exams, I focused on learning the material. I spent minimal time on practice problems.
By the time I got to my final exam, I was mostly doing practice problems and only using the material to understand wrong answers. I realized that I am an active learner and learn best by doing.
Conclusion
The CPA exam is intentionally difficult to maintain the status of the profession. From personal experience, I can confirm the status attached to those three letters is life-changing both personally and professionally. My personal network has been expanded, job opportunities have increased and I have experienced so much joy being able to be a financial resource to my family and community.
In spite of its challenges, every failure of the CPA exam was worth it. It drew me closer to God and help me identify areas for personal improvement.