CPA (Certified Public Accountant), a prestigious credential in the field of accountancy has the entire system of examination and certification process. This system acts as the basis of all CPA exam changes, including how the entire process is going to happen and what to be included in the exam, and other factors. As everything demands change with time, so does the CPA, which is why it has undergone some evolutionary changes.
There have been several changes as per the CPA evolution in the exam structure, exam pattern, marking scheme, and much more.
CPA or Certified Public Accountant is a highly acknowledged credential that represents that a person has expertise in the field of Accounting, Financing, Investing, etc. A CPA is a trusted accounting professional who has mastered accounting and its principles.
In order to become a CPA, one has to know the prerequisites, all the CPA exam changes and take the CPA exam. The exam is very challenging and difficult. It tests the capabilities of the candidate on various parameters. An individual who has cleared the examination possesses a deep knowledge of accounting practices.
CPAs can be seen throughout the business world and financial world because they work in government, non-profit organizations, accounting, business industry, etc. They are found everywhere! Every company regardless of size needs a CPA to assist them in making their business grow bigger and more successful.
CPAs provide services to a lot of people and businesses. Let us look in brief at the responsibilities of a CPA.
Before moving on with the CPA evolution, let’s create a simple understanding of the CPA certification course. So, here it is. If you think that a CPA and an accountant are the same, they are not!
No doubt, both are related to accounting fields but the work that they do is entirely different. CPA is a licensed accountant, whereas an accountant is not a CPA.
CPA is an evolved area of expertise, wherein the CPAs are considered to have met all the licensing requirements including credit hours, professional education, work experience, etc. Acquiring a professional credential like CPA can open up wide opportunities for you in the financial world. CPAs are professionals who meet higher standards and have a lot of roles and responsibilities to fulfill.
Before getting the credential, it is important to know the CPA exam changes and pass the exam. The exam tests the candidates on parameters, i.e., Accounting & Attestation, Business Environment & concepts, Financial Accounting & Reporting, and Regulation.
These are the four papers that a candidate has to clear to gain the CPA title. To prepare for the exam, many candidates look for a certification course that will help them in preparing better. Well, as far as preparation is concerned, there is nothing better than Northstar Academy.
NorthStar Academy provides the candidates with the best and most preferred Becker study material. The study material is exclusive and along with that the candidate also gets access to live interaction classes, pre-recorded sessions, and much more. The academy has a record of helping candidates achieve 75% in the exam, which is apt for acquiring the CPA title. Over the years, NSA’s mentors like M Irfat Sir, have been helping students to achieve their dream of becoming a CPA and getting recruited by top companies at a high pay grade.
Now, having known about the top academy that can help you prepare for the exam, let us have a look at the CPA evolution.
The CPA evolution is an initiative that aims to transform the CPA license model, thereby recognizing the changing skills and competencies in practicing accountancy.
The CPA evolution first took place in 2014 depicted that the students can earn the CPA credential upon completing graduation.
The CPA exam changes are taking place in 2022. Each year, AICPA, the official accreditation body of CPA, makes several changes and upgrades to the CPA exam. In the year 2022, there were some integral changes made to the CPA exam. Major changes were there in the AUD (auditing) section and minor changes were made in the REG section and FAR section.
However, the BEC section did not have any changes this year. Before preparing for the exam, it is very important to know all the CPA exam changes. Once the candidate knows all the changes, he/ she will prepare for the exam accordingly.
The CPA exam this year will also retain the same structure, i.e., there will be four papers for four hours each. These sections will test the critical thinking skills, problem-solving skills, and analytical ability of the candidates.
Here are the CPA exam changes for 2022. Have a look!
There were some 2021 CPA exam changes that have been retained this year. The changes were:
This was an overview of some of the changes made to the CPA exam this year. Let us discuss the CPA evolution in detail as per the sections.
The AUD section of the CPA exam has experienced some changes this year. The auditor reports changes include:
There is no CPA evolution in the BEC section this year. However, there are certain changes in 2021 that are prevalent. Here they are:
The CPA evolution has also reached the Financial Accounting and Reporting section. The section did not have large changes but minor ones. The Debt section, warrant section, Purchasing stock section, etc., included some changes. The changes are as follows:
The regulation or REG section has also undergone a CPA evolution as per the American Rescue Plan act of 2021. The content has been updated. Here are the changes.
So, these are the CPA evolution changes that took place this year. The CPA exam changes some of its sections every year. The testing parameters and the exam structure remains the same. Only the sections are changed.
There are some long-term changes as well that take place. So, let us have a look at them!
The CPA evolution includes long-term changes. In a couple of years, the licensing model of CPA will be fully updated to reflect the skills and competencies evolving. These changes are needed to make candidates successful CPAs in the future.
With the CPA evolution, the CPA exam updates and restructures itself via the Core+ Discipline License Model. In the model, the exam is structured in a way that tests the candidates on Accounting, Taxation, Technology, etc. The candidates can choose from three disciplinary areas to have a deeper understanding and knowledge of accounting.
The disciplines include:
The CPA exam still has those four exams of four hours each. CPA evolution has paved the way for the newly structured exam. The newly structured program will launch in 2024.
The Accounting, Management, and Technology industries are constantly changing. This is the time when candidates require a lot of skills and knowledge. In order to stay updated with the rules, laws, regulations, etc., the CPA exam is changed and revised every year. These revisions can be minor or large. They can also include removing outdated topics and adding new ones, thereby improving the experience of testing.
The CPA exam of 2024 will be moving to Core+ Discipline Model which will test the candidates based on evolving skills and competencies. Candidates will be required to have complete knowledge and skills of what they study.
The CPA exam has seen changes in all four sections from the year 2014. These changes were made to test the candidates upon several parameters. The changes and updates are made every year.
The CPA exam has a few changes in 2021. All four sections were updated and amendments were made.
The CPA exam is counted as the most rigorous exam alongside CMA and CA. After all the changes, the exam will be harder and students will have to put in extra effort to clear the exam.
The CPA is quite a difficult exam. The students have to prepare as per the most recent CPA exam changes every year. There were not many changes but still, some sections were updated in all the papers, which creates a need to be attentive and make changes in your preparation wherever required. Candidates are advised to go through the updated versions of these sections and then begin to study.
Now, as far as preparation is concerned, you can apply to Northstar Academy (NSA). NSA is well aware of all the CPA evolution, including updated syllabus, and creates the exclusive CPA course based on the CPA exam changes. The live sessions and pre-recorded classes are also based on the changes made every year. So, what are you waiting for? Get hold of the exclusive study material and excel in the exam by applying to Northstar Academy!
For more information, contact us. to Northstar Academy!