First of all, the main resources for creating a study group would be CPA.net forum, Another 71 forum and Craigslist. You’ll often find people searching for study partners on these sites. Simply post a message and if you live in a relatively big city you should be able to find fellow CPA candidates in your area.

Secondly, you should limit the study group to 4 people. One of the least productive things you can do is have a large study group. It becomes difficult to manage and people in large groups have a tendency to lose focus quickly. You’ll want to pick people who have the same goals as you. Of course, everyone wants to pass the CPA exam, yet the level of seriousness varies between candidates.

Usually, you’ll want to meet once a week in a location like a coffee shop.

The idea is to exchange notes, answer each other’s questions and offer some moral support.

It is important that you make sure that your meetings do not turn into “gripefests.” Sometimes people waste a lot of time lamenting about the job market or other issues that are not relevant to passing the CPA exam. You’ll want to keep the group focused by having a strict itinerary. Print out a sheet of the issues that you want to tackle during the study session. Keep on schedule because you don’t want to spend a few hours on only question!

Many people have had positive things to say about study groups and mastermind programs. Generally a member will list a goal that is expressed to the group. Since no one wants to be embarrassed for being lazy and not hitting a deadline, people are most likely to study harder.

For example, a typical study program would the material from one of the major test prep providers, the Wiley Test Bank and our CPA bootcamp.

Since the BEC section is composed of multiple choice questions, using a test bank and lots of sample questions is a must. It’s more important to use the test bank for the BEC section than the other sections.

It is also recommended that you purchase the 2012 license as some of the material has changed. I know some candidates that are trying to use 2010 materials in order to save a few bucks but I wouldn’t bother.

The test bank is valid for one year at which time you will have to pay up again. All of the sections cost $105.

We generally recommend that candidates do not start cruising through practice questions until they have reviewed the material twice.

Here are some CPA study tips that I’ve learned over the years:

1. First of all, disconnect the Internet on your computer. You need to remove all temptation to “look something up.” You need to physically remove the Ethernet cable from your computer or turn off your modem in order for this strategy to be effective. It sounds extreme but it works.  Many studies have noted that it takes five minutes for one to concentrate on a task after being interrupted. If you are checking email every five minutes or walking into the kitchen every ten minutes, you are barely concentrating on the CPA exam material.
2. When it comes to CPA studying, silence is golden. One strategy is to buy some earplugs that block out most noise. Give this strategy a try and you’ll be surprised at how even faint noises distract your mind. Other people prefer classical music and some believe that background music (without words) improves concentration. I find total silence to be more effective.
3. Chew peppermint gum? Yes, there are recent studies suggesting that peppermint gum increases test scores.  Baylor university conducted a study in 2009 where 62 students were given peppermint gum during study periods. Test scores increased for these students.
4. Take regular breaks. It is generally recommended to take a ten minute break every 50 minutes. During your break you can stretch, eat or bounce a tennis ball which is highly relaxing.
5.  Drink tea instead of coffee. The caffeine rush from tea is generally considered to be smoother than coffee. Many people feel that the caffeine rush from tea is more mild and is released over a longer period of time.

It is always best to try out different techniques to improve concentration. Since the margin of failure is so small on the CPA exam, an increase in productivity of only 10% can be the difference between failing and passing.

First of all, there are no statistics that indicate which CPA candidates are most likely to pass. In other words, the correlation between date of graduation and pass rates has not been confirmed by any studies. We can only rely on anecdotal evidence about when to register for the CPA exam.

Secondly, some people feel overwhelmed when they start a new job. There is often a six week adjustment period where you have to learn even administrative functions like using the company intranet. The learning curve for most jobs especially in the field of finance is steep meaning that the first few weeks are the toughest. During this stressful time, CPA exam registration and studying would be counterproductive.

The other question is whether family pressures increase after graduation making CPA candidates less likely to pass. Perhaps in years past when people had children at a young age, it was better to finish the CPA exam right after college. However, these days people graduate from college at 22 years of age and on average start a family at 29 years of age. There is a seven year window before home life becomes more stressful.

The last issue is whether your studying and test taking abilities erode after college.  I would argue that traditional studying tactics that most people use for college exams are not helpful for the CPA exam. For example, everyone I knew in college “crammed” for exams a night or two before a big test. The way that most college students study lacks consistency that is required for the CPA exam. If you try to cram for the CPA exam you will most likely fail. It is a different animal that requires a consistent study schedule due the huge volume of material.

I would be careful with accepting the traditional dogma that one must register for the CPA exam right after college.  For many CPA candidates this may be bad advice.

Most CPA candidates find that it is advantageous to take the CPA exam right after college. A lot of candidates will start studying for the first section in the summer. However, this will largely depend on whether or not you have student loans and the job directly after school. The reason why CPA candidates find it easier to take the CPA exam after college is that there are generally more distractions as you age. The workload at your job will most likely increase as will your responsibility and family obligations will increasingly use up more of your time. In addition, since he spent four years at college you’ve most likely have recently taken over 100 exams. This means that your test taking skills should be at their peak making it more likely that you will pass the CPA exam.

Another key tip for passing the CPA exam is choosing the right CPA exam review course. There are generally four major test prep companies that we have reviewed previously. Unfortunately, CPA review courses are expensive and many CPA candidates choose to study from free CPA materials. Although the CPA review courses cost almost $4000 in some extreme cases it is important to you as an investment rather than an expense. If you can minimize your number of failures you can cut down your total study time. Assuming that your time is worth $50 per hour and the CPA course costs $2000 you should ask yourself whether or not the CPA review course would save you 40 hours of time. If you can complete all four sections while only failing one section you would most likely find yourself in the top 10% of all CPA candidates.  In addition, every time you fail section of the CPA exam you most likely will have to invest another 100+ hours in order to pass the failed section. Thinking about a CPA review course as an investment that might save you time its practical approach.

The last tip revolves around managing the psychology of taking a CPA exam. Most CPA candidates are type a personalities and they are not accustomed to failure. It comes as quite a shock when between 40 and 50% of candidates end up failing the CPA exam. It is important to manage nerves and achieve peak mental focus. Often times, candidates end up changing their routine prior to taking the CPA exam. For example, someone might take a run at six o’clock in the morning because they read a story about someone passing the CPA exam after exercising in the morning. Unfortunately, if you ever taken a run or exercise in the morning it’s probably a bad time to start on the day of the CPA exam. Similarly, people often change their routines in terms of breakfast or coffee of sleep habits.

In addition, many CPA candidates strive for perfection when writing the CPA exam. This is a mistake. These candidates are accustomed to figuring out every nuance of a problem. The CPA exam is more geared towards moving quickly from question to question. If you can’t understand a question there is little point in spending 7 min. on trying to figure it out. Apart from a lack of general preparation probably one of the biggest CPA exam killers is a poor allocation of time. Candidates look at the clock and find that they only have finished and there’s only 40 min. remaining.

Many high-performance athletes use visualization exercises prior to competition. They generally visualize every sensation about a successful performance including the sights, smells and feelings. For example, I know of a surgeon who uses visualization exercises prior to every operation.I’m not talking about some of the new age/law of attraction type of visualization exercises but rather ideas that are backed by hard science.

It’s important to also manage the ministry that elements of the CPA exam. Practice the research function at cpa-exam.org. Make sure you know where the testing center is and where the bathrooms are located. On the CPA exam date you’ll often notice somebody rushing around the parking lot while roaming through the hallway with a nervous look on their face. These problems can all be avoided if you take care of the administrative elements of the CPA exam.

The CPA exam requirements are mandated on a state level by your Board of Accountancy.  The general requirements do not differ drastically throughout the United States and US territories, but there are some differences so it is important to get the specific CPA requirements for your state.  The requirements below are the requirements set forth by the state of California in order to take the CPA exam.  Licensure may require additional or other steps to be taken, but the below outline is what is required in order to sit for the CPA exam.

Education

For the CPA requirements California, it is not required to prove US Citizenship or be a resident in the state in which you are applying.  You are also not required to have the typical 150 credit hours of school, but are required to have a Bachelor’s degree, in which at least 24 credit hours were obtained in accounting and 24 credit hours were obtained in business related courses.

There are 2 pathways to obtain CPA licensure in the state of California.  Pathway 1 requires 150 semester hours, and pathway 2, as stated above, only requires a Bachelor’s degree and the specific credit hours as mentioned above.

Experience

The CPA requirements California offer 2 routes or “pathways” to obtaining CPA licensure.  Pathway 1 requires 2 years of general experience, and pathway 2 requires 1 year of general experience.  The experience must be approved by your Board of Accountancy and you must be working under a licensed CPA in order for the experience to be relevant.  This is much like an apprenticeship.

Exam Fees in California

Exam fees also differ from state to state.  The CPA requirements California exam fees are as follows:

Initial Application Fee is $100.00 for any exam.

Audit: $207.15

Financial: $207.15

Regulation: $185.10

Business: $185.10

The re-examination application fee is $50.00.

For a general overview of CPA requirements please search the site.

Yeager

Yeager is a good value for the money.  It is not quite as inexpensive as Wiley, but the program also has more to offer.  They also offer live phone support, which is a great resource for candidates that need that one on one time to get their questions answered.  The lectures are not power point lectures, but write-on-the-board lectures, and many students like that.  The concepts are explained in a great way that really helps you learn the information.  They do have a demo online, so you know what you are getting into, before purchasing.  Yeager wins the “best of most worlds” award for this CPA review course comparison. You can access some Price Discounts Page from Yaegar CPA here.

Wiley

Wiley is best known for their test prep software and it’s test bank.  Wiley software offers more than 3,000 test prep questions.  It is a great course for the money.  Most CPA students use it as a supplement to another program.  As a standalone program, it lacks some luster.  The book is overwhelming and it is difficult to muddle through.  But using this program with another guided review is your best option utilizing Wiley’s strength in practice exams.  This is also a fairly inexpensive option, as you can buy all four sections for $229.00.  In this CPA review course comparison, Wiley gets four stars for the practice exams.

Gleim

Gleim is a great self-study course.  Gleim doesn’t offer live lectures, but their course is a powerpoint slideshow, with audio.  It is more affordable than Becker, but much less useful.  Gleim is another great resource if you are looking for practice exams or sample exam questions.  Wiley is better for this, but Gleim is a good alternative.  It is definitely not the favorite pick in this CPA Review Course Comparison, but it is definitely not the worst option out there.  I just think there are more programs that are more comprehensive and have more to offer.

Becker

In this CPA review course comparison, Becker gets high marks.  Becker students are insanely loyal, and attribute their passing the CPA exam to Becker’s program.  Becker also touts a “Becker Guarantee” that gives students a “do-over” if they do not pass the CPA exam on their first attempt.  Definitely read the small print, as there are exclusions that apply.  Becker is very expensive, in fact, I think it is the most expensive on the market.  One great thing about Becker, is that it is always up to date.  Their team is constantly updating material, so you can be sure that you are getting the latest and greatest info on the market.

So, after reviewing this CPA review course comparison, decide for yourself which option is the best for you.  There are also other ones on the market, such as Roger CPA, Bisk, Kaplan, CPA Review For Free, and more.

Scoring weights

On the new CPA exam, the CPA exam changes 2011 have affected the scoring weights.  The multiple choice questions for the AUD, REG and FAR sections are weighted differently than they were before.  Instead of accounting for 70% of the score, they will be weighted at 60%.  Simulation questions go from 20% to 40% and written communication has gone from 10% to 15% weight.  The BEC exam’s multiple choice questions have changed from a 100% to 85% weight.

More subtle changes were implemented in July 2011, though not as life changing as the updates that took place in January.

Here are a summary of the changes that were effective as of July 1, 2011:

The reason they have made so many CPA exam changes 2011, is so that they can develop better simulations and have faster score reporting.  Score reporting has been the biggest source of frustration for CPA candidates and with the newer, faster score reporting, candidates will receive their CPA exam score in a timelier fashion.

It is unknown whether the exam changes have made the exam more difficult or less difficult. Judging by the pass rates, it looks as though the CPA exam has not changed in terms of difficulty.

There are a lot of reasons to use Becker while studying for the CPA exam.  Becker touts that they have “double the pass rate of non-Becker users.”  While this is hard to argue, (for many reasons, lack of statistical data is one of them), it is also hard to pay for.  The Becker CPA review cost is one of the (if not the highest) most expensive programs on the market.  However, Becker users swear by it and it very well could be the best money you spend during this process.  Becker users are very loyal and credit their passing the CPA exam to the Becker program.  So, who am I to say it is too expensive?  There are other more affordable programs out there, but like most things in life, you get what you pay for.  The Becker CPA review cost could be an investment you are willing to make, to get through the CPA exam with all 4 of those 75s you are aiming for.

You can see how Becker stacks up against other CPA Review Courses like Roger CPA and Wiley.

Becker offers different programs for different learners or people that have different needs.  Some of their programs are:

• Live Classes

• Online Study

• Self-Study

The Becker CPA review cost is not plastered all over their site.  In fact, you can’t find it anywhere.  This is usually an indicator that the product is expensive.  However, you can reach a Becker representative on their “Live Chat” feature of their website, and you can get a quote for their program there.  Once you find the Becker CPA review cost, you can determine if it is the right program for you, or if you would rather go with another notable product, such as Wiley or Yeager.  Becker offers so many different products and programs, that the cost of using Becker varies greatly depending on what your needs are and what programs (or sections) you are looking for.

The AICPA has released sample CPA exam questions.  Here are 3 of the 50 Auditing sample CPA exam questions they have released.  Please note that the AICPA does not release questions that they intend to use again, so studying these concepts may be of benefit to you, but the likelihood that this exact question is on the exam again, is very small.  Specialists at Becker have added their explanation of the problem as well.

You can also take a CPA Practice Test as the actual test date draws near.

AUD Sample CPA Exam Questions as released by the AICPA and Reviewed by Becker CPA

“1.

An entity’s comparative financial statements include the financial statements of the prior year that were audited by a predecessor auditor whose report is not presented. If the predecessor’s report was qualified, the successor should:

a. Issue an updated comparative audit report indicating the division of responsibility.

b. Explain to the client that comparative financial statements may not be presented under these circumstances.

c. Express an opinion only on the current year’s financial statements and make no reference to the prior year’s statements.

d. Indicate the substantive reasons for the qualification in the predecessor auditor’s opinion.

Solution:

Choice “d” is correct. When a predecessor auditor’s report is not presented, the successor auditor should indicate the following items:

(i) That the statements were examined by other auditors in prior periods. The predecessor auditors should not be named unless the practice of the predecessors was acquired by or merged with that of the successor;

(ii) The date of the predecessor auditor’s report;

(iii) The type of opinion expressed by the predecessor auditor; and

(iv) The substantive reason(s) for other than an unqualified report.

Choice “a” is incorrect. The comparative audit report does not need to be updated for this situation.

Choice “b” is incorrect. There is no requirement that the comparative financial statements NOT be issued in such circumstances.

Choice “c” is incorrect. There is nothing preventing the successor auditor from referencing the prior year’s statements in this situation.

Sample CPA Exam Questions- AUD

2.

How does an auditor make the following representations when issuing the standard auditor’s report on comparative financial statements?

Consistent Examination

application of of evidence

accounting principles on a test basis

a. Implicitly Explicitly

b. Explicitly Implicitly

c. Implicitly Implicitly

d. Explicitly Explicitly

Solution:

Choice “a” is correct. Consistency is implicit in the auditor’s report, while the discussion that the examination of evidence is performed on a test basis is explicitly stated in the scope paragraph.

Choice “b”, “c”, and “d” are incorrect based on the above explanation.

Sample CPA Exam Questions- AUD

3.

As a condition of obtaining a loan from First National Bank, Maxim Co. is required to submit an audited balance sheet but not the related statements of income, retained earnings, or cash flows. Maxim would like to engage a CPA to audit only its balance sheet. Under these circumstances, the CPA:

a. May not audit only Maxim’s balance sheet if the amount of the loan is material to the financial statements taken as a whole.

b. May not audit only Maxim’s balance sheet if Maxim is a nonissuer.

c. May audit only Maxim’s balance sheet if the CPA disclaims an opinion on the other financial statements.

d. May audit only Maxim’s balance sheet if access to the information underlying the basic financial statements is not limited.

Solution:

Choice “d” is correct. The auditor may report on one basic financial statement and not the others, as long as access is not limited to information underlying the basic financial statement. This is considered a limited reporting engagement.

Choice “a” is incorrect. Materiality only comes into play when dealing with a piecemeal opinion, not an opinion on one entire statement.

Choice “b” is incorrect. If Maxim is a nonissuer, it would not need to abide by GAAP, thus many of the financial statement requirements would not apply.

Choice “c” is incorrect. A disclaimer of opinion on the other statements is not required as long as there is no limitation on the information underlying the basic financial statements.”

The AICPA has released many questions for each section that you can find online to review.  Again, keep in mind that these questions will most likely not be used again on the exam, but the concepts are solid and it is a great resource to study while preparing for the CPA exam.

Another good resource for sample CPA exam questions is cpareviewforfree.com.  This site was designed to help CPA candidates that are studying for the CPA exam.  You may take practice exams and review CPA review questions on this site.  It is entirely free, unless you sign up for a more comprehensive subscription.  Wiley CPA is also a great resource for sample CPA exam questions.  Their online Test Bank is a terrific program to study practice exam questions and do mock CPA exams.