Pass the CPA Exam - An Overview of the Business Section

Introduction

Just to give everyone a little background, I am currently a full-time graduate student pursuing a masters degree in Accounting as well as taking a classroom CPA exam courses. I currently attend a University which is ranked in the top 25 for student scores on the CPA exam (undergraduate and graduate combined) and will be working for a public accounting firm after graduation. I decided to write this thread on the CPA exam because I noticed a lack of community resources available on the web currently. I welcome everyone to post their questions, concerns, and general comments in response to my posts by clicking on the "comment" button at the bottom of all posts. I will do my best to respond to each legitimate one to the best of my ability.

Business Section Overview

I have currently started the course for the Business section of the CPA exam, and this section looks different than every other one. As you may have heard, this section is entirely multiple choice - that's right, no simulations! I'm looking forward to that aspect because the simulations seem intimidating based on the potential open-ended questions they could spring on candidates.

Topics Covered

Some of the general topics covered in this section of the CPA exam are:

• Structure of businesses, such as the Corporation, LLC, sole proprietorship, partnerships, etc. This is mostly the legal advantages and disadvantages.
• Economics - mostly Keynesian economics it appears
• Business strategy - mission statements, value chains, etc.
• Finance - calculating cost of capital, net present value, debt versus equity, etc.
• IT in Business - databases, segregation of duties, IT maintenance and management
• Business planning, measurement and follow up

Come Back for More

I will be posting more articles relating to my studying of this section, as well as some of the more complicated topics I encounter which may give you problems. Hopefully after going through this myself I can make it easier on someone else. Good luck in your studies!

Check out tips on the Business section of the exam!