US CPA Exam Explained in Simple English

What it is

The CPA Exam is a professional licensing exam, not a university exam — you take it to become licensed to practice as a Certified Public Accountant in a specific US state. It's created by AICPA, administered by Prometric testing centers, and coordinated by NASBA and individual state boards of accountancy.

What it covers

Four 4-hour sections: three mandatory ("Core") covering financial accounting (FAR), auditing (AUD), and tax/business law (REG), plus one elective ("Discipline") you choose based on your interests — business analysis (BAR), information systems (ISC), or tax planning (TCP).

How it's tested

Each section mixes multiple-choice questions with task-based simulations — realistic scenarios where you might fill in a journal entry, research a rule, or analyze a set of facts, rather than just picking an answer from a list.

What passing means (and doesn't)

Passing all four sections is a major milestone, but it isn't the same as becoming licensed. Most states also require a period of verified work experience (often under a licensed CPA) before they'll actually issue your license.

Can you take it from India?

Yes — once you're eligible through a US state board, you can test at a Prometric center in several Indian cities without traveling to the US.