The Complete CPA Exam Study Guide 2026

Welcome to the most comprehensive, no-nonsense study guide for the 2026 CPA Exam. The exam has evolved, and so must your preparation. This guide consolidates everything you need to know about the Core sections, the new Disciplines, and how to build a study plan that respects your time and targets a passing score of 75.

We have merged our individual guides for AUD, FAR, REG, and BAR into this single authoritative resource, and added complete coverage of the two remaining Discipline sections — Information Systems and Controls (ISC) and Tax Compliance and Planning (TCP) — so every candidate has one canonical playbook regardless of which Discipline they choose. Our goal is to provide a clear, detailed, and actionable framework based on the official AICPA Blueprints and real performance data. Let's begin.

Table of Contents

• Understanding the 2026 CPA Exam Structure
• The Core Sections: A Detailed Breakdown
• Auditing and Attestation (AUD)
• Financial Accounting and Reporting (FAR)
• Taxation and Regulation (REG)
• Choosing Your Discipline Section
• Comparison of Discipline Sections: BAR vs. ISC vs. TCP
• Deep Dive: Business Analysis and Reporting (BAR)
• Overview: Information Systems and Controls (ISC)
• Overview: Tax Compliance and Planning (TCP)
• How to Create Your CPA Exam Study Plan
• CPA Exam Day: Strategy and Logistics
• Quick Answers: CPA Exam FAQ

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Understanding the 2026 CPA Exam Structure

The current version of the exam, known as the CPA Evolution model, was launched in 2024. It reflects the changing skills required of modern accountants. The structure is a "Core + Discipline" model, designed to test a strong accounting foundation while allowing for specialization.

The Core + Discipline Model: Every candidate must pass three Core sections and one Discipline section of their choice. This means you will take a total of four sections to become a licensed CPA.

• Three Core Sections (Required):

1. Auditing and Attestation (AUD)
2. Financial Accounting and Reporting (FAR)
3. Taxation and Regulation (REG)

• One Discipline Section (Choose One):

1. Business Analysis and Reporting (BAR)
2. Information Systems and Controls (ISC)
3. Tax Compliance and Planning (TCP)

Key Exam Rules:

• Passing Score: The minimum passing score for each section is 75 on a scale of 0-99.
• Testing Windows: You can take the exam year-round at authorized Prometric testing centers, subject to availability.
• Credit Window: Once you pass your first section, you have a rolling window to pass the remaining three. As of 2024, NASBA has recommended a uniform 30-month credit period, which many state boards of accountancy have adopted, replacing the previous 18-month window. Always verify the specific rule with your state board.

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The Core Sections: A Detailed Breakdown

The three Core sections establish the foundational knowledge required of all CPAs, regardless of their career path. They cover the essential principles of accounting, auditing, and tax law.

Auditing and Attestation (AUD)

The AUD section tests your understanding of the entire audit process, from engagement planning and risk assessment to fieldwork and reporting. It also covers attestation engagements and the AICPA Code of Professional Conduct.

AUD Exam Format and Structure

• Total Test Time: 4 hours
• Question Format: 78 Multiple-Choice Questions (MCQs) and 7 Task-Based Simulations (TBSs).
• Scoring Weight: 50% MCQs, 50% TBSs.
• Testlets: The exam is divided into five testlets: two for MCQs and three for TBSs.

AUD Content Areas and Weightings

This breakdown is based on the official AICPA Uniform CPA Examination Blueprints.

• Area I: Ethics, Professional Responsibilities, and General Principles (15-25%)
• Nature and scope of services, including audit, review, compilation, and agreed-upon procedures.
• AICPA Code of Professional Conduct and ethical responsibilities.
• Requirements for engagement documentation.
• Area II: Assessing Risk and Developing a Planned Response (25-35%)
• Engagement planning and supervision.
• Understanding an entity's internal control and environment.
• Identifying and assessing the risk of material misstatement (inherent risk, control risk, fraud risk).
• Materiality.
• Area III: Performing Further Procedures and Obtaining Evidence (30-40%)
• Sufficient and appropriate audit evidence.
• Audit procedures for different transaction cycles (e.g., revenue, inventory, expenditures).
• Sampling techniques.
• Auditing accounting estimates and fair value measurements.
• Area IV: Forming Conclusions and Reporting (10-20%)
• Evaluating audit findings and subsequent events.
• Communicating with those charged with governance.
• Types of audit reports (unmodified, qualified, adverse, disclaimer).
• Reporting on compliance and internal control (e.g., single audits).

AUD Pass Rates and Difficulty

Historically, AUD has a pass rate that hovers in the high 40s. For example, the cumulative pass rate for 2023 was 47.05%. This reflects the section's emphasis on judgment and application rather than pure memorization. Candidates often find the nuanced wording of MCQs and the complexity of TBSs challenging.

Proven Study Strategies for AUD

1. Master the Concepts, Not Just the Rules: AUD is less about calculation and more about application. Understand why an auditor performs a certain procedure, not just what the procedure is. Use flashcards for key definitions (e.g., types of audit risk, report modifications) but spend most of your time on practice questions that require critical thinking.
2. Understand the Audit Report: You must know the different types of audit opinions and the specific circumstances that lead to each one. Create a decision tree or chart that maps situations (e.g., scope limitation, GAAP departure) to the correct report modification.
3. Practice TBSs Extensively: AUD TBSs often present you with realistic work papers, client emails, and financial data. Practice interpreting these documents to identify risks, evaluate evidence, and form conclusions. Pay close attention to simulations involving adjusting journal entries from an auditor's perspective.
4. Connect the Dots: The audit process is linear. Your study plan should reflect this. Connect how risk assessment in Area II directly influences the nature, timing, and extent of procedures in Area III, which then dictates the conclusion in Area IV.

Financial Accounting and Reporting (FAR)

FAR is often considered the most comprehensive section of the CPA Exam. It covers a vast amount of material related to U.S. GAAP, IFRS, and accounting for state and local governments and not-for-profit organizations.

FAR Exam Format and Structure

• Total Test Time: 4 hours
• Question Format: 50 Multiple-Choice Questions (MCQs) and 7 Task-Based Simulations (TBSs).
• Scoring Weight: 50% MCQs, 50% TBSs.
• Testlets: The exam is divided into five testlets: two for MCQs and three for TBSs.

FAR Content Areas and Weightings

This breakdown is based on the official AICPA Uniform CPA Examination Blueprints.

• Area I: Financial Reporting (30-40%)
• Conceptual framework and standard-setting for business and non-business entities.
• General-purpose financial statements: balance sheet, income statement, statement of cash flows, statement of comprehensive income, statement of changes in equity.
• Public company reporting requirements (SEC filings).
• Area II: Select Balance Sheet Accounts (30-40%)
• Cash and cash equivalents.
• Receivables.
• Inventory.
• Property, plant, and equipment (including depreciation and impairment).
• Intangible assets.
• Payables and accrued liabilities.
• Long-term debt (bonds, notes).
• Area III: Select Transactions (25-35%)
• Revenue recognition (ASC 606).
• Stockholders' equity.
• Business combinations.
• Leases (ASC 842).
• Income taxes (deferred tax assets/liabilities).
• Contingencies and commitments.

FAR Pass Rates and Difficulty

FAR has historically had one of the lower pass rates, often in the low to mid-40s. The cumulative pass rate for 2023 was 43.61%. The primary challenge is the sheer volume of material. While individual concepts may not be overly complex, the breadth of topics requires a disciplined and comprehensive study approach.

Proven Study Strategies for FAR

1. Do Not Skip Governmental and NFP: These topics are guaranteed to be on the exam and are often easier to master than some of the more complex corporate accounting topics. Dedicate specific study blocks to governmental and not-for-profit accounting; it's a reliable way to secure points.
2. Focus on High-Impact Topics: While you must cover everything, prioritize heavily tested areas like leases, revenue recognition, consolidations, and the statement of cash flows. You are almost certain to see complex TBSs on these topics.
3. Work Problems Relentlessly: FAR is a numbers-heavy exam. You cannot pass by simply reading the textbook. Work through as many MCQs and TBSs as possible. For journal entry questions, physically write them out to reinforce the debit/credit logic. For TBSs, get comfortable with the exhibits and tying numbers together across different financial statements.
4. Create Summary Sheets: The volume of FAR content is its biggest challenge. After completing a chapter (e.g., on Leases), create a one-page summary sheet with the key criteria, journal entries, and disclosure requirements. Review these sheets weekly to keep the information fresh and prevent knowledge decay.

Taxation and Regulation (REG)

REG covers federal taxation of individuals and entities, business law, and ethics. It requires a mix of detailed rule memorization and the ability to apply those rules to specific scenarios.

REG Exam Format and Structure

• Total Test Time: 4 hours
• Question Format: 72 Multiple-Choice Questions (MCQs) and 8 Task-Based Simulations (TBSs).
• Scoring Weight: 50% MCQs, 50% TBSs.
• Testlets: The exam is divided into five testlets: two for MCQs and three for TBSs.

REG Content Areas and Weightings

This breakdown is based on the official AICPA Uniform CPA Examination Blueprints.

• Area I: Ethics, Professional Responsibilities, and Federal Tax Procedures (10-20%)
• AICPA Code of Professional Conduct and Treasury Department Circular 230.
• Taxpayer and preparer penalties.
• IRS audit and appeals process.
• Area II: Business Law (15-25%)
• Contracts.
• Agency.
• Debtor-creditor relationships and bankruptcy.
• Business structures (sole proprietorships, partnerships, corporations).
• Securities regulation.
• Area III: Federal Taxation of Property Transactions (5-15%)
• Basis and holding periods for assets.
• Capital gains and losses.
• Like-kind exchanges and involuntary conversions.
• Area IV: Federal Taxation of Individuals (20-30%)
• Gross income inclusions and exclusions.
• Adjustments for Adjusted Gross Income (AGI).
• Standard and itemized deductions.
• Tax credits and calculations.
• Area V: Federal Taxation of Entities (20-30%)
• Taxation of C corporations, S corporations, partnerships, LLCs, and trusts.
• Formation, operation, and liquidation of entities.
• Basis calculations for owners (e.g., stock basis, partnership basis).

REG Pass Rates and Difficulty

REG typically has the highest pass rates of the Core sections, often approaching or exceeding 60%. The cumulative pass rate for 2023 was 59.13%. The material is rule-based, which suits candidates who excel at memorization and direct application. The challenge lies in keeping the numerous thresholds, limitations, and phase-outs straight.

Proven Study Strategies for REG

1. Master Basis Calculations: Basis is the central theme that connects nearly all of REG's entity taxation concepts. Create detailed notes and work numerous problems on calculating initial basis, adjustments to basis, and basis at liquidation for C corps, S corps, and partnerships. If you understand basis, you can solve a huge portion of the exam.
2. Use Mnemonics and Charts: REG is filled with lists, thresholds, and phase-outs that are perfect for memory aids. For example, use mnemonics for itemized deductions or the qualifying child/relative tests. Create charts comparing the tax treatment of different business entities.
3. Separate Business Law from Tax: Mentally compartmentalize your study time. Business law is concept-driven, while tax is rule-driven. Don't try to study both in the same session. Dedicate specific days to business law concepts and others to tax calculations.
4. Pay Attention to Effective Dates: Tax law changes. Your review course materials will be updated for the testable law on your exam. Do not use outdated materials. Focus on the rules as presented in your 2026 study guide.

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Choosing Your Discipline Section

After passing the three Core sections, you must pass one Discipline section. This choice allows you to align the exam with your career interests. Your choice does not limit your future career path or how you are licensed; it simply demonstrates deeper knowledge in one specific area.

Comparison of Discipline Sections: BAR vs. ISC vs. TCP

Feature	Business Analysis and Reporting (BAR)	Information Systems and Controls (ISC)	Tax Compliance and Planning (TCP)
Focus Area	Financial analysis, technical accounting, data analytics, and management accounting.	IT audit, cybersecurity, data governance, and information systems.	Advanced individual and entity tax planning, compliance, and personal financial planning.
Ideal Candidate	Aspiring controllers, financial analysts, or those in technical accounting roles. Strong in financial reporting and analysis.	Aspiring IT auditors, systems consultants, or CPAs in technology-focused roles.	Aspiring tax professionals in public accounting or industry, wealth managers, or financial planners.
Overlap with Core	Builds directly on FAR concepts.	Builds on AUD concepts, especially internal controls and IT risk.	Builds directly on REG concepts.
Key Skills Tested	Data analysis, financial modeling, valuation, application of complex accounting standards.	IT risk assessment, SOC reporting, business process controls, data management.	Complex tax return preparation, entity structuring, property transactions, personal financial planning.

Deep Dive: Business Analysis and Reporting (BAR)

BAR is the discipline for candidates who enjoy the complexities of financial reporting and want to focus on higher-order skills like data analysis, financial modeling, and risk management.

Who Should Take BAR?

Choose BAR if your career interests lie in financial statement analysis, technical accounting advisory, transaction services, or a controller/CFO track in industry. It is the most natural extension of the FAR Core section.

BAR Exam Format and Structure

• Total Test Time: 4 hours
• Question Format: 50 Multiple-Choice Questions (MCQs) and 7 Task-Based Simulations (TBSs).
• Scoring Weight: 50% MCQs, 50% TBSs.

BAR Content Areas and Weightings

This breakdown is based on the official AICPA Uniform CPA Examination Blueprints.

• Area I: Business Analysis (40-50%)
• Financial statement analysis and ratio calculation.
• Data analytics and visualization.
• Financial forecasting and projections.
• Risk management and internal controls (COSO framework).
• Area II: Technical Accounting and Reporting (35-45%)
• Advanced topics in revenue recognition and leases.
• Business combinations and consolidations.
• Derivatives and hedge accounting.
• Employee benefit plan accounting.
• Researching complex accounting issues.
• Area III: State and Local Governments (10-20%)
• Advanced topics in governmental accounting, including financial statement preparation and analysis.

BAR Pass Rates and Difficulty

As a newer section, pass rate data for BAR is still emerging. Early data from Q1 2024 showed a pass rate of 42.94%. The difficulty lies in its heavy emphasis on analysis and application. You won't just be asked to define a concept; you'll be given a data set and asked to perform an analysis or evaluate a complex transaction.

Proven Study Strategies for BAR

1. Build on Your FAR Knowledge: Do not attempt BAR until you have a strong grasp of the FAR material. BAR assumes you know the fundamentals and immediately jumps into more complex applications.
2. Embrace the Data: Get comfortable with TBSs that provide spreadsheets or data tables. Practice using the built-in spreadsheet functions to perform calculations, create pivot tables, and analyze trends. The exam is testing your ability to turn data into business insights.
3. Focus on Frameworks: For topics like business combinations, derivatives, and governmental accounting, focus on understanding the underlying principles and frameworks. Create flowcharts to map out the decision-making process for complex accounting treatments.

Overview: Information Systems and Controls (ISC)

ISC is designed for candidates with an interest in technology and its impact on business processes and financial reporting. It focuses on IT audit, data governance, and cybersecurity.

Who Should Take ISC?

Choose ISC if you are interested in a career in IT audit, risk advisory, cybersecurity consulting, or as a systems and controls analyst. It is a good fit for candidates who want to bridge the gap between accounting and technology.

Key Topics in ISC

• Information Systems and Data Management: Data architecture, infrastructure, and security.
• Security, Confidentiality, and Privacy: Cybersecurity risk management, privacy regulations, and incident response.
• System and Organization Controls (SOC) Engagements: Planning, executing, and reporting on SOC 1, SOC 2, and SOC for Cybersecurity engagements.

Overview: Tax Compliance and Planning (TCP)

TCP is the discipline for candidates who want to specialize in taxation. It goes far beyond the REG Core section, delving into advanced tax planning for individuals and entities.

Who Should Take TCP?

Choose TCP if you plan to build a career in a public accounting tax practice, corporate tax department, or wealth management. It is the most direct extension of the REG Core section.

Key Topics in TCP

• Advanced Individual Tax: Complex tax computations, passive activity losses, and alternative minimum tax (AMT).
• Entity Tax Planning: Advanced partnership and S corporation property transactions, C corporation reorganizations.
• Personal Financial Planning: Retirement planning, estate and gift taxation, and wealth management strategies.

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How to Create Your CPA Exam Study Plan

A structured plan is non-negotiable for passing the CPA Exam. Winging it is not an option.

1. Select Your First Section: Many candidates start with FAR due to its breadth, following the logic that it's best to tackle the biggest challenge first. Others prefer to start with a section that aligns with their current job or recent college courses to build momentum. A common strategy is to pair a difficult section with an easier one (e.g., FAR then REG) to manage burnout.
2. Establish a Timeline: A realistic timeline is 10-15 weeks of study per section, assuming you are working full-time. This translates to about 15-20 hours of study per week. Block out specific times on your calendar for studying and treat them as unbreakable appointments.
3. Choose a High-Quality Review Course: A review course is a critical investment. It provides the structure, materials, and question banks you need to prepare efficiently. VoraPrep offers comprehensive courses for all sections of the exam.
4. Structure Your Weekly Studies: A typical weekly plan should include:

• Lectures: Watch video lectures to get a high-level overview of the material.
• Reading: Read the corresponding textbook chapter to deepen your understanding.
• Practice MCQs: Do as many multiple-choice questions as possible. Aim for scores of 80% or higher on practice quizzes. Read the explanations for both right and wrong answers.
• Practice TBSs: Do not neglect simulations. They are 50% of your score and test your application skills.

1. The Final Review: In the last two weeks before your exam, your focus should shift entirely to review. Do not learn new material. Instead, take full-length, timed mock exams to simulate the real testing experience. Analyze your results to identify weak areas and spend your final days shoring up that knowledge with targeted practice quizzes.

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CPA Exam Day: Strategy and Logistics

Preparation doesn't stop with studying. A solid exam day plan can make a significant difference.

• Before the Exam:
• Visit the Prometric Center: If possible, do a dry run to the testing center a few days before your exam so you know exactly where to go, where to park, and how long it takes.
• Confirm Your NTS: Double-check your Notice to Schedule (NTS) and make sure you have the required forms of identification. Your name must match exactly.
• Get a Good Night's Sleep: Do not cram the night before. Your brain needs rest to perform well on a four-hour exam.
• During the Exam:
• Time Management: Be ruthless with your time. Allocate approximately 1.5 minutes per MCQ and 18-20 minutes per TBS. If you are stuck on a question, make your best guess, flag it, and move on. You can return to flagged questions within that testlet if you have time.
• Use the Authoritative Literature: The authoritative literature (e.g., the FASB Codification, Internal Revenue Code) is available in the TBS section. It is not a search engine. Use it only when you need to look up a very specific rule or standard. Practice using it in your review course so you are familiar with the interface.
• Take the Optional Break: There is an optional 15-minute break after the third testlet (the first TBS testlet). It is highly recommended that you take it. Step away from the computer, stretch, and clear your head before tackling the final two testlets.

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Quick Answers: CPA Exam FAQ

What is the CPA Exam? The Uniform CPA Examination is the four-section exam required for licensure as a Certified Public Accountant in the United States. It is developed by the AICPA and administered by NASBA at Prometric testing centers. How many sections are on the CPA Exam? There are four sections. Candidates must pass three Core sections (AUD, FAR, REG) and one Discipline section of their choice (BAR, ISC, or TCP). What is a passing score on the CPA Exam? A passing score is 75 on a scale of 0-99. This is a scaled score, not a percentage correct. How long do I have to pass all four sections? Once you pass your first section, you have a rolling window to pass the other three. This is typically 30 months, but you must verify the exact rule with your specific state board of accountancy. Which CPA Exam section is the hardest? This is subjective, but historically, FAR has had the lowest pass rates due to the vast amount of material. AUD is often considered difficult due to its conceptual nature, while REG's difficulty comes from memorizing numerous rules and thresholds. Which Discipline section should I choose? Choose the discipline that best aligns with your career goals. BAR for financial reporting/analysis, ISC for IT/systems audit, and TCP for a career in tax. How long should I study for each section? Most candidates study for 10-15 weeks per section, which equates to roughly 300-400 hours of total study time for the entire exam. Can I take the CPA Exam sections in any order? Yes, you can take the sections in any order you choose. There is no required sequence.