AICPA CPA Financial Accounting and Reporting : FAR

FAR Exam Simulator
  • Exam Code: FAR
  • Exam Name: CPA Financial Accounting and Reporting
  • Updated: Aug 13, 2026
  • Q & A: 165 Questions and Answers

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Who should take the Financial Accounting and Reporting (FAR) Exam

Candidates must see the FAR exam dumps pdf to see if they are interested in the contents. People who wish to become Financial Accounting and Reporting experts and explore the dynamic culture of this field to jump-start their certification and lifelong learning goals should take this exam. Many businesses prefer that their accountants are Financial Accounting and Reporting (FAR) certified. Applicants winning their FAR title will find themselves more hirable and will be better paid. To become eligible for the exam, a candidate must have completed a 120 program approved by NYSED. Also, they must have completed their bachelor's degree with accounting as their major.

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AICPA FAR exam simulator

What is the duration, language, and format of the Financial Accounting and Reporting (FAR) Exam

  • Language of Exam: English
  • Passing score: 75
  • Duration of Exam: 4 hours
  • Format: Multiple choice, Task-based simulations, research prompts

Topics of Financial Accounting and Reporting (FAR) Exam

The syllabus for the Financial Accounting and Reporting (FAR) part of the Certified Public Accountant (CPA) Exam can be found in the FAR exam dumps and is also listed below with detail of each area of concern and their topics:

Area 1 - Conceptual Framework, Standard-Setting and Financial Reporting (25-35%)

Objectives covered by this section:

  • General-purpose financial statements: nongovernmental, not-for-profit entities
  • Consolidated financial statements (including wholly-owned subsidiaries and noncontrolling interests)
  • Statement of activities
  • General-purpose financial statements: for-profit business entities
  • Discontinued operations
  • Statement of comprehensive income
  • Conceptual framework and standard-setting for business and non-business entities
  • Special purpose frameworks
  • Financial statements of employee benefit plans
  • Public company reporting topics (U.S. SEC reporting requirements, earnings per share, and segment reporting)
  • Statement of cash flows
  • Balance sheet/ statement of financial position
  • Going concerned
  • Statement of financial position
  • Notes to financial statements
  • Statement of changes in equity
  • Income statement/ statement of profit or loss

Area 2 - Select Financial Statement Accounts (30-40%)

Objectives covered by this section:

  • Equity
  • Compensated absences
  • Financial assets at fair value
  • Equity method investments
  • Intangible assets - goodwill and other
  • Income taxes
  • Financial assets at amortized cost
  • Notes and bonds payable
  • Retirement benefits
  • Revenue recognition
  • Property, plant, and equipment
  • Cash and cash equivalents
  • Inventory
  • Investments
  • Payables and accrued liabilities
  • Debt covenant compliance
  • Long-term debt (financial liabilities)
  • Stock compensation (share-based payments)
  • Trade receivables

Area 3 - Select Transactions (20-30%)

Objectives covered by this section:

  • Differences between IFRS and U.S. GAAP
  • Software costs
  • Research and development costs
  • Fair value measurements
  • Accounting changes and error corrections
  • Derivatives and hedge accounting (e.g. swaps, options, forwards)
  • Nonreciprocal transfers
  • Business combinations
  • Subsequent events
  • Leases
  • Contingencies and commitments
  • Foreign currency transactions and translation

Area IV - State and Local Governments (5-15%)

Objectives covered by this section:

  • Budgetary accounting and encumbrances
  • Management's discussion and analysis
  • Nonexchange revenue transactions
  • Other financing sources and uses
  • Expenditures and expenses
  • Fund balances and components thereof
  • Required supplementary information (RSI) other than management's discussion and analysis
  • Deriving government-wide financial statements and reconciliation requirements
  • Proprietary funds financial statement
  • Governmental funds financial statements
  • Fiduciary funds financial statements
  • General and proprietary long-term liabilities
  • Net position and components thereof
  • Capital assets and infrastructure assets
  • Format and content of the financial section of the comprehensive annual financial report (CAFR)
  • Typical items and specific types of transactions and events: measurement, valuation, calculation, and presentation in governmental entity financial statements
  • Government-wide financial statements
  • Financial reporting entity, including blended and discrete component units
  • Special items
  • State and local government concepts
  • Interfund activity, including transfers
  • Notes to financial statements
  • Budgetary comparison reporting

Able to participate in the exam after 20 or 30 hours' practice

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How to book the Financial Accounting and Reporting (FAR) Exam

Follow the steps mentioned below to book the Financial Accounting and Reporting FAR exam test:

  • Step 1: Determine your eligibility from the NASBA website by clicking here
  • Step 2: Select a jurisdiction where you want to become a licensed CPA
  • Step 3: Access the application by clicking here
  • Step 4: Complete the application and submit all required documents
  • Step 5: Schedule your exam by following this link

AICPA FAR Exam Syllabus Topics:

SectionWeightObjectives
Topic 1: Conceptual Framework, Standard-Setting, and Financial Reporting25–35%- Disclosure requirements
- Conceptual framework and GAAP hierarchy
- Financial statement presentation
Topic 2: State and Local Government Accounting20–25%- Budgetary accounting
- Fund accounting and governmental financial statements
- Modified accrual vs full accrual accounting
Topic 3: Select Financial Statement Accounts30–40%- Equity, EPS, and share-based payments
- Revenue recognition (ASC 606)
- Leases (ASC 842)
- Consolidations and business combinations
- Pensions and post-employment benefits
Topic 4: Not-for-Profit (NFP) Accounting10–15%- NFP financial statements
- Revenue and contribution recognition

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