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Financial-Accounting-Reporting PDF Practice Q&A's

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  • Total Questions: 161
  • Updated on: Sep 19, 2026
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  • Total Questions: 161
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  • Total Questions: 161
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Admission Test Financial-Accounting-Reporting Exam Overview:

Certification Vendor:AICPA / NASBA
Exam Name:Financial Accounting and Reporting (FAR)
Exam Number:FAR
Related Certifications:AUD
BAR / ISC / TCP (CPA Evolution disciplines)
REG
Exam Duration:240 minutes
Certificate Validity Period:18 months (to pass all CPA exam sections after first pass)
Real Exam Qty:57 (50 MCQs + 7 Task-Based Simulations)
Exam Format:Multiple Choice Questions (MCQs), Task-Based Simulations (TBS)
Available Languages:English
Passing Score:75 (scaled score)
Exam Price:$238.15 USD (varies by jurisdiction)
Recommended Training:Gleim CPA Review
Becker CPA Review
Wiley CPA Exam Review
Exam Registration:AICPA CPA Exam Information
Prometric CPA Exam Scheduling
NASBA CPA Candidate Portal
Sample Questions: DOWNLOAD DEMO
Exam Way:Computer-based testing at authorized Prometric test centers
Pre Condition:No formal prerequisite for exam entry, but candidates must meet state-specific CPA licensure education requirements (typically 120–150 semester hours).
Official Syllabus URL:https://www.aicpa-cima.com/cpa-exam

Admission Test Financial-Accounting-Reporting Exam Syllabus Topics:

SectionObjectives
Topic 1: Financial Statements and Transactions- Income statement and comprehensive income
- Balance sheet and statement of cash flows
- Revenue recognition (ASC 606)
Topic 2: Equity, Investments, and Business Combinations- Stockholders' equity
- Business combinations and consolidations
- Bonds and debt instruments
Topic 3: Specialized Accounting Topics- Pensions and post-employment benefits
- Foreign currency transactions
- Accounting changes and error corrections
Topic 4: Assets and Liabilities Accounting- Liabilities and contingencies
- Leases (ASC 842)
- Fixed assets and intangible assets
- Cash, receivables, and inventory
Topic 5: Conceptual Framework and Financial Reporting- Financial statement presentation
- FASB conceptual framework
- Disclosure requirements
Topic 6: Governmental and Not-for-Profit Accounting- Not-for-profit financial reporting
- Governmental fund accounting

Your Admission Test Certified Public Accountant (Financial Accounting & Reporting) Questions, Answered

Registration for the Admission Test Certified Public Accountant (Financial Accounting & Reporting) goes through the official channels listed here:

As for the format, the Financial-Accounting-Reporting exam is delivered Computer-based testing at authorized Prometric test centers — pick whichever fits your situation when you schedule.

The official Admission Test Certified Public Accountant (Financial Accounting & Reporting) blueprint is divided into 6 domains, led by Governmental and Not-for-Profit Accounting, Equity, Investments, and Business Combinations, and Assets and Liabilities Accounting. The full domain-by-domain breakdown is in the syllabus section above — that is the checklist your study plan should follow.

The passing score for the Financial-Accounting-Reporting exam is 75 (scaled score), and registering officially costs $238.15 USD (varies by jurisdiction). That fee buys exactly one attempt — if you fall short, the retake is charged in full again, no discount for a second try. The practical move is to measure yourself first: drill the 161 practice questions at PrepAwayExam under timed conditions until your mock scores clear the bar with room to spare, then book your seat.

You can. PrepAwayExam publishes a free PDF demo of the Financial-Accounting-Reporting practice questions — download it, work through it, and decide on evidence rather than promises. Once you own the full product, 365 days of free updates are included, and an expired product can have its update service renewed at a 50% discount from your member zone.

The Financial-Accounting-Reporting exam — officially the Certified Public Accountant (Financial Accounting & Reporting) — is how Admission Test verifies that you can apply its technologies in real working scenarios, and passing it earns you the Certified Public Accountant (CPA) certification, a credential at the Professional level. Employers recognize it because it is vendor-issued and skills-based. Candidates often continue toward related credentials such as AUD, REG, BAR / ISC / TCP (CPA Evolution disciplines) once this one is in hand.

Yes — Admission Test lists these training options for the Admission Test Certified Public Accountant (Financial Accounting & Reporting):

Courseware teaches the concepts; repetition makes them exam-proof. Combine whichever course you choose with the 161 practice questions from PrepAwayExam and you cover both halves of preparation.

You will face 57 (50 MCQs + 7 Task-Based Simulations) questions within 240 minutes on the Financial-Accounting-Reporting exam. Do the math once and the lesson is clear: dwell too long on a hard item and the clock eats your easy points later. The fix is rehearsal, not luck — take full-length timed mocks in the PrepAwayExam desktop or online test engine until pacing becomes automatic, and learn to flag a question, move on, and return with fresh eyes.

First, delivery: your download is available immediately after payment, and the package also arrives in your email within one minute. If 2 hours pass with nothing in your inbox, check spam and contact support — and feel free to install the software on as many computers as you like, there is no device limit.

Second, the safety net: if you sit the Financial-Accounting-Reporting exam within 60 days of purchase and do not pass, the PrepAwayExam money back guarantee entitles you to a full refund. File the claim within 2 days of the exam with a scanned enrollment slip and your official score report (PDF); claims are processed within 7 days. The candidate name must match the payer name, and the guarantee excludes exams taken within 3 days of purchase, purchases never used in an actual exam attempt, free materials, and expired orders. If you would rather keep studying, you can swap the product for two free exam packages of equal value and keep the update service on your original purchase.

No formal prerequisite for exam entry, but candidates must meet state-specific CPA licensure education requirements (typically 120–150 semester hours).

Vendor policies shift from time to time, so treat this as your starting point and verify the current criteria on the official Admission Test exam page before you schedule anything.

Admission Test Certified Public Accountant (Financial Accounting & Reporting) Sample Questions:

On January 2, 1993, Quo, Inc. hired Reed to be its controller. During the year, Reed, working closely with Quo's president and outside accountants, made changes in accounting policies, corrected several errors dating from 1992 and before, and instituted new accounting policies.
Quo's 1993 financial statements will be presented in comparative form with its 1992 financial statements.
This question represents one of Quo's transactions. List A represents possible clarifications of these transactions as: a change in accounting principle, a change in accounting estimate, a correction of an error in previously presented financial statements, or neither an accounting change nor an accounting error.
Item to Be Answered
As a result of a production breakthrough, Quo determined that manufacturing equipment previously depreciated over 15 years should be depreciated over 20 years.
List A (Select one)

  • A. Neither an accounting change nor an accounting error.
  • B. Correction of an error in previously presented financial statements.
  • C. Change in accounting principal.
  • D. Change in accounting estimate.
Reveal Solution  Discussion  0

Correct Answer: D  🗳️

Which of the following is not a valuation technique that can be used to measure the fair value of an asset or liability?

  • A. The market approach.
  • B. The impairment approach.
  • C. The income approach.
  • D. The cost approach.
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

Hyde Corp. has three manufacturing divisions, each of which has been determined to be a reportable segment. In 1989, Clay division had sales of $3,000,000, which was 25% of Hyde's total sales, and had operating costs of $1,900,000, as reported to the CFO. In 1989, Hyde incurred operating costs of $500,000 that were not directly traceable to any of the divisions. In addition, Hyde incurred corporate interest expense of $300,000 in 1989. In reporting segment information, what amount should be shown as Clay's operating profit for 1989?

  • A. $900,000
  • B. $1,100,000
  • C. $975,000
  • D. $875,000
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

A segment of Ace Inc. was discontinued during 1992. Ace's loss from discontinued operations should not:

  • A. Include operating losses of the current period up to the date the decision to dispose of the segment was made.
  • B. Include employee relocation costs associated with the decision to dispose.
  • C. Include additional pension costs associated with the decision to dispose.
  • D. Exclude operating losses from the date the decision to dispose of the segment was made until the end of 1992.
Reveal Solution  Discussion  0

Correct Answer: D  🗳️

Which of the following is correct concerning financial statement disclosure of accounting policies?

  • A. Disclosure of accounting policies is an integral part of the financial statements.
  • B. Disclosures should be limited to principles and methods peculiar to the industry in which the company operates.
  • C. The format and location of accounting policy disclosures are fixed by generally accepted accounting principles.
  • D. Disclosures should duplicate details disclosed elsewhere in the financial statements.
Reveal Solution  Discussion  0

Correct Answer: A  🗳️

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