Final answer:
The incorrect statement about the CPA exam is that each state has its own test. The CPA exam is uniform across all states, and while NASBA is involved, the AICPA administers the exam. Candidates must pass all four sections, including Regulation, which involves tax research.
Step-by-step explanation:
The incorrect statement regarding the CPA (Certified Public Accountant) exam is that each state has its own test. In reality, the CPA exam is a uniform exam administered across all states. The National Association of State Boards of Accountancy (NASBA) is indeed involved in the CPA exam, but it is the American Institute of Certified Public Accountants (AICPA) that actually prepares and scores the exam. Furthermore, while each state may have different licensing requirements, the test itself is consistent and not state-specific. CPA exam candidates must pass all four sections of the exam, which include Auditing and Attestation (AUD), Business Environment and Concepts (BEC), Financial Accounting and Reporting (FAR), and Regulation (REG), within an 18-month period. The Regulation section does indeed require knowledge of tax and includes testing on tax research.