Question

Which of the following statements is false with respect to taxation on the CPA exam?

1) There are more task-based simulations on the exam.
2) There are five content areas in the REG section of the CPA exam.
3) The CPA exam tests taxation in the FAR section.
4) Common tools provided during the CPA exam include a calculator and a spreadsheet.
5) The CPA exam has four parts.

Answer 1

The false statement is that the CPA exam tests taxation in the FAR section; taxation is tested in the REG section.

Step-by-step explanation:

Regarding the question on taxation as it pertains to the CPA exam, the false statement among the options provided is: 3) The CPA exam tests taxation in the FAR section. The FAR (Financial Accounting and Reporting) section of the CPA exam primarily covers topics related to financial reporting, and while taxes could be involved in financial statements, detailed taxation specifics are actually tested in the REG (Regulation) section. The REG section does indeed have more task-based simulations, covers five main content areas, and common tools such as a calculator and a spreadsheet are provided. Lastly, the CPA exam is separated into four parts: AUD (Auditing and Attestation), BEC (Business Environment and Concepts), FAR, and REG.