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US ACCOUNTING · CPA CORE AND DISCIPLINE PATH

Free CPA practice questions.
Start with FAR and AUD foundations.

Work through eight original introductory FAR and AUD examples. Create a free account for supplemental multiple-choice practice, explanations, and progress tracking.

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FAR · EQUITYLearning example
Assets are $100,000 and liabilities are $60,000. Using assets = liabilities + equity, what is equity?
✓$40,000
Review the concept.

Equity is assets minus liabilities: $100,000 − $60,000 = $40,000. The simplified equation identifies the residual interest; it is not a complete financial-statement analysis.

Practice. Understand. Review.

Published by PrepForCerts · Editorial responsibility and sources · Updated

Start with the right knowledge task

The Uniform CPA Examination combines three Core sections with one Discipline section. A broad CPA practice search can hide very different needs: financial reporting, auditing, taxation, and discipline-specific study should not be treated as one interchangeable bank.

These eight introductory samples focus on FAR and AUD foundations. They use simplified accounting calculations and basic control/evidence concepts. They do not cover REG, every FAR/AUD blueprint task, or the Discipline sections, and they are deliberately separated from task-based simulation preparation.

Introductory FAR/AUD single-answer learning samples. PrepForCerts does not deliver CPA task-based simulations, establish state eligibility, provide a full CPA course, or predict a passing score. Confirm the exam-year blueprint and state-board requirements.

8 free CPA questions with explanations

Choose an answer, then check it. Each original learning sample has four choices and one best answer for the stated facts. Answers also open without JavaScript. This short set does not measure official exam readiness.

QUESTION 1 · FAR · EQUITY

Assets are $100,000 and liabilities are $60,000. Using assets = liabilities + equity, what is equity?

Show answer and explanation

Answer: A. Equity is assets minus liabilities: $100,000 − $60,000 = $40,000. The simplified equation identifies the residual interest; it is not a complete financial-statement analysis.

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QUESTION 2 · FAR · INCOME

In a simplified example with no other items, revenue is $90,000 and expenses are $65,000. What is net income?

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Answer: B. $90,000 − $65,000 = $25,000. The question expressly excludes other items; a real reporting problem may require further classification or measurement.

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QUESTION 3 · FAR · GROSS MARGIN

Sales are $100,000 and cost of goods sold is $60,000. Using gross margin = (sales − COGS) ÷ sales, what is gross margin?

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Answer: C. ($100,000 − $60,000) ÷ $100,000 = 40%. Gross margin is not net margin because other expenses have not been deducted.

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QUESTION 4 · FAR · LIQUIDITY

Current assets are $30,000 and current liabilities are $20,000. Using current ratio = current assets ÷ current liabilities, what is the ratio?

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Answer: D. $30,000 ÷ $20,000 = 1.5. Use the stated current classifications; a ratio alone does not establish whether every obligation can be met.

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QUESTION 5 · FAR · RECEIVABLES

Gross trade receivables are $25,000 and the credit-loss allowance is $2,000. What is net receivables?

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Answer: A. $25,000 − $2,000 = $23,000. The allowance reduces the gross amount in this simplified presentation; it is not added to the asset.

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QUESTION 6 · FAR · EQUIPMENT

Equipment cost is $40,000 and accumulated depreciation is $15,000, with no impairment or other adjustment. What is net carrying amount?

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Answer: B. $40,000 − $15,000 = $25,000. Carrying amount differs from original cost and does not by itself establish a current market value.

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QUESTION 7 · AUD · CONTROLS

Which arrangement improves segregation of duties?

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Answer: C. Separating incompatible duties reduces opportunities to create and conceal an error. The appropriate control design depends on the organization, risks, and practical compensating controls.

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QUESTION 8 · AUD · EVIDENCE

An auditor has information but has not evaluated whether the evidence is sufficient and appropriate. What is needed before relying on it for the overall conclusion?

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Answer: D. Evidence requires assessment rather than automatic acceptance. Its quality and quantity must support the conclusion; contradictory information also needs consideration.

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Build your next study session with PrepForCerts.

Create a free account and enter your full exam name. Use AI-generated multiple-choice practice, explanations, and basic progress tracking alongside the official outline and your primary learning resources.

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Introductory FAR/AUD single-answer learning samples. PrepForCerts does not deliver CPA task-based simulations, establish state eligibility, provide a full CPA course, or predict a passing score. Confirm the exam-year blueprint and state-board requirements.

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Topics to connect to your wider study

Use the official content outline as your coverage checklist. The samples below illustrate concepts; they do not establish coverage of every listed topic.

FAR: financial reporting

Connect balance-sheet relationships and income measures to the underlying statements. These samples use simplified figures rather than all recognition and measurement rules.

FAR: assets and ratios

Review receivables, allowances, property/equipment, and liquidity measures. Keep carrying amounts distinct from cost and accumulated adjustments.

AUD: internal controls

Identify incompatible duties and the purpose of control design. A short segregation example does not cover a complete audit engagement.

AUD: evidence

Connect relevance, reliability, sufficiency, and conflicting information to an audit conclusion. Study application tasks beyond memorized definitions.

Know the exam scope before you plan practice

Core sections
AUD, FAR, and REG
Discipline choice
One of BAR, ISC, or TCP
Section time
Four hours per section; four sections in the path
Official item types
Multiple-choice questions and task-based simulations

The 2026 blueprints are effective January 2026. All sections combine MCQs and simulations, with section-specific counts and skills. Later blueprints are also posted; choose the version matching your appointment. Education, experience, and licensing requirements depend on the state board.

Put your study plan into practice.

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Turn the concepts into a study routine

  1. Name the section and blueprint task

    Begin each session with FAR or AUD and the relevant content area. A general CPA label does not identify the task being tested. Keep REG and Discipline preparation in their own plans, using the applicable exam-year blueprint.

  2. Write the relationship before substituting figures

    Show the accounting equation, income relationship, ratio, or carrying-amount calculation. Confirm whether amounts are gross or net and what adjustments are excluded. Explain why the other options use the wrong relationship or classification.

  3. Practice analysis as well as definitions

    For control and evidence questions, identify the risk and purpose of the procedure. A correct phrase is not a complete justification. Broader exam preparation needs application and analysis across the blueprint, not only elementary arithmetic.

  4. Schedule separate simulation work

    Use a resource that prepares you for task-based simulations and the official section workflow. Single-answer quizzes can reinforce concepts, but they do not reproduce documents, exhibits, response formats, or the full simulation task.

Study mistakes to avoid

Create a free account for your exam practice.

Enter the exam, level or section, and country/state where relevant. Build multiple-choice quizzes, review explanations, and track your progress. Keep official-format preparation and any practical training in your wider plan.

Introductory FAR/AUD single-answer learning samples. PrepForCerts does not deliver CPA task-based simulations, establish state eligibility, provide a full CPA course, or predict a passing score. Confirm the exam-year blueprint and state-board requirements.

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Questions about CPA practice questions

Which CPA sections do these samples cover?

Selected introductory FAR and AUD concepts. The set does not cover REG or all Discipline content and does not claim full FAR/AUD coverage.

What is the Core and Discipline structure?

Candidates take AUD, FAR, and REG plus one of BAR, ISC, or TCP. Verify the current blueprint and your state-board eligibility rules.

Are task-based simulations included?

No. These are four-choice, single-answer learning samples. Prepare separately for simulations using resources that teach their format and application tasks.

Does passing the CPA exam alone award a license?

No. The relevant state board sets education, experience, and other licensing requirements. Confirm your jurisdiction rather than using another state's rules.

Sources and scope

Public source information checked October 11, 2026. These are original, AI-assisted learning materials checked against the listed sources; they are not actual issuer exam items or a claim of issuer approval. Verify changing requirements with the issuer and your training program.

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