Accounting Competency Exam
Students desiring to register for ACG 3131 (Intermediate Accounting Theory 1), ACG 3341 (Cost Accounting), ACG 6137 (Financial Reporting & Accounting Concepts), or ACG 6347 (Cost Accounting Theory & Practice) must complete the School of Accounting Competency Exam and earn a satisfactory score of ≥ 70%.
You must register for the exam with the FAU Testing and Evaluation Center http://www.fau.edu/testing. To register, you must have an FAU e-mail address and a Z-number. There is a $10.50 fee to take the exam.
FREQUENTLY ASKED QUESTIONS (FAQS)
What is the purpose of this requirement?
A student's performance in intermediate accounting is often viewed as one of the most important indicators of aptitude for success in the accounting profession. Prospective employers pay close attention to a student's performance in this course. Unfortunately, many students fail to do well in this course, not because of their aptitude, but because of their lack of preparedness upon entering the course. It is essential that a student's prerequisite knowledge be sufficient to prepare a student to succeed in intermediate accounting. The goal of the exam is to increase the likelihood that our students are prepared to succeed.
OK, I understand the goal; now what should I do?
Ask yourself, “Have I truly learned what I need to know about basic principles of accounting in my prerequisite class, Introduction to Financial Accounting (also known as Principles of Accounting)?” If you have, you should be able to achieve a satisfactory score on the exam. If you are uncertain, you might want to review before taking the exam. You should study from your textbook or other supplemental material. You may participate in a free self-study course available on canvas.fau.edu.
Completing the self-study course is no guarantee of passing the exam; rather, the website is presented as an aid to preparing for the exam. If you do poorly on the exam, you should consider taking (or at a minimum auditing) introductory courses again. A brief retreat to regroup is not a bad thing if it helps you achieve your longer-range goals.
I think I am ready for the exam. Now what?
You should have at least completed Principles of Accounting I or its equivalent. It is a good idea to have completed Principles of Accounting II, but it is not mandatory. However, successful completion of Principles of Accounting II is required for enrollment in ACG 3131 (Intermediate Accounting Theory 1) and ACG 3341 (Cost Accounting).
What topics will be covered on the exam?
The exam will consist of thirty (30) multiple choice questions. The topics covered will include the following:
- Accounting Cycle
- Adjusting Entries
- Assumptions and Principles
- Closing Entries
- Understanding Debits and Credits
- Operating, Investing, and Financing Activities
Students are also given information about FAU Regulation 4.001 Code of Academic Integrity and asked to provide information about their preferences for scheduling, career goals, etc.
And, how much is this going to cost?
The fee to take the exam is $10.50 and is to be paid when you register to take the exam.
How often will the exam be given?
You may take the exam whenever the Testing Center is open and has appointments available.
How many times can I take the exam?
You are allowed a maximum of three attempts.
Can the exam be taken at a remote testing center?
Will the exam change each time?
The questions will change, but the subject matter will not (without prior notice). The exam will consist of approximately 30 multiple-choice questions.
How long is the exam?
You are allowed 90 minutes to complete the exam.
What is a satisfactory performance on the exam?
Satisfactory performance on the exam is defined as a score of 70% or higher.
How will I find out about my performance on the exam?
You will receive an email from the School of Accounting indicating whether you scored satisfactorily on the exam.
So, once I have satisfactorily completed the exam, then what?
After you have satisfactorily completed the exam, you will be given permission to register for ACG3131, ACG3341, ACG6137, or ACG6347. Once you are given permission to register, you will not need to take the exam again unless you register for ACG 3131, ACG3341, ACG6137, or ACG6347 more than 12 months after you satisfactorily completed the exam.
What if I do not satisfactorily complete the exam?
You may try again, but remember the message: You may not be prepared to succeed in Intermediate Accounting Theory 1. You should definitely study more, including the possibility of retaking (or, at a minimum, auditing) appropriate introductory courses.
I did really well in my introductory course. Can I get a waiver of the exam?
There are no waivers of the exam requirement.
What should I bring to the entrance exam?
You should bring one valid picture ID (e.g., driver’s license, Owl card) to the exam. Don't bring notes, a calculator, or blank pieces of paper. Leave your books at home. No cell phones, cameras, calculators, computers or other devices will be permitted in the exam room.
What can I take from the exam?
You can take what you brought, but nothing more. The exam remains the property of the School of Accounting, and anyone attempting to remove the exam will be subject to strict disciplinary measures as provided by Florida Atlantic University, College of Business, School of Accounting policies and procedures. These policies include, but are not limited to, a score of zero assigned to the person removing the exam or to the person for whom the exam was removed. Students will be required to sign an agreement not to divulge or otherwise discuss the specific content of the exam. This is in no way intended to limit student discussion about the general content of the exam. For example, it’s acceptable to report that there was a question on LIFO inventory methods, but it is unacceptable to report that Question No. X was on LIFO and the answer was "C."