Hey there! I am really glad you asked, “How does the CPA Exam compare to the GMAT?” As someone who has endured through both exams (CPA Exam and then the GMAT), I can personally attest to the difficulty of each exam. Now some of you, depending on the set up of your Masters of Accounting program or MBA program, may have taken or will be taking the GMAT prior to the CPA Exam as an entrance exam for your graduate business program. Others might take the CPA Exam first and then the GMAT second in order to enter an MBA program or PhD in Business program later in one’s career. Either way, I have news for you. Both exams are difficult; however, each exam is difficult for a different reason.
Study, study, study!
How Does the CPA Exam Compare to the GMAT: CPA Exam
The Uniform CPA Exam is not one exam but instead is a compilation of four unique competency exams: Auditing and Attestation (AUD), Business Environment and Concepts (BEC), Financial Accounting and Regulation (FAR), and Regulation (REG). Each section of the exam is then composed of a certain number of multiple-choice questions and task-based simulations or written communication tasks. The table below outlines the timing of each section, the number of questions in each section, and the grading evaluation of each section.
| Section | Timing | Multiple Choice Questions | Task-Based Simulations or Written Communication Tasks |
| AUD | 4 hours | 90 MC (60%) | 7 TBS (40%) |
| BEC | 3 hours | 72 MC (85%) | 3 WCT (15%) |
| FAR | 4 hours | 90 MC (60%) | 7 TBS (40%) |
| REG | 3 hours | 72 MC (60%) | 6 TBS (40%) |
In order to pass any given section, you need a scaled score of 75 or above, and pass rates for any given section tend to range from 45 percent to 55 percent. In the end, the goal is to join the coveted 300 club.
How Does the CPA Exam Compare to the GMAT: GMAT
Conversely, the GMAT is a single entrance exam and has four sections: Analytical Writing Assessment, Integrated Reasoning, Quantitative, and Verbal. Each section of the exam has a specific style of question and an associated number of questions. The table below outlines the timing of each section, the number of questions in each section, and the grading evaluation of each section.
| Section | Timing | Questions | Type | Evaluation |
| Analytical Writing Assessment | 30 minutes | 1 Topic | Analysis of Argument | 0-6 (Half-point intervals) |
| Integrated Reasoning | 30 minutes | 12 Questions | Multi-Source Reasoning Graphics Interpretation Two-Part Analysis Table Analysis | 1-8 (No partial credit) |
| Quantitative | 75 minutes | 37 Questions | Data Sufficiency Problem Solving | 0-60 (7-50)* |
| Verbal | 75 minutes | 41 Questions | Reading Comprehension Critical Reasoning Sentence Correction | 0-60 (9-44)* |
| Total Score | 200-800 (400-600)** | |||
| * Scores above and below interval (#-##) are rare ** 2/3 of test takers score between 400 and 600 | ||||
For the GMAT, there is not a “passing score.” However, test takers striving for top MBA and PhD programs tend to desire to be part of the 700 club. It is important to note that although the Analytical Writing Assessment and Integrated Reasoning sections do not factor into the total score, doing poorly on these sections may hurt your chance of being admitted into the MBA or PhD program of your choice.
How Does the CPA Exam Compare to the GMAT: Last Thoughts
The CPA Exam and the GMAT are both difficult. Your ability to succeed on the CPA Exam largely depends on your accumulated development of accounting knowledge over your undergraduate and possibly graduate academic career. Your ability to succeed on the GMAT largely depends on your ability to reason. Each exam adjusts the question difficulty based on your previous performance. The CPA Exam does this by giving you a relatively hard, medium, or easy testlet based on your previous testlet. On the other hand, on the Quantitative and Verbal sections of the GMAT, each question is selected based on your performance on the previous question. You can either pass or fail the CPA Exam; however, the equivalent notion of pass or fail does not exist for the GMAT. For the GMAT, you can earn your target score or not. Keep in mind, to be successful on either exam, you will need to put in lots of hard work and have determination. For more information about the GMAT, please check out the GMAT blog and say hi to Kevin! As always, remember to breathe.
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