Author: Gevorg CPA

Update: CPA Canada 2025 pass rates are now available, you can find it at this updated post.

CPA Canada has now released the 2024 Professional Education Program (PEP) and Common Final Exam (CFE) exam pass rates. The 2025 pass rates will be released in February 2026.

2024 CFE Pass Rates

Below are the official exam pass rates as reported by CPA Canada.

The 2024 CFE pass rate is 67.3%.

CFE Offering	Cumulative Pass Rates
	First Attempt	Second Attempt	Third Attempt
May and September 2024*	67.3%	n/a	n/a
May and September 2023*	70.5%	n/a	n/a
May and September 2022*	71.3%	n/a	n/a
May and September 2021*	73.6%	n/a	n/a
September 2020	75.8%	n/a	n/a
September 2019	76.3%	87.4%	n/a
September 2018	77.6%	87.5%	90.8%
September 2017	77.6%	88.1%	90.6%
September 2016	76.8%	88.6%	91.4%
May 2016	68.7%	75.4%	79.9%
September 2015	82.9%	94.6%	96.6%

*In 2024, 2023, 2022 and 2021, there were two offerings of the CFE. The 67.3%, 70.5%, 71.3% and 73.6% pass rates are the combined averages of the first-time writers in both the May and September CFEs.

There is a decrease of 1-3% year-over-year, with 2024 CFE pass rate the lowest on record. 

2024 Professional Education Program (PEP) Pass Rates

Below are the updated 2024 PEP exam pass rates:

CPA PEP Module	2024 Pass Rate	2023 Pass Rate	2022 Pass Rate	2021 Pass Rate	2020 Pass Rate	2019 Pass Rate
Core 1	71.9%	72.1%	74.0%	77.1%	81.9%	79.4%
Core 2	80.4%	78.4%	82.5%	85.3%	86.2%	84.3%
Taxation	86.8%	87.6%	87.5%	88.1%	88.0%	88.1%
Assurance	88.1%	87.6%	89.7%	90.5%	89.1%	89.2%
PM	87.1%	90.2%	89.5%	90.9%	90.7%	90.6%
Finance	84.8%	87.1%	87.2%	89.1%	89.0%	89.9%

There is a minor increase  in the Core 2 and Assurance module pass rates in 2024, with Core 2 pass rate of 80.4% and Assurance at 88.1%. Core 1 and Tax remained mostly flat at 71.9% and 86.8%, respectively, while PM and Finance pass rates dropped by 2-3% in 2024.

PEP and CFE Exam Coaching

My name is Gevorg. I’m an instructor and CPA exam coach. If you need helping passing your CPA Canada exams, contact me for consultation or check out my tutoring courses.

 

 

Passing the CPA Canada PER (Practical Experience Reporting) process can feel a bit tricky, especially if you’re on the EVR (Experience Verification Route). You might find yourself submitting reports, only to receive them back with reviewer comments or not getting the levels you were hoping for. If you’re nearing the 30-month practical experience completion mark and want to hit that Level 2 proficiency across both technical and enabling competencies, this guide is here to help you out! We’ll cover both general tips on PERT and specific strategies on how to add 3 examples given the 5,000 character space limitation.

If you’d like to directly jump to how to add the 3 examples within 5,000 characters, scroll down to “3 Example Rule” section below.

PERT General Tips & Tricks To Achieve Level 2

Below are tips and tricks to help you achieve Level 2 in your examples:

• Don’t ever say “us” or we” – Be selfish. Write about what you have done and use the word “I” and “me” in your examples. This shows that you took charge of the tasks. It’s best to avoid using “we” or “our team” as much as possible, even though it’s perfectly fine for your manager to have reviewed your work. 
• Use unique examples – Make sure to use different examples for each technical sub-competency. For example, if you improved a financial reporting process and used this for FR1, don’t re-use that same exact example for FR3 or FR4. However, if you worked on a big project (think ERP implementation), then you can bifurcate several different examples from it and write in different areas. This rules applies to Technicals, you can use the same examples between Technical and Enabling competency without any issues.
• Don’t be generic – When I’m helping CPA students with PERT, I often see them write lengthy descriptions of their job duties. For example, in FR2, students tend to write how they go about analyzing transactions as part of their day to day work. This is not gonna work. PERT team is looking for specific examples. For example, in FR2, you should pick a few specific transactions you analyzed and write about those. Good examples are: impairment, intangible asset, consolidation, financial instruments, tax provision, lease accounting, complex revenue issues, decommissioning costs, assets held for sale and discontinued operations, foreign currency translation.
• Stay within 5,000 characters – Each section in the PERT  has a limit of 5,000 characters (not words!). Before you hit that submit button, double-check your character count. I suggest writing your reports in Google Docs or Microsoft Word, then copy to PERT, because I’ve heard students say that their examples sometimes disappear when they write directly in PERT and leave it there for a while. PERT has gone through many updates and it’s more user friendly now, showing the character count as you type and the text boxes are expandable. Still, I recommend writing in external apps and then copying to PERT to avoid losing your work. To save space, use point form, skip routine details, and use common abbreviations, like “IFRS”(more on this below.)
• Write detailed examples – This contradicts the above tip about being point form, but you do need to be both detailed and point form. You have to find which areas need details and which areas can be left point form. For example, “Stakeholders” section can be point form but “Analysis” should be detailed. Your PERT examples should be at least 3/4 to 1 full page for each competency area.
• Use templates – Gevorg CPA was the first to build PERT templates and teach students how to use them correctly. Now, several years later, CPA Canada is encouraging all students to use templates. It makes sense; templates are best tools to hit all areas of the marking rubric, both on exams and PERT. A template for the sub-competency MA2 is available here on Gevorg’s website. For more PERT templates and examples, you can check  the PER Review success program.

Enabling Competencies: Strategies to Get Level 2

Applying the CPA Way doesn’t stop at the CFE. Enabling Competencies require you to embed the CPA Way into your response, using the following headings:

• Assess the Situation
• Analyze the Major Issues
• Conclude and Advise 
• Communicate 

Remember to do the following to achieve a Level 2 for Enabling:

• Discuss CPA values – Explain what CPA values the situation involved (competence, objectivity, due care, integrity, independence, professional behavior, and confidentiality). Make sure to discuss 2-3 CPA values.
• Add alternatives – Always include alternatives, discussing both the pros and cons.
• 1 example is enough – Unlike Technical, where you need at least 3 examples for Level 2, just 1 good example in Enabling is enough for Level 2.
• New examples – Write new examples instead of continuation of stories from previous reports.

Technical Competencies: Strategies to Get Level 2

This section is relevant if you’re following the EVR.  To achieve level 2, you should:

• Write complex examples – Your examples must require judgement, research, autonomy and working within ambiguities to get level 2. For example, let’s say you’re targeting Level 2 for FR2. If you write 3 examples of how you posted accrual entries, PPE depreciation, and payroll remittance, it won’t qualify for Level 2. You have to think about really complex entries, like the ones I listed earlier in “Don’t be generic” part, and write about those. I can help you come up with strategies on how to do this, even if you work in a junior role.
• Don’t worry about your initial assessment –  When you submit your job description for pre-assessment, PERT team will assess whether your job meets the minimum requirements for PERT. They will give you a report with checkmarks in areas they think you can score levels, like MA1, MA2, FN1 etc. Don’t worry about this report, it’s okay – and even expected – for you to report above and beyond what the checkmarks indicate. For example, if you don’t have a checkmarks in FR1, FR2, FR3, and these tasks were not part of your submitted job description, you can still report in these areas.
• Don’t target Level 2 for “FR1” – FR1 is extremely hard to get Level 2, it requires complex user need analysis and implementing a new financial reporting system. This is something that doesn’t happen 3 times in most accountants’ careers, unless your work in a entrepreneurial start-up company. So just aim for Level 1 here and claim Level 2 in other areas. This will save you a lot of headache and time.
• 3 examples needed – Have 3 examples for each sub-competency (see below)

The 3-example Rule

For each technical sub-competency, you need at least 3 complex examples to get Level 2. Students ask me all the time how can this be done, given the 5,000 character rule. The answer is that these can be from multiple reports, not just one. The ideal path of completing PERT is to submit complex examples across several reports. For example, you submit complex example #1 at the 18-month report, example #2 at 24 months, and a final example #3 at 30 months. By the time you get to 30 months, you’ve submitted 3 complex examples and you’re eligible for Level 2. With this smooth submission strategy, you won’t have problems with the 5,000 character limitation because you’re putting only 1 example in each report.

The above is the ideal path but the reality is that most students are behind. If you’re at the completion mark but haven’t reported any examples, things are tougher because you need to add 3 examples in one or two final reports. This is still very much doable. To achieve this, you need to write very concisely and avoid repeating the same sections, like “Stakeholders”, “My involvement”, in each example. It also helps to use abbreviations, like IFRS, F/S, ASPE, IFRS, Ex#1, Ex#2, etc. to keep the report concise. Make sure to avoid filler words like “very,” “actually,” “basically.” Another tips is to focus on using action-oriented language to demonstrate your competencies effectively. For example, instead of writing: “My first step was to find the root cause and determine why the performance has deteriorated as it was critical for the success of this project”, you should instead write: “I determined root cause for performance decease by doing XYZ.” I have several more specialized resources for writing 3 examples under 5,000 characters, please see the Extra Resources below for more details.

Extra PERT Resources

Check out Gevorg’s CPA PER Review, Canada’s first and only comprehensive PER coaching program that features several Level 2 examples, templates, video lessons, marking services, and support to help you pass PERT. This program recognizes your need for clear and concise content and has been designed to meet your busy schedule.

 

CPA Canada exams often include Assurance assessment opportunities (AOs) that test your knowledge of different reports used in assurance and related engagements. Though there are several special reports, in this blog, we’ll focus on learning audits, reviews, and compilations.

Summary

What’s an Audit engagement?

An audit engagement checks a company’s financial statements and underlying data to ensure they accurately reflect the company’s financial situation for users like investors. An audit provides reasonable assurance, the highest level of assurance available. 

Audits require extensive work and are more expensive than other engagements. Auditors must gather detailed documents and third party support such as bank confirmations. Audit procedures involve detailed substantive testing and tests of controls such as inspecting inventory, and tracing invoices back to the general ledger.

The audit report provides a positive opinion which states: “In our opinion, the financial statements of ABC Company present fairly, in all material respects.”

What’s a Review engagement?

A review engagement is similar to an audit but requires less effort and therefore less time. Reviews provide a lower level of assurance, called limited assurance. Rather than stating the financial information is “reasonable”, a review checks if the information seems “plausible”, meaning it makes sense in the company’s situation.

In reviews, procedures involve inquiries, discussions, and analytical procedures, rather than detailed testing. The documentation needed is less extensive and doesn’t always require third party input. For example, cash can be tested in a review using bank statements provided by the client rather than bank confirmations sent to the client’s bank directly.

The review engagement report provides a negative conclusion stating, “Nothing has been brought to our attention to suggest that the financial statements are not fairly presented in all material respects.”

When presented with an AO on Audit or Review, and you’re asked to provide procedures, you should use the risk, assertion, procedure (RAP) framework for both audit and review procedures. For example, a procedure for review may be:

• Risk: ABC Inc. has seen an unusually large increase in property, plant, and equipment (PP&E) this year. There is a risk that this PP&E does not exist.
• Assertion: Existence
• Procedure: Inquire ABC Inc. management about any capital additions in the year and compare this to the general ledger to determine if the GL balance is plausible thus ensure existence of PPE. 

What’s a Compilation engagement?

A compilation organizes financial information provided by the client into financial statements. The accountant does not verify the information, rather ensures it’s compiled in accordance with the chosen basis of accounting and that the financial statements are mathematically correct. A compilation provides no assurance and no audit opinion or review conclusion.  

Examples of bases of accounting include: 

• Cash basis of accounting
• Cash basis of accounting with certain accruals and estimates
• Other basis of accounting as required by the user

At the end of the engagement, a compilation report is provided to the client, including a note that explains the basis of accounting used to prepare the financial statements to the users.

How to approach these AOs to score a C

Below is a step-by-step framework on how to approach these AOs in the CPA Canada exam cases, with explanations:

Step 1: Identify valid report options based on the user’s needs.

Step 2: Briefly explain the different reports you identified in Step 1, making sure you discuss the assurance level of each.

Step 3: Discuss the important differences between the reports you’re comparing. Indicate whether each factor is a pro or con for each report and explain why. Only discussing one factor such as cost, will not get you to a C. Look at the case facts you are provided and discuss all relevant factors linking back to the user’s needs. Consider the following:

• The level of assurance needed (reasonable, limited, or no assurance)
• Cost
• Timeliness
• Type of procedures required

Unless stated otherwise, assume that the person you are explaining these reports to doesn’t know what the reports are. You need to explain everything in detail. For example, for the level of assurance, explain what reasonable versus limited assurance means. For procedures, if you state that an audit requires detailed substantive tests, explain what this means and what kinds of procedures are involved. 

Step 4: Provide a firm, definitive conclusion on the type of engagement your client should request, consistent with your analysis.

Step 5: If applicable, request the client to clarify unclear terms with the user like “check” or “verify” to confirm the level of assurance required. 

Step 6 (if asked): Provide 2-3 valid procedures for each report.

Read the case carefully to determine whether you need to provide procedures for all reports you are comparing or only the one you concluded to use. For review procedures, refer only to inquiry, discussion, or analytical procedures, not substantive tests like inspection, vouching, and so on, which are audit procedures.

The above 6 steps provide detailed walkthrough of how to appraoch these AOs.  A shorter version of these 6 steps can be remembered with the acronym SAPPY:

• Special report (what reports?)
• Assurance level (reasonable, limited, or no assurance?)
• Pros/cons (level of assurance, cost, timeliness, type of procedures, user needs)
• Preferences of users (what do they want?)
• Your recommendation (including an assumptions and procedures, if asked)

Extra Resources

As you study, refer to the relevant Canadian Auditing Standards (CAS) and when discussing reports, remember to include the relevant CAS number in your case response.

Looking for help with passing the exams? Check out Gevorg’s CPA Assurance CAS Technical Study Notes. 

 

As you’re preparing for your CPA Canada exams, including the CFE, you may feel that CPA modules are very fast-paced. How do you build technical review into your already packed study schedule? This guide offers simple tips to efficiently study Financial Reporting (FR) and Management Accounting (MA) concepts and boost your performance on the CPA exams.

Technical Study Tips and Tricks

There are lots of resources and you don’t have a lot of time! Choosing the right material to focus on can be tricky. To make the most of your time, focus on 2-3 reliable sources and stick with them while you prepare for the exams. For example, you can focus on:

• CPA Canada’s eBooks
• Flashcards (given in Capstone 2)
• Gevorg’s technical summaries

As you’re reviewing these materials, it’s important that you develop your personal notes. We’ll look at developing flashcards and summaries.

Flashcard is a small card that has information written on it to help you learn and learn. One side has a question or a term, and the other side has the answer or explanation. For example, one side of the card might have a term, like “Equity,” and the other side might have the definition: “Ownership interest in the assets after deducting its liabilities.”

If you’re in Capstone 2, take advantage of CPA Canada’s flashcards! These are given for free in the module. You can print them out, review the contents, and add your personal notes. This is a strategy that has been used by many CPA honour roll students in the past.

If you’re in Core 1, Core 2 or elective modules, you can build the flashcards yourself by writing down key terms, formulas, and concepts from the module readings and practice cases.

Another effective strategy is to create short, simple summaries of key topics. Here’s an example for a FR topic:

For FR technicals, align your summary with the relevant standard per the CPA Canada Handbook. Identify important criteria from the handbook like definition, measurement, recognition and disclosure, and write down notes in your own words. This method helps you not only review the technical content but also practice locating information in the Handbook. 

Here’s an example for a MA topic, a make vs. buy decision, which requires net present value or NPV calculation:

To make sure you really understand the concepts, shuffle through your flashcards and summaries and practice recalling the criteria and steps without peeking. This study method is called “active recall” and it’s been proven by cognitive science as an effective study strategy.

Financial Reporting Study Tips

There’re a lot of FR concepts you are required to know for the CPA exams, especially CFE, so FR study should make up a large chunk of your review. To avoid getting overwhelmed, start by identifying commonly tested FR topics. Focus on these first and gradually add more as you progress through the modules.

For theoretical subjects like FR, it’s important that you don’t just memorize, but also understand the concepts. As you’re reading, ask questions:

• How does it compare to other standards?
• Why do we recognize this way?
• How is it different from other criteria?
• Under which scenario can this standard be tested?

Once you understand the concept deeply, you can then choose to memorize the standard or look them up in the Handbook. For standards that are simpler, I suggest to memorize to save time on the exam. For example, topics such as inventory, non-monetary transactions, related party transactions, impairment, ASPE revenue recognition, and so on, can be memorized to save time during the exams. For others, practice navigating the Handbook so you’re ready to find what you need quickly.

Also, make sure you understand FR technical under both IFRS and ASPE. For example, if your notes are based on IFRS, include a section that highlights the ASPE differences.

Management Accounting Study Tips

MA is a very practical subject, like mathematics and calculus. It’s not much about knowing the theory, but on understanding the terms and following the correct formula/approach. 

Being a practical subject, I don’t recommend reading too much of the theory. Instead, first understanding what the terms mean. For example, what does “joint costing” really mean? What does “machine overhead” men? Understand these by reviewing the examples in your readings and ask your CPA facilitator or tutor if you don’t fully understand. Secondly, build notes of how to solve these problems step-by-step (see sample picture above). Lastly, do lots of practice through exercises, drills, practice problems and cases. Write cases and if time permits re-write the MA sections of past cases too. As part of your debrief, identify what kept you from scoring a C and think of strategies to improve your speed on each type of MA AO. For example, can you format your quantitative analysis for a cost allocation AO more efficiently? Identify changes and add these points to your notes and summaries.

Extra Resources

In addition to developing strong case-writing skills, having solid FR & MA technical knowledge will prepare you to tackle these AOs on the CPA exams with the depth and speed necessary to score Cs. Regularly practice applying your FR and MA technical knowledge by writing cases. As you debrief, think about whether you’ve really grasped the FR & MA concepts, and if not, add to your flashcards or summaries and keep going until you are consistently scoring Cs on those AOs.

For extra support, check out Gevorg’s CPA Canada exam courses for a comprehensive CPA exam tutoring package.

 

Results day is here and I hope that you achieve the success you’ve worked so hard for. If you didn’t pass the CFE, in this article I’ll help to interpret your transcript and help you understand where things may have gone wrong, what your AO grades mean, and how to prepare for your next attempt.

Accessing your transcript

The first thing you need to do is log in to the CPA Canada results website and download your transcript. Be patient—this site tends to run slowly on results day. Once you have it, you can begin analyzing your performance.

FURTHER READING: Unsuccessful Results for CFE: What to Do Next

Day 1 Results: Pass or Fail

Day 1 results are straightforward: it will simply say Pass or Fail. A detailed Automatic Feedback Report for Day 1 will be released a few weeks later, providing additional insights. For now, let’s focus on Days 2 and 3, which are broken down into levels.

Days 2&3 Results: Understanding the Levels

I’ll start explaining from Leve 4, as it’s more straightforward compared to other levels.

Level 4: Breadth of Competencies (Days 2 & 3)

To pass, you need at least 2 RCs in every area from combined CFE Days 2 and 3. If you have even one area with only NCs or NAs, you won’t pass Level 4.

Example:

Above student had strong performance across most areas but only NCs in Finance. Despite doing well elsewhere, they didn’t pass Level 4 because Finance didn’t meet the 2 RC minimum.

Advice: If you didn’t pass Level 4, focus on studying secondary technical competencies, these are topics other than your role or FR/MA.

Level 3: Role Competency (Day 2 only)

Level 3 evaluates your performance in your Day 2 role. You need 4–5 Cs in the 7 AOs specific to your role from Day 2 to pass.

Example:

Above student had many Cs overall but only 2 Cs in their Day 2 role section. Since Level 3 depends only on Day 2, and it must be Cs, this wasn’t enough to pass.

Advice: Focus on mastering role-specific technicals and re-doing your elective module cases as these have relevant AOs that show up on the CFE Day 2.

Level 2: FR or MA (Days 2 & 3)

To pass Level 2, you need 3–5 Cs in either FR or MA. It’s important to note that it’s one or the other—you don’t need to meet the threshold in both.

Example:

Above student had only 2 Cs in both FR and MA, across Days 2 & 3. They passed all other levels but failed Level 2 due to insufficient Cs in both FR and MA areas.

Advice: Prioritize FR or MA in your next attempt. Focus on achieving Cs in the area you’re targeting and don’t try to get Cs in both, target only FR or MA and aim to get RC in the other.

Level 1: Overall Competency (Days 2 & 3)

Level 1 is the toughest one for students to understand. It checks how many RCs and Cs you got across all areas in both CFE Days, and it has a decile ranking. A lower decile (e.g., 1–3) means you were close to passing, while a higher decile (e.g., 6–10) means you were far from passing.

Example:

Above student passed Levels 4, 3, and 2, but failed Level 1 due to a high number of NCs. Level 4 is a pass because they have at least 2 RCs in all area, across Days 2 and 3. Level 3 is a pass because they have 5 Cs in the role. Level 2 is a pass because in both FR and MA they scored 4 Cs.   

Advice: You’re most likely skipping AOs due to time constraint or difficulty in solving tough AOs. Work on time management and practice the more challenging technical topics to avoid skipping AOs in the next attempt.

CFE June 2026 and September 2026

Above examples are sample transcripts, for more personalized feedback, consider purchasing the PAR Report from CPA Canada. While it won’t show grades for each AO, it gives good insights into your performance and areas needing improvement.

If you’re planning to write the CFE in September 2025 or in 2026, don’t go through it alone. At gevorgcpa.com, we provide high-quality study notes, practice cases, and review courses. My students have a 90% success rate, and I’m committed to helping you achieve your goal of becoming a Canadian CPA. Check out CPA CFE Review for a comprehensive coaching package.

Similar to prior CPA Canada Common Final Exams (CFEs), the September 2024 CFE had two Day 1, one Day 2 and three Day 3 cases.

The following Day 1 cases were tested:

• Amuzu Parks Inc. (API) V1 (Download)
• J.R. Pets Inc. (JRP) V2 (Download)

The following Day 2 and Day 3 cases were tested:

• Day 2 (Download)
  • Inspired Books Ltd. (IBL) (300 minutes)
• Day 3 (Download)
  • Fresh Fashion Inc. (Fresh) (90 minutes)
  • Percy & Thrower Inc. (PT) (80 minutes)
  • Prairies Wheel Company (Prairies) (70 minutes)

For the May 2025 CFE, the following Day 1 cases will be tested:

• Viviana’s Trattoria Ltd. (VTL) v1
• Neptune Point Fisheries Inc. (NPF) v2

For the September 2025 CFE, the following Day 1 cases will be tested:

• Meadowlark Entertainment Inc. (MEI) v1
• Amuzu Parks Inc. (API) v2

Where can I get the Day 1 API v1 solution?

CPA Canada will NOT release the solution to API v1 until 2026. In the interim, I have written a sample answer to API v1. You can download it at the cases section of the Gevorg, CPA website.

Are Day 2 and Day 3 solutions available?

CPA Canada released the official solutions to September 2024 CFE cases in May 2025. 

Will I get API v1 solution in Capstone 2?

If you are registered for the Capstone 2 module for Spring 2025, you will NOT receive the solution to Day 1 API v1. You should download using the links above. If you are someone challenging the exam, such as an internationally trained accountant applying under MRA/MOU, please also download using the links above.

How do I prepare for the CFE?

There are several prep methods for the CFE. You will need to focus on these three items:

1. Technical knowledge
2. Case writing skills
3. Strategy

I speak a lot about these items on my YouTube channel and webinars. You can check out my latest webinar.

Technicals:

• Know the key topics on each of the competencies
• Distinguish depth from breadth
• Debrief

Case writing skills:

• It’s all about following the CPA Way
• Know your case inside out
• Integrate throughout the case

Strategy:

• Prepare a study plan
• Obtain study materials
• Get support and resources

Pass the CPA Canada CFE Exam

I’m Gevorg. I’m an instructor and a CPA exam coach. If you want coaching with me, sign up for my CPA CFE Review Course, for a comprehensive prep package.

If you find yourself behind on your CPA Canada Professional Experience Requirements (PER), don’t panic! While the pressure can be overwhelming, there are effective strategies you can use to get back on track. Here’s a breakdown of what you need to know and do when you’re behind on a CPA PER reports. 

Behind on PERT reports

First, you should know that you’re not the only student behind on PERT. I receive messages daily from students who are behind on PERT – or who’ve never submitted any PERT reports – and their deadline is fast approaching. This is common and CPA PER reviewers are used to this. 

Here’s my advice based on your situation:

1. Your CPA program deadline is approaching: If your CPA deadline is within the next 6 months, your first course of action is to ask for an extension. The process is to send a message to your provincial CPA PER team and outline the extraordinary reasons that have prevented you from completing your program requirements on time. If you’ve already passed CFE, your chances are even higher. I’ve successfully consulted and helped students get extension and complete their requirements before the deadline. 
2. You haven’t submitted reports for a long time: If you haven’t submitted PER reports for a while, but your deadline is 6-12 months – or even farther down the road, don’t worry about extension at this point. In fact, PERT team doesn’t allow extension requests until you’re within the 6-month range. Your first course of action is to catch up – and you need to do it ASAP.

How to catchup on PERT

Let’s say you haven’t submitted PERT for 1, 2 or even 3 years. In situations like this, CPA PER team asks that you write 1 big report for the entire period. They don’t require you to go back and re-do the missed reports and mentor meetings, unless you changed jobs during that period or your title changed.

If your job or title changed, then they ask that you split your catch-up report for each of those segments. For example, let’s say you haven’t submitted PER for 3 years and you switched jobs 4 times. You would write 4 catch-up reports for each of those jobs, putting the date range based on when you worked in each company.

Before you start writing the reports, I recommend that you send a brief email to your provincial PER team and let them know your plans. Tell them that you’re behind on PER and you’re planning to do a catch up report for each of your jobs. They will give you confirmation to go ahead and you can write the reports. If for some reason they ask you to combine the reports, or write extra reports, follow their instructions and write as they say. CPA PER requirements are set provincially and PER team is very inconsistent. Though they have harmonized policies, each province has its own team that reviews and approves PER submissions. Some provinces, like Ontario, are consistent in their responses and requirements. Other provinces, like BC and Alberta, are less consistent. For this reason, it’s better to be proactive and communicate your intentions, rather than spending your time writing the reports and getting the feedback from them that you were expected to follow another procedure.

When writing your catch up reports, it’s important that you show progression. This means in the first few reports, claim only level 1 – don’t claim level 2 at all. Then in the final report(s), claim the level 2s.

Now, let’s look at the scenario where you’re behind and you haven’t changed jobs nor titles.  For example, let’s say you haven’t submitted PER for 3 years and you worked in the same company and role for the whole period. In this case, create 1 big report for this entire date range.  Don’t split your report into smaller segments. Similar to above, you should send a brief email to your local CPA PER team and let them know you’re planning to write 1 big report and let them give you green light. As I said earlier, CPA PER team is inconsistent, it’s best to have written communication from so that your bases are covered. 

When you’re writing the 1 big report, the progression (ie, Level 0 and Level 1) can be skipped, you’re assumed to be already at level 2 because it’s a wide range, so claim mostly level 2s. Your challenge will be to write concisely because they will be looking for multiple examples in each area. I have a specialized PER template that will help you write multiple examples in 1 report and stay within the 5,000 character limit in my CPA PER Review coaching program.

Penalties when you’re behind on PERT

In an ideal world, candidates would create a PER report bi-annually (twice a year or every 6 months), meet their mentors twice a year and finish PERT at the exact 30-month point. The reality is that many students are behind on PER and they miss report submissions and mentor meetings. 

CPA provincial bodies penalize 1 month for every missed mentor meeting. So if we normally need 30 months to graduate, if you’re behind on PER, you’ll need more than this. For example, if you haven’t done PER reports nor met your mentor for 2 years, then you missed 4 mentor meetings (twice every year for two years). You’ll be penalized 4 months. This means you will need a total of 34 months to graduate. Your best course of action is catch up as soon as possible, by writing the catch up report(s), and once you get up-to-date, finish off any remaining months from your current job.

You can see what your penalty is by accessing your online PERT tool, clicking on Consolidated Summary and running it for all your reports. This will not display properly if you haven’t submitted any reports, so you will need to wait until you’ve submitted the catch up report(s) to find out.

How to write a PER report

I’ve written tips and tricks on PER in the articles below:

• CPA PERT: Here’s MA2 Template and Example
• CPA PERT: Can you Claim Part-Time and Multiple Jobs?
• Writing CPA Canada Practical Experience Requirements (PERT) – Technicals
• 7 Tips on How to Write CPA Canada Practical Experience Requirements (PER) Experience Reports

Keep an eye on my blog posts and social media channels for more articles. For personalized support, check my CPA PER Review courses for consultation, templates, examples and tailored support with writing your CPA PER reports.

 

Preparing for Core 1 of the CPA Canada PEP program can be challenging. With the right study strategies, you can make your progress easier and more effective. By using a mix of study techniques, practicing active learning, and staying organized, you can improve your chances of passing the Core 1 exam. In this article, I’ll share helpful study tips to prepare for Core 1 and help you get set up for success on the exam day.

What does Core 1 test?

Before diving into study strategies, it’s important to understand the competencies you’ll be tested in Core 1. This module covers Financial Reporting (FR), Assurance, Tax, and Finance. Of these, FR is the biggest part of the module and the exam. Here is the exam blueprint, showing the weight of the four technical competencies assessed in the Core 1 MCQs:

At Core 1 level, the focus will be on fundamental concepts rather than advanced material. For example, in the Tax section, you won’t need to study rollovers, reorganization, or acquisition of control impact. These are too complex for Core 1. Instead, the focus will be on personal and business related tax issues, filing and payment deadlines, classifications of employees, and so on. Check out my Ultimate Guide for CPA Canada Core 1 for more details on what to review.

How exactly do you study?

There are many different study methods: 

• Active recall
• Spaced repetition
• Mind mapping
• Summarization
• Feynman technique
• PQRST (Preview, Question, Read, Summary, Test)
• PQ4R, (Preview, Question, Read, Reflect, Recite and Review)

I’ve tried most of these methods and the one that I found to be most effective is the active recall. It means to retrieve information from memory without looking at your notes. This method is effective because it forces your brain to work harder, making the learning process more active and engaging. Here are a couple of practical methods to implement active recall in CPA studies:

Quizzing: One of the best ways to apply the active recall technique is to quiz yourself. For example, after reading a chapter on audit assertions, create a list of questions based on the key concepts covered (or use the end of chapter questions) and try to answer without looking at the notes. This tests your understanding and also helps to find areas where you need to review again. 

Flashcards: Flashcards are an excellent tool for studying key definitions and concepts. Write important terms, formulas, and concepts on one side of the card, and their definitions or explanations on the other. This method allows for quick reviews and can be especially helpful for retaining complex information. Make sure to regularly shuffle the cards and quiz yourself to ensure you’re able to recall the information xx. 

How do you take notes?

Effective note taking helps with understanding and retention of important concepts. Here’s a suggested technique:

• Step 1: Read the chapter’s title, heading and subheadings. This will tell you how big is the chapter and how much space/time you need to take notes.
• Step 2: In a physical notebook or digital note taking app, create an outline using the chapter’s headings and subheadings. Leave space under each heading to add key points.
• Step 3: As you read each section, write down the main ideas in your own words under the corresponding heading. Keep it brief, focusing on key concepts. You’ll know what’s important based on highlighted keywords. For example, in the chapter below, the word “WACC” is highlighted in green. This tells us it’s important. Also the WACC formula is highlighted, this means it’s important too. The remaining paragraphs are not highlighted, so they can be less detailed or even skipped.
• Below is example of how our notes on this section would look like:
  • You’ll notice it’s brief, in bullet form, and doesn’t have filler words (like “the”, “of”, “since”). These are just visual distractions, we can skip them.
• Step 4: Color code or underline important terms, formulas, or definitions to easily spot them when reviewing later.
• Step 5: Create 1-2 sentence summary at the very end to wrap-up what you just read.
• Step 6: Periodically review your notes before the exam to refresh your memory and ensure retention.

For FR competencies, it’s helpful to prepare separate summaries for IFRS and ASPE. This lets you to clearly identify differences between the two frameworks.

Should you study alone or in a group?

When I was a CPA student, I tried both studying alone and in a group. I found studying alone worked better for me. I’ve had friends who studied in a group, or with a study buddy, and they said it helped them a lot. So it depends on your preference and whether you can find a group that matches your study style.

Studying in a group has lots of benefits. Collaborating helps to improve your understanding. One of the most effective ways to deepen your understanding is by explaining topics to others. When you communicate your thoughts, you reinforce your own knowledge and identify any gaps in your understanding. For example, discussing complex concepts like the various IFRS 15 steps with peers can help clarify details that might be confusing when studying alone. You can also quiz each other. This method encourages active recall, making it more likely that you’ll remember the information during the exam. You can incorporate a mix of question types, like MCQ, true/false, or case AOs, to cover a range of topics and difficulty levels. You can also mark each others cases and get feedback. Study groups also give motivation and accountability, helping you stay on track with your study schedule. 

Stay organized

Finally, staying organized is crucial for maximizing your study efficiency and ensuring you cover the study material effectively. One of the best ways to do this is by creating a study plan. Outline what topics you plan to cover each week leading up to your exam, breaking down larger subjects into manageable sections. Fore Core 1, the module syllabus is a good starting point to build the plan. A study plan helps you allocate enough time for all chapters, preventing last-minute cramming and reducing stress as the exam date approaches.

Also, it’s helpful to track your progress. Keeping a checklist of topics you’ve covered, or tracking of your AO grades, allows you to visualize your achievements and see what still needs attention.

Extra resources

Sign up for CPA Review courses for exam strategies, technical summary notes, mock exam cases and extra set of MCQs.

 

Writing assumptions is important for getting full marks in CPA Canada cases, specifically in the quantitative (quant) type of AOs. In this guide, you’ll learn how to write assumptions the correct way, with tips on mastering this aspect of the case writing.

Are assumptions necessary?

Assumptions are necessary whenever there are uncertainties in quants (often there are lots!). It’s rare that you’re given a quants AO where all numbers are straightforward and there are no estimates or doubts. For this reason, you should write assumptions for every quants AOs. This is even more important for PM elective and CFE. 

Day 1 Assumptions

For Day 1, you’re required to write at least 2-3 assumptions. Below is an example from a recent CFE Day 1 case. You’ll see that it requires providing financial implications or quant considerations, like assumptions, as part of the marking rubric:

Below is an example of how assumptions could be written for Day 1:

You’ll notice that:

• It’s point form
• There are only 4 bullets (3-4 assumptions is acceptable)
• Unknown and uncertainties are included
• Other considerations, such as constraint, is included

So in summary, you should always write assumptions when you’re solving quants. Keep it point form, only a few bullets, and include any other considerations that are relevant, like constraints, user preferences, company objectives.

Day 2 Assumptions

The Day 2 MA common section and role specific sections that have quants should have at least 2-3 assumptions. This includes PM role, Finance role, Tax role and even Assurance role, if there are any uncertainties in calculations.

What about CFE Day 3?

Similar to CFE Day 1, assumptions are needed in CFE Day 3 quants whenever there are unknowns or uncertainties. Although it’s not a separate MPI (minimum proficiency indicator) in the Feedback Guide, it’s required when you have calculations that have uncertainties.

Below is an example from a CFE Day 3 case Feedback Guide:

Below is how you would write assumptions for this case:

The same rules apply towards CFE Day 2 common MA AOs, PM elective, Tax elective and Core 2. Write assumptions similar to above to support your quants and ensure you get a C.

Extra resources

Sign up for CPA Review courses for Gevorg’s comprehensive training programs on quants, assumptions and case writing.

 

Solving CPA Canada cases can be confusing. In some assessment opportunities (AOs), you provide an answer based on logic and case facts, such as sources of  financing, management accounting questions, board of director issues, audit procedures, data analytics, and so on. In other AOs, you are required to reference authoritative materials, such as ASPE, IFRS, ASNPO, ITA, and CAS. For these second kind of AOs, a common concern I get from candidates I’m teaching is whether they need to cite the exact standard number and exact paragraph in the response to get competent (C) grade. In this blog, we’ll look at how to format AOs when referencing to the CPA Canada Handbook.

Do you need to give the exact paragraph?

The short answer is no, you don’t need to provide the exact ASPE or IFRS standard and paragraph in your response. Instead, you can simply refer to the criteria itself, whether it’s ASPE or IFRS or ASNPO, to support your answer effectively.

Let’s look at an example. Using CFE Day 2 case Ferguson Real Estate (FRE) as an example, for a lawsuit AO, you can see below it says: “Per the ASPE section on contingencies, a contingency exits when…”

You’ll notice it doesn’t give the exact ASPE standard numbers nor does it give the exact paragraph where the recognition criteria are found. This is acceptable. The Feedback Guide doesn’t require it either:

Needless to say, if you do give the standard number and paragraph number in your response, you won’t lose marks, you’ll just lose precious case writing time.

Why is it not required?

The main reasons for this include:

• Objective of CPA exams: The objective of CPA Canada exams is to assess your understanding of accounting principles and your ability to apply them in cases. Knowing the standards is good, but the examiners are more interested in evaluating your your ability to apply case facts and answer “so what”. This is why you won’t see specific marks identifying the section of the framework.
• Focus is on analyzing and recommending: CPA Canada exams give cases that require you to analyze problems and make recommendations. The emphasis is on your ability to apply the accounting treatment rather than memorizing standard numbers and paragraphs. 
• Time management: CPA Canada exams are intentionally time constrained, requiring you to manage your time efficiently to complete all sections. Spending time searching for specific standard numbers and paragraphs just for the sake of referencing is not smart. Instead, focus on understanding the Handbook structure.

What about Assurance and Tax referencing?

For most Tax and Assurance AOs, the same rule applies and you don’t need to reference the exact standard and paragraph numbers. However, there are some exceptions.

For example, you may get a Tax AO that requires you to reference a specific part of the Income Tax Act (ITA) to describe the type of transaction, such as Section 85 or Section 86. Below is an example where the answer references Section 86 to speak about reorganization:

This is rare, in 80-90% of Tax AOs you don’t need to reference the standard, you can simply say: “As per ITA,…”. 

Here’s another example for Assurance. To speak about the special engagements, we are expected to reference the CAS standard:

Below is the feedback guide for this AO:

Will you get C if you don’t reference these standards?

There are some exceptions in Tax and Assurance, but will you still get C if you don’t reference in these specific type of AOs? The answer yes, you’re very likely to still get a C. The reason is that the exam markers apply professional judgement to grade your papers, in addition to the solution keys. A competent marker will see that you referenced the right sections, even through you didn’t write the exact paragraph number or standard name, so they still give you the C grade. So you should focus on putting the correct criteria itself and don’t worry about putting the paragraph numbers just for the sake of referencing.

Extra resources

While it’s important to have a solid understanding of ASPE, IFRS and other standards for CPA Canada exams, you don’t need to worry about memorizing specific standard numbers and paragraphs. Focus on understanding the Handbook structure, applying criteria correctly with case facts, and communicating your case clearly and concisely. By doing so, you’ll be well-prepared to tackle any AO that comes your way, both in the exams and in your future career as a CPA

If you want CPA Canada exam tutoring, sign up for CPA Review courses for Gevorg’s comprehensive preparation package.