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The CPA Canada Profession Education Program (PEP) Syllabus (formerly Survival Guides) provide a summary of readings every week for each PEP module. The readings are divided into 8 study units which match the 8-week duration of the program. I suggest to download and print them before your module starts, so that you complete your readings in advance.

Here are the steps to download the PEP syllabus for any module:

Step 1: Access CRC (Certification Resource Centre)

Go to CPA Canada’s certification resource center: https://www.cpacanada.ca/en/become-a-cpa/certification-resource-centre/resources-for-cpa-pep

Step 2: Scroll down to the middle of the page

Scroll down to the middle of the page, you’ll see the 6 PEP modules, each with the corresponding syllabus:

• Core 1
• Core 2
• Assurance
• Finance
• PM
• Taxation

Click to download for each module.

Step 3: Review

Once you download the PDF, you’ll see the readings organized per study unit. Begin your studies by going through the chapters, starting from Unit 1.

Chapters in the syllabus refer to the CPA Canada Learning Library (eBooks), which replaced the Knotia eBook in 2023. Each chapter includes a snapshot, written instruction, examples, e-lessons on select technical topics, summary problems, and practice multiple-choice questions (MCQs).

CPA Canada’s Day 1 CFE requires a very different approach than the remaining two CFE days. The layout of the case is based on your Capstone 1 case, with little technical criteria application. Before even starting to assess the strategic issues, you’ll be required to complete a Situational Analysis Framework. Most candidates find difficulty in understanding the detail requirements to completing the situational analysis. Below is a guide to clarify the depth needed when starting your CFE Day 1 response.

Day 1 Situational Analysis

A major component to being successful on Day 1 is to have a strong situational analysis in your answer. You should follow the below format:

• Identify the mission, vision, values of the company and if / how each has changed from Capstone 1.
• Identify any key success factors (KSFs) of the company (typically 4 to 5 is a good rule of thumb).
• Outline any goals and objectives of the company or key stakeholders.
• Identify any constraints (i.e. financial or other) and covenants the company has to comply with.
• Complete an updated external / internal analysis in the form of SWOT analysis (making sure analysis is well-rounded).
• Perform a financial assessment, including a ratio analysis, call out of key financial items and/or YoY financial (i.e. profitability) changes.

You don’t need to memorize the entire Capstone 1 case, but the above key areas need to be studied well because you’ll use them in your CFE Day 1 answer.

Details of Situational Analysis 

The situational analysis itself should not take more than 20 minutes, but you do want to complete it fully, because you’ll be linking each of your issues back to the points from it throughout the remainder of the exam.

Most components of the situational analysis can be written in point form. For example, listing the KSF as they appear in the case with no additional explanation is fine. You will notice in the below example of KSF, the points are not explained further with implications, but just written in point form.

As you link back (“integrate”) to some of these points in your strategic issues, they would then be elaborated further with implications.

What about SWOT?

I don’t recommend to explain SWOT. You should write short point form case facts, such as the example below.

 

Conclusion

Situational analysis is required to successfully pass Day 1 of the CFE, however you don’t need to explain it. 

Summary:

Day 1 SA section	How to format
Mission, vision, values	Point form, don’t explain
KSFs	Point form, don’t explain
Goals/objectives	Point form, don’t explain
Constraints	Point form, don’t explain
SWOT	Point form, don’t explain
Financial assessment	Explain briefly

Extra Resources

Day 1 pass rates have been falling in the recent CFEs. To help students succeed, I provide templates, extra practice cases, exercises, and live classes to master and pass CFE Day 1. Extra resources are available at the CFE Review.

 

After you’ve passed both Core 1 and Core 2, you’ll be at the point in your CPA Canada PEP journey where you have to choose your first elective. There is no right or wrong on which elective to take, but depending on your strengths, weaknesses, desired CFE role and career goals, you may choose one elective over the other.

While there are several pros and cons to each elective, having just finished Core 2, there are several advantages to taking Performance Management (PM) as your next elective. Here’s why.

PM has similar quants (calculations)

Both Core 2 and PM blueprints focus on Management Accounting (MA), Strategy and Finance competencies. You can smoothly transition your knowledge and studying techniques from Core 2 to PM because most of PM’s technicals are like Core 2 and still fresh in your mind. 

For example, here’s the exam blueprint for Core 2:

And here’s the exam blueprint for PM:

You can see that MA, Strategy and Finance are the key competencies in both.  (Note: You’ll notice above that Finance is not tested in PM’s objective-format portion (MCQs). This is misleading because MCQs are a small part of the PM exam while Finance plays a big role of the case portion. Ensure you study Finance well for the PM exam.)

Some common calculations (quants) that show up both in Core 2 and PM include:

• CVP (break-even, contribution margin analysis)
• Product mix
• Variance analysis (price, usage/quantity)
• Sensitivity analysis
• Sourcing (inhouse, outsource)
• Constraints (scarce resources)
• Relevant costing
• Activity-based costing (ABC)
• Transfer pricing (TP)
• NPV and IRR
• Ratio analysis (profitability, liquidity, efficiency)
• Valuations
• Payback period

The biggest challenge with quants for candidates is being able to identify the most appropriate analysis (“quants tool”) to choose when answering an AO. This is a skill you would have developed and strengthened during Core 2 that will help contribute to success in PM with a similar calculation structure. The MA Templates toolkit will help you refine and master these calculations.

PM has similar qual

PM and Core 2 have qualitative components on similar subject matters. While studying for Core 2, you would not have studied much Financial Reporting (FR), Assurance, or Tax criteria. Because of this, taking a different elective would require you to shift focus and start reviewing these topics again from scratch. For example, if you take PM and Assurance as your electives, and you take Assurance right after Core 2, it will require you to re-learn Assurance and FR concepts you’ve already forgotten from Core 1.

Additionally, Strategy & Governance takes up about 50% of the PM exam. Using the approach of being concise and specific with explanations, as well as integrating case facts, is critical for getting C in PM qual. This is a skill you would be familiar with from Core 2. You would also be in the habit of being “big-picture” focused, in aligning the company’s values or user objectives to the overall strategy. This is again prevalent in PM.

Managing your time effectively while balancing various quant and qual analyses was critical during your Core 2 studying. This time management skill is equally important during the PM exam and will make transitioning your study techniques efficient and give you an advantage when prepping as well.

Some common qualitative assessments (qual) between Core 2 and PM include:

• Integrating mission, vision and values (M/V/V)
• Addressing strategic decision making (use of SWOT, Porter’s 5 Forces, PESTEL)
• Responsibility centers (evaluating performance)
• Decision pros vs cons (outsourcing, capital investment, acquisition)
• Pricing strategies (demand-based, cost-based, bundling)
• Risk management (using RIM format)
• Governance structure (i.e. evaluating current board of director’s structure and provide recommendations using WIR format)
• Balanced Scorecards (BSC)
• KPIs
• Financing Sources

The Core 2 and PM supplemental practice cases and MCQs provide good practice on above concepts.

Extra resources

Because much of what you have learned and successfully demonstrated in Core 2 is necessary for being successful in PM, I suggest to take PM directly after Core 2 for a seamless study transition. From both qualitative and quantitative perspective, there are several overlaps in subject material that you will already have an understanding on that could be tested again in PM. This will also advance your knowledge in key concepts that will be tested during Capstone 1 and Day 1 of the CFE. Extra study resources can be found in the Core 2 and PM Review courses.

 

With increased focus on big data and emerging technologies in our day-to-day lives and professional careers, CPA Canada has placed more focus on Information Technology (IT) and Data Analytics and Information Systems (DAIS) in the competency map. Despite previous inclusion on the CPA Competency Map, many resources like the E-Book, weekly practice cases (PCs) and integrated problems (IPs) have not explained DAIS sufficiently. This article will help you prepare for DAIS issues in the CPA Canada PEP and CFE exams.

Data Analytics and Information Systems (DAIS) topics

Though DAIS affects all competencies, Management Accounting (MA) is the most commonly tested area. The following sections have been added to the MA competency regarding information and decision making:

• Data visualization of financial and nonfinancial data
• Dashboards, graphs, tables report design
• Communication of information for quality decision making
• Framing information recognizing uncertainty
• What is the value of information in the decision-making process?
• Transformation of data to decision relevant information
• Creation of intellectual property and knowledge development
• Ethical use of information
• Dimensions of information quality – relevance, ease of use, integrity, timeliness
• Types of data and their attributes (nature, sources, format, timing, extent and level of aggregation)
• Professional skepticism regarding data
• Information quality and the impact of processing models
• Data cleansing
• Data structure and standards
• Data extraction and import
• Data life cycle

I don’t suggest spending the time to study above concepts. They may come as MCQs in PEP exams, but you’ll be able to find the right answer through logical thinking. Instead, study data visualization, because this is the most commonly tested DAIS topic on the cases and CFE.

Data visualization (charts)

Using the CFE September 2021 Day 2 FFTY case and solution, let’s walk through an example of how data visualization (charts) DAIS can be tested on a case. I will walk through the first three charts. (Note: If you don’t know how to approach CFE level cases, follow the steps below as I break down the case and the solution).

Step 1: Required

On page 15 of the case, under the Excerpts from the management committee meeting appendix, it’s indicated that they would like you to analyze the data (charts and graphs) provided in Appendix VI and provide any recommendations for improving operating profits.

In the background information (page 3 and 9), we are told that FFTY is a grocery store chain specializing in locally-produced, farm fresh foods. FFTY produced three types of products:

• 1) Freshly prepared hot and cold food
• 2) Non-perishables (eg. canned and dry goods)
• 3) Perishables (eg. fruit, vegetables, dairy and meat)

Step 2: Analysis

We see the charts in Appendix VI (page 18) and our task is to analyze the charts and provide a recommendation.

First set of charts are seasonal trends. We see that the perishable “Cost of goods sold” line is higher than the revenue line for the months of December to February. We also see that the COGS are not a straight-line.

To analyze the chart, we’ll follow the steps below:

• (1) We write what’s the issue that the chart reveals (ie, perishable items are being sold at a loss during winter)
• (2) We explain the results (ie, we assess why this may be occurring. For example, it may be harder to get organic perishable items during the winter months due to lack of access. We also state the impact. We discuss what the results mean for the company. For example, because the revenue is not enough to cover the costs, perishable items are generating a loss for FFTY during these months. It’s important to integrate case facts to achieve depth. On page 9 on the case, it says that “FFTY tries to keep prices for most items stable throughout the year”. This is contributing to the losses as the price remains constant during the periods when costs are higher.
• (3) We provide a recommendation (the case says that “customers are willing to pay a premium for locally produced, whole foods” (Page 9), so customers are less price sensitive. We can suggest FFTY to increase the pricing of perishable items during the winter months.)

In summary, we’ll write in our analysis that perishable items are being sold at a loss, since COGS during winter months is higher than the revenue. This could be due to lack of access to organic perishable items and selling prices not being adjusted to cover the cost increase.

For non-perishables, we see that there’s decrease in non-perishable revenue during the summer months (July to September). Comparing with the earlier chart, we see increase in perishable revenue during the same time period.

We’ll write that there’s a decrease in non-perishable revenue during July to September months. This could be due to customers substituting non-perishable items with perishable ones during the summer.

The next seasonal trend is for freshly prepared hot and cold foods. We see that freshly prepared foods revenue is lower in the summer months.

We’ll write that freshly prepared foods revenue is lower in the summer months. This could be due to customers being away or having more time to cook their own food than purchase prepared food during those months. FFTY does not currently have seating areas for people to eat prepared foods, which could explain why the revenues are down.

Step 3: Assumptions

In addition to analyzing the charts, we’re also required to discuss data limitation and reliability of the charts. This is needed for C.

Always consider that you may not have access to the entire data set and must acknowledge that there can be gaps or unreliable information provided. To assess this, you will want to consider and discuss the following items:

• When (i.e. year) the data was provided: Have there been significant changes since? In the case of FFTY, the data is from 2019 but the company saw growth and franchise expansion in 2020.
• The source of the data: Who is providing the information? Do they have a bias? What systems is the data coming from?

Template for DAIS

Format your answer with IER + WIR.

• IER means: Issue, Explanation (interpretation + implication + impact), Recommendation.
• WIR means: Weakness, Implication, Recommendation.

You must write both (IER and WIR) to get a C.

In IER, we analyze the chart. We write what’s the issue based on the chart, explain (interpretation, implication, impact and relevance to the company), and give recommendation (specific, clear recommendation on what action to take).

In WIR, we discusses reliability of the charts. We discuss the weakness, implication, and recommendation.

Sample answer

Here’s a sample answer to the first three charts in this case:

Chart #1: Perishables:

• Issue: Throughout the year, perishable are providing a reasonable gross margin. During the winter months (December to February), perishable items are being sold at a loss, since COGS during those months is higher than revenue.
• Explanation: This could be due to lack of access to organic perishable items and selling prices not being adjusted to cover the cost increase.
• Recommendation: Given that FFTY’s customers are willing to pay premium for locally sourced foods (ie, less price sensitive), FFTY should increase the pricing of perishable items during the winter months to cover the increase in costs.

Chart #2: Non-perishables:

• Issue: There’s increase in perishable revenue during the summer months (July to September) and decrease in non-perishable revenue during the same period.
• Explanation: FFTY tries to keep prices stable, the increase in perishable revenue is likely due to increased volume of sales. Given that customers are likely substituting non-perishable items with perishable ones during the summer, this appears reasonable.
• Recommendation: FFTY could attempt to keep non-perishable revenue high during the summer months by offering a small discount on non-perishable items that pair well with perishable items.

Chart #3: Freshly prepared hot and cold foods

• Issue: Freshly prepared foods revenue is lower in the summer months.
• Explanation: This could be due to customers being away or having more time to cook their own food than purchase prepared food during those months. FFTY does not currently have seating areas for people to eat prepared foods, which could explain why the revenues are down.
• Recommendation: Add seating areas which may help increase revenue during the summer months since there may be a group of customers who will purchase freshly prepared food to eat at FFTY.

Assumptions:

Below, I’ll discuss reliability and gaps in the information provided.

• Weakness: Jim has used financial data only from 20X0, not 20X1.
• Implication: There are some changes in 20X1, such as company growth and new franchisees, that could cause 20X0 not to be representative of 20X1 or of future years.
• Recommendation: Use more recent data to get better analysis. 
• Weakness: Jim used only two sources of data: the accounting system and the spoilage spreadsheet.
• Implication: Data could be incomplete and not include all relevant information (eg popularity of certain brands or whether discounts are being used). This could result in poor decisions or inappropriate recommendations.
• Recommendation: Seek additional sources of information (eg information in POS system should have useful data, such as which products are more popular and when products are being purchased). This would provide useful information for FFTY’s operational plans.
• Weakness: Jim has used internal sources of information only.
• Implication: Data could be incomplete, as external sources (eg industry statistics) are valuable in helping to interpret results.
• Recommendation: Use industry statistics. They can be used to understand if FFTY is making good decisions (eg is FFTY’s strategy of keeping prices stable throughout the year different/same as its competitors).

(Note: For this AO, 3 IER and 3 WIR items were enough to get C. To be able to answer this AO, you needed to know the rest of the case and key case facts. Notice that I’m keeping the “issue” and “weakness” lines short; most of the marks are in the “explanation” and “recommendation”, you should focus on these. Though I wrote in bullet form, using two tables is better.)

Extra resources

CPA Canada will continue to test more DAIS in PEP and CFE exams, as the importance of analyzing data and innovating processes continues to emerge. To get extra resources on DAIS, check out my PEP and CFE courses.

 

In preparing for Day 1 of the CPA Canada CFE, it’s important to understand that Day 1 is a continuation of the Capstone 1 case. Similar to Capstone 1, Day 1 will test your ability to problem solve, make decisions and communicate recommendations. Because Day 1 is so different from the other CFE days, candidates often wonder how much of the original Capstone 1 case to read and remember, what parts of Capstone 1 repeat in Day 1, and what parts can be ignored.

Capstone 1 vs. CFE Day 1

CFE Day 1 picks up where Capstone 1 left off. Day 1 is the same company as you had in Capstone 1, only several years in the future (for example, 5 years after Capstone 1). What this means is that you will be working with the same industry, same business and same key stakeholders. For this reason, I highly recommend that you study in-depth the Capstone 1 case to familiarize yourself with key concepts.

If you’re a PEP student taking Capstone 1, you will get the case and read it as part of the module. If you’re an internationally trained accountant, I don’t recommend taking Capstone 1, instead download the case from CPA Canada’s website and study it.

Day 1 differences

The Day 1 case will go over which strategic options from Capstone 1 the company decided to pursue, environmental changes, new options, new financing, a big picture issue and operating issues. For this reason, you do not need to memorize how the Capstone 1 strategic options were assessed and concluded as a group. What is important to keep in mind is that you will have to use a similar approach in assessing this new Day 1 case, which is following the CPA Way, including qualitative and quantitative assessments for each new option, and overall conclusion.

Capstone 1 concepts to memorize

While you will be primarily using new information for the Day 1 version , it’s important to study and remember key concepts from Capstone 1, as some will be applicable.

Below list provides key areas you should remember from your Capstone 1 case. The Capstone 1 case is extremely lengthy, therefore, I recommend to outline key pages for your reference.

• Mission / Vision / Values – You will be required to compare the Capstone 1 M/V/V to that provided in the Day 1 and comment on any changes or additions.
• Users / Key Stakeholders – Important to understand the needs of each.
• Key Success Factors (KSF) – You will be required to list them in Day 1. There are usually no changes to KSF in Day 1, so you can list them as they were in Capstone 1.
• Internal & External assessment (SWOT) – Remember some of them and list in Day 1. In Day 1, I suggest putting 80% of SWOT from the new Day 1 case and 20% from the original Cap 1.
• Objectives / Goals / Targets – New goals will be stated but important to keep prior ones in mind.
• Financing – Remember key ratios, bank covenants, and interest rates from Cap 1 so that you can compare with those in Day 1.
• Constraints / Big picture – New constraints will be presented.

Additionally, you should make note of key industry and company information. For example, number of products sold, locations, branches, key competitors and so on.

You can download an example of my Capstone 1 summary here to understand how to best summarize the Capstone 1 case.

Conclusion

It’s very important to study the Capstone 1 case prior to Day 1 of the CFE. As part of my CFE exam preparation program, you can use my Cap 1 summary notes to study what’s relevant from Capstone 1. Reviewing these notes prior to Capstone 2 will also make it easier to tackle Capstone 2’s Day 1 practice cases.

 

Core 1 covers Financial Reporting (FR), Assurance, Tax and Finance competency areas. I’ve written about Assurance, Tax and Finance common topics in other posts, I’ll cover the FR topics here.

Common FR topics to know for Core 1

Here are some of the common FR topics you should know for Core 1:

• Revenue recognition
• Lease accounting
• Inventories
• Property, plant and equipment (PPE)
• Intangible assets
• Tangible asset Impairment
• Provisions, contingent liabilities
• Non-monetary transactions (NMT)
• Related party transactions
• Government assistance
• Subsequent events
• Financial instruments (FI)
• Decommissioning provision
• Non-current assets held for sale
• Accounting for income taxes
• Business combinations
• Investment in Associates
• Foreign currency

All FR topics that can be tested

The above is a condensed list of frequently tested topics. The full list of FR topics that you can be tested on are listed in the CPA Canada Competency Map.

 

 

 

 

 

 

 

Get Help with Passing Core 1

Sign up for the Core 1 Review program to get extra practice cases, study plan, engaging video lessons and personalized coaching with me.

 

Before starting Core 1, it’s useful to review topics that are going to be taught and tested in this CPA module.

Core 1 covers Financial Reporting (FR), Assurance, Tax and Finance competency areas. I’ve written about FR, Tax and Finance topics in other posts, I’ll cover the Assurance topics here.

Common Assurance topics to know for Core 1

Here are some of the common Assurance topics you should know for Core 1:

• Audit planning memo (Risk, Approach, Materiality, Procedures)
• Assertions
• Audit evidence
• Analytical procedures
• Special engagements
• Reviews
• Compilations
• Control deficiencies

All Assurance topics that can be tested

The above is a condensed list of frequently tested topics. The full list of Assurance topics that you can be tested on are listed in the CPA Canada Competency Map.

 

 

 

 

 

 

 

Get Help with Passing Core 1

Sign up for the Core 1 Review program to get extra practice cases, study plan, engaging video lessons and personalized coaching with me.

 

CPA Canada allows candidates to attempt the CFE three times. At each unsuccessful attempt, candidates can appeal and ask for re-marking. After three unsuccessful attempts and remarkings, candidates will automatically be de-registered from the CPA PEP program. If you’re in this situation, here are some options to consider.

1. Request 4th Attempt at the CFE.

Officially, you have three attempts at the CFE. However, it’s possible to write it for the 4th time. Candidates can present a letter to CPA Canada asking for a 4th attempt.  To be successful in this request, you must have a situating that was extraordinary, outside of your control and well documented. 

I have consulted candidates and successfully got them the 4th attempt. 

Update 2025: Due to popular demand, I now offer a dedicated mini-course to help you prepare a strong 4th attempt case and PER extension requests. Click on the image below to learn more:

2. Wait until 2027

As you may know, PEP and CFE are being changed from 2027. The new CPA certification program will not have Core 1/2, electives, MCQs, nor CFE. It will not focus on technicals, but rather on case writing and decision making. At the time of writing this article, we don’t have official details on the new program structure, however you can choose to wait until 2027 and register into the new program.

3. Take the U.S. CPA.

To take the US CPA exams, you don’t have to be a US citizen or go to the US. You can apply online and study from Canada. US CPA costs less than the Canadian CPA and there are only MCQs and short-form answers in the exam. I wrote a detailed post comparing both designations here.

4. Get ACCA

Becoming ACCA is another good alternative. ACCA stands for Association of Chartered Certified Accountants, it’s a globally recognized designation with strong recognition in the UK, Asia, Europe, and it’s highly valued in Canada too. Canadians can enroll in the ACCA program without leaving Canada, study online, and write the exams in designated exam centers. 

5. Pursue the CFA designation.

CFA (Chartered Financial Analyst) is a good certification if you want to grow in Financial Planning and Analysis (FP&A) role. You can expect the same salary as a controller / director who’s a CPA. Read more about the CFA program here.

6. Pursue Masters in Accounting degree.

The Masters in Accounting (MAcc) program will teach you the same technical competencies as PEP and give you post-grad certification. Some employers consider MAcc to be equivalent to CPA. You can read more about MAcc program here. 

8. Become a Registered Professional Accountant (RPA)

Based in Ontario, the Registered Professional Accountant (RPA) designation lets members practice accounting services, including tax and compilations (CSRS 4200). 

9. Focus on your career.

I have worked with several managers in the finance/accounting departments who did not have CPA or other certifications. Instead, they had extensive work experience and great networking skills. Employers tend to look closer at what companies applicants worked for, not their education.

Conclusion

There are many viable alternatives to the CPA. Step back and assess your professional goals. If pursuing CPA was for growth and a high salary, consider other designations or careers. Don’t give up and stay motivated.

If you’re considering a 4th attempt or need help with next steps, enroll in my new 4th Attempt & CPA Extensions course to learn more.

 

When writing CPA Canada PEP and CFE exams, planning your approach and AO times in an outline is a key component of passing. With the option to do the outline on paper vs. computer, many candidates question which approach is better. Check out the below considerations when deciding which method is best for you!

Paper Outline

Pros:

• Outline will always be in front of you. You don’t need to spend time scrolling up and down to check your plan. This will help you better stick to your allocated time and ensure you are answering the AOs fully.
• You have more flexibility in positioning and formatting the outline in the way you want. You can draw arrows, highlight, and circle key items on your outline easily. Computer outlines don’t provide the same flexibility.
• You can easily cross off and markup AOs from your plan as you complete them. This will help you keep track of how many AOs you have left to complete and any that you need to return to. For example, you can put a “?” sign next to AOs you did not fully complete to remind yourself to return to them. In an electronic outline, the same question mark may get lost in the paragraphs of text.
• You can easily highlight and match AOs with key background information and appendices directly, instead of relying on a summary (which could take more time to write/type out). For example, you can highlight in blue color an AO in the narrative. When you see case facts related to the same AO in appendices, you can highlight with the same blue color to keep track of the information. 

Cons:

• Paper outline is more time consuming as handwriting takes longer than typing. This is valuable time taken away from preparing your answer.
• There is a risk you may not be able to read your handwriting (if your handwriting is as bad as mine), or your outline could get smudged if you erase or rub it. This may cause you to miss out on critical points for your analysis. Electronic outlines don’t have the same problems.
• Per CPA Canada exam rules, you can’t use a pen or mechanical pencil for the PEP and CFE exams. This will cause your writing to be messier as HB pencils are not as sharp.

Electronic (computer) Outline

Pros:

• Allows you to prepare your answer faster, since you don’t have to re-write items from the paper outline to the computer once you’ve completed it. You can easily copy and paste items from your outline to your answer, or convert your outline into your final answer.
• There is flexibility in re-ordering your electronic outline as you can easily change the ordering of AOs by cutting and pasting them to their new positions. You can also leave blank space between AOs in your outline so detail can be filled in as you read the case and gather more / new information. Paper outline doesn’t give the same flexibility because there is limited space.
• You can create a time budget in Excel faster than on paper (see example here).
• If you run out of time, you at least have something on your computer already to build your answer from, such as the key issue and critical case facts. You may get RC for this if you have enough relevant content.
• You can build the structure of your response around your outline and less time is needed to restate the issue statements. This provides a smooth transition to typing out your answers.
• There is reduced risk of missing a required that you forgot to transcribe from paper to your computer, assuming your computer outline is well organized.
• Saves you time from flipping between case papers and outline to capture all the requireds.

Cons:

• For long cases, you will have to scroll up and down from section to section to stick to your plan. This takes time and may cause you to lose track of AOs. To solve this, I recommend students to create their outline as a “skeleton” (by using templates) and convert it into their final answer. This is better than typing your entire outline at the top of the memo and copying below as your answer AOs.
• You must capture all AOs and key case facts by typing them out. This will be more time consuming for long cases that have extensive detail, or if your typing speed is slow. The recommended minimum typing speed for CPA Canada exams is 40-45 WPM. You can check your typing speed here.
• Typing out has shown to be less effective for remembering and interpreting information than writing them out by hand. 

Conclusion

I recommend electronic outline for most candidates due to its speed, flexibility and ability to convert your outline into your final answer. To be successful with electronic outlines, you must have good organization skills and efficient case writing. In my interviews with Honour Roll students, I found some students prefer paper outlines while others prefer computer outlines. Ultimately it’s not the method that defines your exam success, but your approach, organization and practice.

Regardless of the method chosen, you should be practicing your outlining skills on each case you write. Try attempting both methods and determine which one is most effective and efficient for you. I show examples of both outlines and explain how to outline like Honour Roll students in my PEP and CFE success courses.

 

When preparing electronic outlines for CPA Canada PEP and CFE cases, many writers question whether this can be left in their memo or should it be deleted before submission.

The answer is YES, you can leave it, the markers are not concerned with having outline left in the memo. However, you must make it clear it’s only an outline. Here’s how to do that!

Step 1: Label your outline

I suggest putting a short “Outline” header at the top to make it clear. This includes both Word and Excel documents. For Word, simply write “Outline” at the top. For Excel, you may be using it to track the timing on AOs; make sure this is labeled as “time budget”, “tracker” or “outline” so that it’s not confused with an Exhibit.

Step 2: Keep it brief

Don’t make your outline very detailed, it’ll take valuable time and this could confuse the marker into thinking this is the final response. Your outline should briefly state the business information, users, requireds, any relevant appendices you need to refer back to from the case, a timeline, and for Excel the priority in which you will answer AOs and the time you are allotting for each. Outline should not contain technical criteria, attempt an analysis, or conclusion. Instead, keep it brief and save your longer write-up for the memo.

Step 3: Put outline at the start

It should be clear to the marker when your outline ends and when your memo begins. Some writers may choose to start the memo in a fresh new page, but this is not necessary.

What all writers need to do is put a header after the outline, to signal to the marker that the memo starts from that point onwards. The header should address who the memo is written to (user names), from (always “CPA”), what the memo is regarding (via a subject line; name of the company), and optionally the date the memo is written. Writing an introduction paragraph in CPA cases is not necessary; once you put the header, start solving AOs.

Conclusion

Markers will not penalize writers for keeping an electronic outline in your Word document. As long as you are keeping your outline and memo response distinct to avoid any marker confusion, you do not need to spend any additional time deleting your outline at the end of the exam. Having the outline there is a great reference to you to help you avoid flipping back and forth between hard copy case papers to track all the case facts.