Whittington - Wiley CPAexcel Exam Review 2015 Study Guide July: Business Environment and Concepts

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Passing the CPA exam upon your first attempt is possible! The Wiley CPAexcel Exam Review 2015 Study Guide July: Business Environment and Concepts preparation materials provide you with the necessary materials (visit our website at www.wiley.com/cpa for more information). It's up to you to add the hard work and commitment. Together we can beat the pass rate on each section of about 50%. All Wiley CPAexcel products are continuously updated to provide you with the most comprehensive and complete knowledge base. Choose your products from the Wiley preparation materials and you can proceed confidently. You can select support materials that are exam-based and user-friendly. You can select products that will help you pass!

Remaining current is one of the keys to examination success. Here is a list of what's new in this edition of the Wiley CPAexcel Exam Review 2015 Study Guide July: Business Environment and Concepts text.

• The new AICPA Content Specification Outlines on Business Environment and Concepts for the Computerized CPA Examination beginning in 2014
• New task-based simulations involving communication
• AICPA questions released in 2015

The objective of this work is to provide you with the knowledge to pass the Business Environment and Concepts portion of the Uniform Certified Public Accounting (CPA) Exam. The text is divided up into eight areas of study called modules. Each module contains written text with discussion, examples, and demonstrations of the key exam concepts. Following each text area, actual American Institute of Certified Public Accountants (AICPA) unofficial questions and answers are presented to test your knowledge. We are indebted to the AICPA for permission to reproduce and adapt examination materials from past examinations. Author-constructed questions are provided for new areas or areas that require updating. All author constructed questions are modeled after AICPA question formats. The multiple-choice questions are grouped into topical areas, giving candidates a chance to assess their areas of strength and weakness. Selection and inclusion of topical content is based upon current AICPA Content Specification Outlines. Only testable topics are presented. If the CPA exam does not test it, this text does not present it.

The CPA exam is one of the toughest exams you will ever take. It will not be easy. But if you follow our guidelines and focus on your goal, you will be thrilled with what you can accomplish.

Ray Whittington
July 2015

Ray Whittington, PhD, CPA, CMA, CIA, is the dean of the Driehaus College of Business at DePaul University. Prior to joining the faculty at DePaul, Professor Whittington was the Director of Accountancy at San Diego State University. From 1989 through 1991, he was the Director of Auditing Research for the American Institute of Certified Public Accountants (AICPA), and he previously was on the audit staff of KPMG. He previously served as a member of the Auditing Standards Board of the AICPA and as a member of the Accounting and Review Services Committee and the Board of Regents of the Institute of Internal Auditors. Professor Whittington has published numerous textbooks, articles, monographs, and continuing education courses.

Kurt Pany, PhD, CPA, is a Professor of Accounting at Arizona State University. His basic and advanced auditing courses provided the basis on which he received the Arizona Society of CPAs' Excellence in Teaching Award and an Arizona CPA Foundation Award for Innovation in the Classroom for the integration of computer and professional ethics applications. His professional experience includes serving for four years on the AICPA's Auditing Standards Board, serving as an academic fellow in the Auditing Division of the AICPA, and, prior to entering academe, working as a staff auditor for Deloitte and Touche.

To maximize the efficiency of your review program, begin by studying (not merely reading) Chapters 1 through 5 of this volume. They have been carefully organized and written to provide you with important information to assist you in successfully completing the Business Environment and Concepts (BEC) section of the CPA exam. Beyond providing a comprehensive outline to help you organize the material tested on the BEC exam, these chapters will assist you in organizing a study program to prepare for the exam. Self-discipline is essential.