AUD CPA Exam

To help you prepare for the AUD exam, let’s review how to pass AUD on your first try and go over exam structure, content, questions, scoring, and more.

• AUD stands for Auditing and Attestation.
• The AUD exam covers 4 main content areas: ethics and professional responsibilities, assessing risk and developing a planned response, performing audit procedures and obtaining evidence, and forming conclusions and reporting.
• The AUD CPA Exam is 4 hours long.
• There are 78 multiple-choice questions and 7 task-based simulations on the AUD exam.
• AUD is the only CPA Exam section that tests candidates’ evaluation skill level.
• The AUD CPA Exam pass rate is around 50%.

Stacie Tellers, CPA, studied for the AUD exam using UWorld CPA and passed on her first try!

Stacie says, “Passed Audit! Can you PLEASE let Jeanne (Prof. Yamamura) know that I passed my AUD exam with an 84 on the first try?!?! Her live class last session was the reason why I passed. Thank you for offering these live classes.”

If you integrate the following tips into your AUD study plan, you are well on your way to passing.

There are 4 main content areas tested on the AUD exam and each subject is tested to varying degrees. The first area tests a candidate’s understanding of professional ethics and responsibilities and the AICPA Code of Professional Conduct, and the other three areas test a candidate’s ability to perform auditing procedures, attestation engagements, and accounting services and review service engagements.

Ethics, Professional Responsibilities, and General Principles

Ethics, Professional Responsibilities, and General Principles make up 15-25% of the AUD exam. According to the CPA Exam Blueprint, this area will test:

• Ethics, Independence and Professional Responsibilities
• Professional Skepticism and Professional Judgment
• Nature and Scope
• Terms of Engagement
• Requirements for Engagement Documentation
• Communication with Management and Those Charged with Governance
• Audit and Assurance Quality

Assessing Risk and Developing a Planned Response

Assessing Risk and Developing a Planned Response makes up 25-35% of the AUD exam. According to the CPA Blueprint, this area will test:

• Planning an Engagement
• Understanding an Entity and Its Environment
• Understanding an Entity’s Control Environment and Business Processes, Including Information Technology (It) Systems
• Materiality
• Assessing and Responding to Risks of Material Misstatement, Whether Due to Fraud or Error
• Planning for and Using the Work of Others
• Specific Areas of Engagement Risk

Performing Further Procedures and Obtaining Evidence

Performing Further Procedures and Obtaining Evidence makes up 30-40% of the AUD exam. According to the CPA Blueprint, this area will test:

• Use of Data and Information
• Sufficient Appropriate Evidence
• Sampling Techniques
• Procedures to Obtain Sufficient Appropriate Evidence
• Specific Matters that Require Special Consideration
• Misstatements and Internal Control Deficiencies
• Written Representations
• Subsequent Events and Subsequently Discovered Facts

Forming Conclusions and Reporting

Forming Conclusions and Reporting makes up 10-20% of the AUD exam. According to the CPA Blueprint, this area will test:

• Reports on Auditing Engagements
• Reports on Attestation Engagements
• Accounting and Review Service Engagements
• Reporting on Compliance
• Other Reporting Considerations

The Audit CPA exam format divides the exam questions into 5 testlets—2 MCQ testlets and 3 TBS testlets.

• Testlet 1: 39 MCQs
• Testlet 2: 39 MCQs
• Testlet 3: 2 TBS
• Testlet 4: 3 TBS
• Testlet 5: 2 TBS

Before the fourth testlet, you get a 15-minute break that does not count towards your 4 hours of total testing time.

AUD is a 4-hour exam that is divided into 5 testlets (same as FAR, REG and the discipline sections). In order to prepare to get through the whole exam in 4 hours, you should practice time management on specific types of questions and also per testlet.

A good way to practice time management is to time yourself on practice questions and free practice exams to see where you might need to pick up the pace.

There are 78 MCQs and 8 TBSs on the CPA AUD exam that you will need to get through within the allotted time. If you give yourself 45 minutes for each of the first two testlets (with 39 MCQs each), 35 minutes for the third testlet (with 2 TBSs), and 55 minutes for the last two testlets, you will get through the exam with 5 minutes to spare.

Make sure to practice timing yourself and add or subtract time to your plan based on how quickly you get through the different question types.

AUD, like every other section of the CPA Exam, has a possible score of 0 to 99. The minimum passing score is 75.

CPA Exam scores are not curved, and your score is not based on a percentage of correct answers. Instead, it is based on a weighted combination of your score on different types of questions.

For the AUD exam, 78 MCQs are weighted to make up 50% of your final score and 7 TBSs are weighted to make up the other 50%.

AUD Exam Scoring by Question Type

The CPA AUD exam tests different skill levels with the MCQ and TBS questions, and AUD is the only CPA Exam that tests a candidate’s evaluation skill level.

AUD CPA Exam Testing by Skill

AUD has 78 MCQs split into two different testlets. These are the first two testlets on the exam, and they have 39 MCQs each. These 78 MCQs make up 50% of your final score on the AUD exam.

For MCQs, you will be given a question in the form of a sentence or a few sentences, and you will need to choose the correct answer out of four preselected answer options.

For AUD MCQs specifically, make sure to read questions carefully and pay attention to details because some concepts closely resemble others and a single word in the question or in an answer choice can make a difference.

There are 7 TBS questions on the AUD exam and they are split up into 3 different testlets. Testlet #3 contains 2 TBSs, while testlets #4 and #5 each have 3 and 2 TBSs, respectively. These 7 TBS make up 50% of your final score on the AUD exam.

TBSs will require you to enter a numeric response as well as select an answer. Answer formats vary and can include fill-in-the-blank, matching, research, or journal entries.

TBSs provide a real-world scenario that you will have to provide a response to, usually in multiple parts. Partial credit is available on TBSs, so make sure to answer each part of the question, even if you are unsure.

Have you worked as an auditor or did you recently study auditing in school? The answer to this question will help you decide when to take the AUD exam.

AUD has the second lowest pass rate (the lowest is FAR), likely because many CPA candidates do not have a background in auditing. If you are one of those candidates who is not overly familiar with auditing, you will likely want to take FAR first to take advantage of any overlapping financial accounting content. If you do have auditing experience and feel confident in your knowledge, take AUD first for a strong start.

Over the past few years, the average pass rate for the AUD exam has hovered around 50%. In 2023 the average pass rate was 46.92% and in 2020 and 2019 the pass rate was 52.84% and 51.01% respectively.

AUD has the second lowest pass rate of the 4 CPA Exam sections, with FAR coming in last with an average pass rate of about 45%. AUD could have a relatively low pass rate because it is the only CPA Exam that tests a candidate’s ability to evaluate multiple concepts at once and many candidates may also not have as much familiarity with auditing as they do concepts tested on the other 3 exams.

2019 – 2023 AUD Exam Pass Rates

To pass the AUD exam, you will need to have quality study materials and take a lot of practice quizzes, practice exams, and practice questions. UWorld actually has the most popular CPA QBank on the market with over 12,000 CPA Exam practice questions (that’s more than any other provider).

So, if you want the best practice materials on the market and you want to take the guesswork out of building your study plan, enlist the help of UWorld CPA. UWorld’s course is specifically designed to help you gain a deep understanding of the material all while fitting into your busy schedule. Time management tools that you get in your UWorld CPA course include:

• Customized Study Planner
• SmartPath Predictive Technology
• Expert ReadyDecks (Flashcards)

These resources help you stay motivated, avoid procrastination, and save time by making your study plan manageable and efficient. So, reduce your stress and anxiety and improve your audit CPA Exam experience by enlisting the help of the best CPA test prep provider on the market.