Examination

Flowchart on how to become a Chartered Accountant by the Examination route

The Chartered Accountancy course is designed to combine theoretical study with practical training. The Chartered Accountancy course is considered to be one of the rigorous professional courses in India with only 10-15% of the students passing in every attempt .^[33] As of April 2010, the institute has 874,694 students, studying various levels of the Chartered Accountancy Course.^[34] The Chartered Accountancy examinations are divided into three levels.
The CPT or Common Proficiency Test is the first level of Chartered Accountancy examinations. It is an objective type examination and consists of 200 multiple choice questions. CPT covers four basic subjects viz. Fundamentals of Accounting, Mercantile Laws, Economics and Quantitative Aptitude. Fundamentals of Accounting carries 60 marks, Mercantile Laws carries 40 marks and Economics & Quantitative Aptitude carries 50 marks each. A person can register for CPT after completing Grade 10 and take the exam after completing High School (Grade 12). Every incorrect answer on the CPT exam carries a 0.25 negative mark. A candidate is considered to have cleared CPT if he/she obtains in a sitting 30% in each of the 4 sections and a 50% aggregate in the entire paper.This amendment was enforced by ICAI on 16th August, 2012.The amendment was made public vide ICAI's website notification. CPT exams are held in June and December in paper pencil mode. On-line CPT exams are also conducted periodically.
IPCC or Integrated Professional Competence Course is the second level of Chartered Accountancy examinations. A person can take the IPCC Examination after passing CPT and nine months of study. IPCC has two groups of seven subjects. Group - I consists of four subjects and Group - II of three subjects.

• Group I:
• Paper 1 : Accounting
• Paper 2 : Business Laws, Ethics and Communcation
• Paper 3 : Cost Accounting and Financial Management
• Paper 4 : Taxation

• Group II:
• Paper 5 : Advanced Accounting
• Paper 6 : Auditing and Assuarance
• Paper 7 : Information Technology and Strategic Management

A passing grade in IPCC is awarded if the candidate obtains 40% marks in each subject (a subject is attributed 100 marks) and 50% in the aggregate in each group. Benefit of set-off is also available if the candidate has obtained 40% marks in each subject but fails to obtain 50% aggregate in any one of the group, but the total of candidate exceeds overall 50% in both group.
CA Final Examination is the last and final level of Chartered Accountancy Examinations. It is considered as one of the toughest exam in the world.^[35] Any person who has passed both the groups of IPCC, during the last six months of articleship can take the Final Examination. This exam consists of two groups of four subjects each viz. Financial Reporting, Strategic Financial Management, Advanced Auditing and Professional Ethics, Corporate and Allied Laws, Advanced Management Accounting, Information Systems Control and Audit, Direct Tax Laws and Indirect Tax Laws. A passing grade is awarded if the candidate obtains 40% marks in each subject and 50% in the aggregate in each group.
ICAI conducts CPT exams in June and December, IPCC and Final examinations in May and November each year. Examinations are conducted in major cities in India and other countries such as Abu Dhabi (U.A.E.), Dubai (U.A.E.) and Kathmandu (Nepal). ICAI updates content and format of examinations periodically in keeping with technical progress and changes in practice of the profession. The ICAI last revised its training course for membership in 2008.[36]