The Performance Ratings Of CPA Board Passers From Year 2010

To Year 2017

A Thesis Presented To The Faculty Of Bloomington Middle And

Grade School

In Partial Fulfillment Of The Requirements For The Subject

Practical Research 2

AGUILAR, LYKA MAE G.

OCTOBER 2018
i
 ABSTRACT
The study aims to know the performance ratings of CPA board
passers from year 2010 from 2017. The research design used was non-
experimental research specifically correlative research design. Content
analysis was used as the data gathering instrument by the researcher. The
data was gathered through Internet. The researcher concluded that the
performance ratings was in descending order.

ii
 ACKNOWLEDGEMENT

This research study will not be possible and accomplished without the people who
consistently supported the study in every progress of this work.

The researcher of the study would like to acknowledge all the support and guidance
that has given by her family.

The researcher would like also to acknowledge the moral support and motivational
thoughts given by her friends to continue and finish the study.

The researcher would like to acknowledge Ms.Shannelle F. Layacan for lending her
laptop and for continuous support that leads the researcher continue to conduct the study.

The researcher would like also to acknowledge Ms.Lorraine Villareal and Yuki
Krisette Tenorio for encouraging the reasearcher to finish this study and entertaining
questions asked by the researcher.
Th researcher would like also to acknowledge Mr.Kyle Adrian Dimacali for
supportive and helping the researcher in correcting some grammar.

The researcher was thankful for having T. Lea A. Bantonore for being a research
adviser and for all her encouragement and patience to lead the researcher with the
completion of the study.

Above all, the researcher would like to say her deepest and whole hearted thank
you to the Almighty God for giving her all the guidance, strength, patience, knowledge
and wisdom to continue this journey towards her desirable dreams in life.

iii
 DEDICATION

This

research study

is dedicated to all

the CPA board examinees

of our country. This study too,

is dedicated to our mentor T. Lea

A. Bantonore and to our beloved parents.

Lastly, we would also like to

dedicate this work to our

Almighty God who

blessed us in

the process of

making.

LYKA

iv
TABLE OF CONTENTS

v
 CHAPTER I
THE PROBLEM

BACKGROUND OF THE STUDY

The CPA Exam was first administered in 1917. The CPA Exam is uniform for all
fifty states and four jurisdictions in which it administered ( which includes the District
of Columbia, Guam, Puerto Rico and the U.S Virgin Islands). The CPA Exam is
administered by individual State Board of Accountancy.
Approximately 100,000 candidates sit for the CPA Exam each year. The exam
questions and answers are given and graded in English only. In March 1996, the CPA
Exam became “closed exam”, meaning the candidates will not have access to the
questions or answers to previous exams with the exception of those released by Board Of
Examiners. ( www.exammatrix.com/cpa-exam-review/exam-history/)
The CPA exam was developed as a test that the precursor organization to the
AICPA used as an admissions requirement for membership. The organization now
known as AICPA started offering the exam to state accounting boards around the
country for use in general licensure in 1917.
Prior to 1917, each state had its own licensure exam that CPA candidates were
requires to take, according to Dale Flesher, CPA, Ph.D. , a professor of accountancy at
the University of Mississippi. He says New York was the first state to develop an exam in
1896.
By 1952, all states had started using CPA exam put out by the organization
that eventually became known as the AICPA in 1957.
For the next 51 years, until 2003, the exam could be taken twice per year,
and it was strictly a pencil-and-paper affair. But in 2004, the exam began to be
administered via a computer.
The exam has evolved over the years to reflect changes in business and to
continue effectively assessing the professional content knowledge fundamental to
protecting the public interest. The next change is coming in April 2017, when the next
version of the CPA exam takes effect.
(https://www.journalofaccountancy/newsletters/2016/jun/1917-cpa-exam.html)
The researcher decided to conduct this research study to know the
performance ratings of Certified Public Accountant board passers from year 2010 until
year 2017. The researcher also wants to know how the ratings changes through these
years.

STATEMENT OF THE PROBLEM

This research study aims to know the performance ratings of board passers as
Certified Public Accountant from year 2010 to year 2017 by the help of specific
questions below:

1. How many CPA board passers in each year from 2010 to 2017?
2. How many CPA board takers are there for the past 8 years?
3. How many CPA passers are there for the past 8 years?
4. How many board examinees took the board exam as CPA in each of those years?

1
HYPOTHESIS

The researcher formulated hypotheses as a basis of this research study:

 The number of CPA will increase due to changes in the exam subjects
 The performance ratings of CPA board passers from 2010 to 2017 is in
ascending order

SIGNIFICANCE OF THE STUDY

The findings and result of this research study will provide information
that will benefit the following:

 Schools whose major is Accountancy, so that they will enhance and

improve their quality of education so many of their students will have a higher
chance to pass the CPA licensure examination.
 Upcoming board examinees as CPA, it will help them to be aware to the
ratings and changes in the CPA licensure examination
 Future researchers, so they will continue to study the progress and
performance ratings of CPA board passers for the upcoming years. They will
update us if there is improvement and to the changes will happen in CPA
licensure examination. It will help them to have a background knowledge to
continue the study.

DEFINITION OF TERMS

The following terms are defined operationally to provide a common frame of

reference:

Accounting - accountancy is the measurement, processing, and communication of

financial information about economic entities such as businesses and corporations

Commission on Higher Education - abbreviated as CHED, is a government agency

attached to the Office of the President of the Philippines for administrative purposes. It
covers both public and private higher education institutions as well as degree-granting
programs in all post-secondary educational institutions in the country

Board of Accountancy - These agencies establish the educational requirements and

the eligibility of candidates desiring to sit for the CPA Exam

2
 CHAPTER II

REVIEW OF RELATED LITERATURE

This chapter presents related literatures and studies after the thorough and in-
depth search done by the researcher. This will provide further information about the
research study.

RELATED LITERATURE

Certified Public Accountant

Certified Public Accountant (CPA) is the title of qualified accountants in

numerous countries in the English-speaking world. In the United States, the CPA is a
license to provide accounting services to the public. It is awarded by each of the 50
states for practice in that state. Additionally, almost every state (49 out of 50) has
passed mobility laws to allow CPAs from other states to practice in their state. State
licensing requirements vary, but the minimum standard requirements include passing
the Uniform Certified Public Accountant Examination, 150 semester units of college
education, and one year of accounting related experience.
(https://en.m.wikipedia.org/wiki/Certified_Public_Accountant)

Certified public accountants (CPAs) provide a broad range of financial services to

small businesses. These services include preparation of financial statements and tax
returns, providing advice on various aspects of business (operations, management, etc.),
and assisting in the development and installation of effective accounting systems.

The CPA has a comprehensive educational background. Each candidate must

attend a four-year program in accounting at an accredited institution. A CPA must also
pass a standard test for competency in the field. The CPA exam covers four main areas:
Law and Professional Responsibility; Auditing Procedures; Accounting and Reporting
(taxation and accounting); and Financial Accounting and Reporting. This exam is
administered in every state by a state board of accounting.
(https://www.inc.com/encyclopedia/certified-public-accountants.html)

Licensure Examinations

The licensing examination is one of the last hurdles that a candidate must face in
the licensing process. A board has the ultimate responsibility to ensure that the
examination meets technical, professional, and legal standards, and, protects the health,
safety and welfare of the public by assessing candidates� abilities to practice
competently. Once a candidate has passed a licensing examination, the board must be
comfortable granting the license, thus assuring the public that the licensee is minimally
qualified to practice at the time of initial licensure.

3
Purpose of a Licensing Examination
A board must understand the purpose of a licensing examination in order to
appreciate the process of developing, maintaining, and administering it. The sole
purpose of a licensing examination is to identify persons who possess the minimum
knowledge and experience necessary to perform tasks on the job safely and
competently--not to select the "top" candidates or ensure the success of licensed
persons. Therefore, licensing examinations are very different from academic or
employment examinations. Academic examinations assess how well a person can define
and comprehend terms and concepts. Employment examinations can rank order
candidates who possess the qualifications for the job.
(https://www.clearhq.org/resources/Licensure_examinations.htm)

History of Accountancy

Being a CPA requires more than just the four to five years stay in college to study
accounting, the countless number of quizzes, exams and retention requirements, and
the months of review for the board exam. Yearly, thousands of hopefuls take the CPA
board exam, yet only 30 percent to 40 percent pass the exam and qualify to get the
certification. Through such tough regulatory measures, those who pass are expected to
be competent enough to uphold the values of integrity, objectivity, professional
competence and due care, confidentiality, and professional behavior. Such professionals
are expected to provide excellent, qualitative service to the country through their
knowledge in services, such as audit, taxation and advisory, among others.

The Philippine public accounting practices originated in the 1700s, but it was on
March 17, 1923, when the accounting profession was formally recognized by the
Philippine government. Such formalization served as an initial move toward the growing
accountancy profession in the country, and was written through Republic Act (RA) 3105.
Through such Act, the Board of Accountancy was created and vested with the authority
to issue certificates to qualified applicants. Such certificate serves as a tangible proof of
passing the rigorous process of being a CPA, which includes passing the CPA board
exam, among others; it is a symbol of years of hard work and perseverance, and finally, a
fruit of one’s labor.

Through the years of development in the accounting profession, several changes

have occurred with RA 3105. Some of the many changes in the 1923 law include: (1) the
CPA examination scope; (2) the qualification to apply; and (3) the rating required to
pass.

(1) The CPA examination scope. Back in 1923, the scope of the CPA board exam
consisted of only four subjects, namely, Theory of Accounts, Practical Accounting,
Auditing and Commercial Law. Today, the theoretical and computational parts are
already combined in related subjects. The CPA board exam is now composed of
4
six subjects, namely, Financial Accounting and Reporting, Advanced Financial
Accounting

and Reporting, Management Advisory Services, Audit, Taxation and Regulatory

Framework for Business Transactions.

(2) The qualification to apply. Today, in order to qualify as a CPA board

examinee, the applicant must be a Filipino citizen; of good moral character; with a
Bachelor of Science degree in Accountancy; must not have been convicted of any
criminal offense involving moral turpitude; and with no minimum age requirement.
Back in 1923, an applicant must be over 21 years of age, and there was nothing explicitly
requiring a bachelor’s degree in accountancy.

(3) The rating required to pass. Back in 1923, a general average rating of 75
percent or over meant a passing rate. Today, in addition to the general average of 75
percent, the applicant must not have had any grade below 65 percent in any subject.

From only having 43 registered accountants in 1923, the number of Certified

Public Accountants has increased to hundreds of thousands. With the world’s growing
need to understanding the language of business comes the increasing demand, as well,
for accountants who are expected to know and give sense of the figures in the financial
statements. The Philippine law on accountancy recognizes the importance of
accountants in nation-building and its development. The revisions in the accountancy
law prove how the accounting profession continues to develop and move forward, and
more revisions are expected in the future.
(https://businessmirror.com.ph/accountancy-then-and-now/)

The new tracks start with the taking of any of the four accounting programs in
college. The accounting courses that will be available by school year 2018-2019 include
BS Accountancy, BS Management Accounting, BS Internal Auditing and BS Accounting
Information System. The Commission of Higher Education (Ched), in coordination with
the BOA, will be issuing before year-end the necessary Ched memorandum order to
provide the details of these accountancy programs. These programs will provide
different options for the accounting student to pursue depending on his or her interest.

In addition to these forthcoming changes in the accountancy education, there will

also be a reformatting of the professional licensure examination process. The licensure
examination of the future will include two levels of tests. The graduates of the four
accounting programs will have to take the first-level Certified Accountant (CA)
examination. This examination consists of five core accounting subjects, to include
financial accounting reporting, advanced financial accounting reporting, management
advisory services, taxation and regulatory framework for business transactions. The
examinees will have to pass this CA examination to work or practice accountancy. The
passers of the CA examination will be authorized to work as accountants in the
5
government, public practice and private sector, except to sign auditor’s certifications
and to teach as accounting educators.

Those who want to pursue the aforementioned exempted accountancy work will
have to pass the second-level Certified Public Accountant (CPA) or Certified
Professional Accountant (CPA) examination, depending on their educational
specialization or attainment. There will be a CPA examination for each of the four
accountancy courses or specialization. There will be a CPA examination dwelling for
each of the accountancy specialization of auditing, management accounting and
accountancy information system. The CPA examination can be taken optionally after
three years of meaningful work experience. Once the examinees have passed the CPA
exam, they can now be signatories of the external audit certification, while passers of the
Certified Professional or Public Accountant exams can qualify as accounting teachers.

The new licensure examination consisting of both the CA and CPA examinations
are expected to start by year 2023.

The changes being made are intended to address the demands and requirements
of industry and the accountancy profession of having accounting professionals. There is
now the need for accountants to have specialized skills and a more practical experience
and mind-set.

These changes will also provide more focused options for those desiring to pursue
accountancy education and careers. Unlike the present situation where there is only one
option of taking the BS Accountancy course as the first step in being an accountant, the
academic and licensure track of the future will present more options to cater to the
interest and competence of the future accountant.

With these changes in place, our future accounting professionals will be more
qualified and prepared to meet the growing demands of the local and global community.

These changes are in line with the objective of the Six-Point Expanding Horizons
Strategic Plan (EH Strategic Plan) of elevating the Filipino accountant and the
accountancy profession to a level that exceeds global standards.

The measures under the EH Strategic Plan are: (1)Institute quality and
governance measures. (2)Effectively regulate the (3)Enhance image and reputation of
the accounting professional. (4)Enhance stakeholders’ involvement and
cooperation.(5)Institute structural changes.(6)Provide communication and assistance
mechanisms.(https://businessmirror.com.ph/new-accountancy-tracks-forthcoming/)

The Certified Public Accountant (CPA) examination is a licensure exam

prescribed by the Professional Regulation Commission (PRC) and given by the Board of
Accountancy (BOA). The exam covers 7 subjects (Theory of accounts, Business law and
taxation, Management services, Auditing theory, Auditing problems, Practical 6
accounting problems I and Practical accounting problems II).
(https://businesstips.ph/how-to-pass-the-cpa-board-exam-in-the-philippines/)

The accounting profession in the Philippines is well established. It can be traced

back to the U.S. influence on the institutional learning of accounting and the founding of
the accounting profession during the U.S. colonial period.

The first public accounting firms were formed in the beginning of the twentieth
century by British chartered accountants and then followed by American CPAs and
some Filipinos who obtained CPA certifications in the United States. In 1923, formal
recognition was given to the professions with the enactment of the Accountancy Law.
The Board of Accountancy was created to conduct CPA exams and to give the CPA title.
The Philippine Institute of Certified Public Accountants (PICPA) was established to
regulate members in 1929.

To be a CPA in the Philippines, a person must complete the degree of Bachelor of

Science in commerce or business administration (with a major in accounting) and must
pass the CPA examinations given by Board of Accountancy. The Professional Regulation
Commission, a governmental agency, has the authority to issue licenses.

The Accounting Standards Council (ASC), established in 1981 by the PICPA, is

the standard-setting body. The ASC is responsible for establishing and improving
generally accepted accounting principles in the Philippines.

The ASC drafted the rules governing financial reporting practices and issued in
the form of Exposure Drafts for public comment. The final rules are codified and issued
as Statements of Financial Accounting Standards (SFASs). The standards then have to
be submitted to the Professional Regulation Commission for their final approval.

Basically, accounting standards in the Philippines are modeled on U.S. standards.

Recent development, however, takes into account the guidelines of the International
Accounting Standards Committee (IASC).

The Auditing Standards and Practices Council (ASPC) is the organization that
sets auditing standards in the Philippines.

The Philippine Institute of Certified Public Accountants (PICPA) is the accredited

professional organization. The PICPA performs some regulatory functions while does
not have the authority to issue licenses. The PICPA is also an associate member of the
IASC.
(https://www.albany.edu/acc/AccountDptmt/Research/pacificrim/philippines.html)

7
Source: Board of Accountancy

8
 RELATED STUDY

Local Study

PERFORMANCE OF BSA GRADUATES IN THE CPA

LICENSURE EXAMINATION: BASIS OF ENHANCEMENT

Candido Perez, Ph. D.

Lyceum of the Philippines-Laguna

ABSTRACT

Performance of students in the Bachelor of Science in Accountancy Program is best tested

with the actual results in the Philippine CPA Licensure Examination. A closer look at its
past performance would create a basis of enhancement on how to improve a program’s
current passing rate and would serve as reflection of how effective the teaching-learning
process is. The study aimed to evaluate the performance Bachelor of Science of
Accountancy Program at Lyceum of the Philippines – Laguna. The evaluation covered the
CPA Licensure examinations from October 2006 to October 2013. The study determined
the number of graduates who became licensed accountants, the number of times they took
the exam before they became licensed and the board subjects in which the graduates
performed weak based on date of exams and batch or year of graduation. A comparison
between the lists of students provided by school with that of the list provided by Philippine
Professional Regulation Commission was done to evaluate the individual student’s board
exam mean rating according to date of examinations and year of graduation. The means
of board rating of first takers who passed the exam were ranked to identify the subjects
which graduates found difficult. The data provided 100 graduates of the Bachelor of
Science of Accountancy Program, with 81 takers and 46 passers. Frequency of first takers
and repeaters, frequency of students who never passed and board exam mean rating
based on date of exams and year of graduation were evaluated. Based on findings, the
researcher recommended corrective measures on how to improve the accountancy
program.

ACADEMIC PERFORMANCE, ASPIRATIONS, ATTITUDES AND

STUDY HABITS AS DETERMINANTS OF THE PERFORMANCE

IN LICENSURE EXAMINATION

OF ACCOUNTANCY GRADUATES

Jade Ballado-Tan, CPA, MBA

ABSTRACT

The quality of education offered by an institution is often determined by the graduates it

produces. In like manner, the quality of graduates produced by an institution is measured
by their performance in licensure examinations.
The study determined the level of student’s academic performance, aspirations, attitudes
towards accounting and study habits. It also determined the performance of the graduates
in the Certified Public Accountant (CPA) licensure examination, as well as

9
the relationship of the academic performance, aspirations, attitudes towards accounting
and study habits and the performance in the licensure examination.
One hundred twenty-four (124) respondents were considered in the study which utilized
the descriptive-correlational method. A survey questionnaire determined the level of
academic performance, aspirations, attitudes and study habits. Official results of the CPA
Licensure Examination were retrieved from the Professional Regulation Commission.
The study employed frequency counts, weighted means, ranking and regression analysis
as statistical tools. The respondents had good academic performance, high level of
aspiration, favourable attitude towards Accounting and good study habits. Performance
of graduates is above the national passing percentage, though, graduates do not make it
in the first attempt. Graduates performed best in Theory of Accounts while the weakest
performance is in Practical Accounting I. Academic performance, attitudes towards
accounting and study habits are significantly related to the performance in the
examination while level of aspirations was not related.
The study recommended the emphasis of students’ persistence to work toward their goals,
study habits and passion in accounting in admitting prospective students. Regular
assessment through qualifying examination is also recommended to improve
performance.

INFLUENCE OF SELECTED FACTORS ON CPA LICENSURE EXAMINATION

RESULTS
Carmen C. Herrero
Faculty member in Accountancy, College of Business, Rizal Technological
University

ABSTRACT
The researcher looked into the factors that affected the performance of Rizal
Technological University CPA board examinees on the 2012 licensure examinations to
determine the intervention necessary to improve the university’s review programs.
Descriptive research design was used wherein twenty-four Bachelor of Science in
Accountancy graduates who took the May and October 2012 board examinations were
surveyed using a validated researcher-made questionnaire. Documentary analysis was
used for evaluating qualitative data. Results revealed that: student factors (interest in the
accounting program, time spent for studying lessons and availing of library/internet
resources in research activities) and home/family factors (family financial support,
parental involvement in studies, motivation and encouragement) highly influence
performance; school factors (adequacy of relevant library books and materials, adequacy
of technology hardware and software, good accounting program and good accounting
faculty) were perceived to have average influence; and scholarships, grade weighted
averages and attendance to review courses handled by prestigious review schools were
found to be positive factors in passing the board examinations. Based on the findings, the
researcher recommended that the regular assessment through qualifying examinations
be conducted and that the pre-board/mock examinations in the review classes be
strengthened.

Foreign Study

PERFORMANCE IN CPA BOARD EXAMINATION: BENCHMARKING

FOR OPPORTUNITIES TO MEET MARKET DEMANDS

Dr. Revenio C. Jalagat, Jr.

10
 Assistant Professor, Al-Zahra College for Women, Sultanate of Oman

ABSTRACT
The objective of this study is to determine the performance of accounting graduates in
CPA board examination: Benchmarking for the opportunities to meet market demands.
A descriptive research design was used to pursue this study. The independent variables
are: socio-demographic profile of the respondents; teachers profile, general subjects
(Math, English, Professional Subjects); and other factors while the dependent variable is
the actual performance in the CPA board examination. To gather the data, it utilized
purposive sampling to 75 respondents of whom 56 graduate respondents and 19 teacher
respondents. Questionnaires were distributed to the respondents after consent were
obtained from the Deans of the three schools chosen for the study. Secondary data were
also gathered like the actual CPA exam results from 2004-2009 and the QPIs of the
graduate respondents. Frequencies and averages were used to describe the graduate
respondents’ socio-demographic profile, teacher’s profile, tabulation of actual CPA exam
results, QPIs, and the performance in general subjects. In order to test the hypotheses,
correlation coefficient were used to establish the significant relationships between the
independent variables and the dependent variable as above-mentioned. Findings
revealed that, there are significant relationships between the QPI, general subjects (Math,
English and Professional Subjects); the teacher’s rank; and the admission and retention
policies to the performance in the CPA board examinations. Based on these findings, it is
recommended that the respondent schools should take into consideration the students’
QPI, general subjects, teacher’s rank, admission and retention policies in continuing with
the accounting program to ensure graduates with readiness to take the CPA board
examination and conduct refresher courses. However, the need to conduct further studies
to widen its scope with more respondents for more reflective outcomes.

An examination of factors affecting the

passing rates of the CPA examination

ABSTRACT
According to data compiled by the NASBA Candidate Performance Reports,
Puerto Rico has consistently reflected the lowest passing rates among the 50
states and territories of the United States (U.S.) on the CPA exam. The
objective of this study is to examine the factors that might be causing the
lower passing rates of Puerto Ricans on the CPA exam. Our study aims to fill
a gap in the literature. We propose to conduct a survey among candidates
taking CPA review courses and recently licensed CPAs to obtain their
perceptions of the factors that affect their performance on the CPA exam.

CPA CANDIDATE SUCCESS RESEARCH FINDINGS: Implications for

Accounting Education and the CPA Profession

Motivation for Research Study

The CPA Exam remains a rigorous rite of passage for those entering the accounting
profession. As the protection of the public remains the duty of the accounting profession,
it is in the public’s best interest to have a strong pipeline of CPA candidates demonstrating
their proficiency by passing the CPA Exam. Concerns have been raised regarding
demographic challenges facing the field of accounting. According to the AICPA, over 40%
of today’s CPAs will be retiring by 2020. In addition, the AICPA would like to close the
gap between those graduating with accounting degrees and those sitting for the exam.

11
With these factors in mind, we conducted the CPA Candidate Success Research Project
with the ultimate goal of finding ways to help increase CPA Exam sit and pass rates. Our
study focused primarily on identifying the characteristics and techniques, or “best
practices,” that college and university accounting programs employ to help their students
achieve success on the exam. Identification of these best practices can help the entire
population of colleges and schools improve performance on the exam.

Becoming a CPA: Evidence from Recent Graduates

Kimberly Charron
University of Nevada, Las Vegas
D. Jordan Lowe
Arizona State University

ABSTRACT
The demand for accountants is increasing and majoring in accounting is again very
popular, but the number of accountants taking and passing the CPA exam is not keeping
pace. We approach this problem by assessing potential candidates’ current progress and
outlook on taking the CPA exam as well as identifying certain factors that contribute to
this occurrence. We collected survey data from 181 accounting alumni who had graduated
from three different business schools. Our results indicated that while the overall interest
in taking the CPA exam is very high, the actual follow-through on these intentions may be
somewhat problematic. Nearly 20% of graduates who want to take the exam had not
accumulated the necessary credits to be licensed. Moreover, of those graduates who are
“exam ready”, over 40% had not taken a single part, with nearly half of those graduates
having been “exam ready” for more than a year. This may be due to the flexibility of the
new exam which appears to be creating a procrastination mindset. Our research indicates
that specific incentives and assistance were significantly related to individuals taking the
exam. We also found that the level of pressure perceived from employers and the
accommodations made to take the exam are rather modest. In fact, while new hires
perceive that passing the CPA exam is very important to them personally, they perceive
that it is of only moderate importance to their employers. These insights should prove
valuable to the accounting profession in understanding how recent graduates approach
the CPA exam as well as providing certain prescriptions to increase the number of
candidates working toward and passing the exam.

12
SYNTHESIS OF THE STUDY

The related literatures and studies are essential for the study. It contains
knowledge that helped the researchers in the overall study.
The related literatures reviewed by the researcher implied how the Certified
Public Accountant licensure examination undergoes revisions and changes through the
years. It also contains definitions of Certified Public Accountant, history , content and
sections of CPA Examination. It emphasizes that to be a Certified Public Accountant,
you should took BS in Accountancy and pass the CPA licensure examination.
The reviewed local study, “Performance of BSA Graduates In The CPA Licensure
Examination: Basis Of Enhancement”, it evaluates the number of graduates who became
licensed accountants, number of times they took the exam before they became licensed
and the board subjects in which graduates performed weak which helped the researcher
understand and add more knowledge about the current study.
The reviewed local study, “Academic Performance, Aspirations, Attitudes, and
Study Habits as Determinants of the Performance in Licensure Examination of
Accountancy Graduates”, added knowledge and information that helped the researcher
understand where did the examinees performed weak and best in the licensure
examination.
The reviewed foreign study, “ Performance in CPA Board Examination:
Benchmarking For Opportunities To Meet Market Demands”, aimed to determine the
performance of accounting graduates in CPA board examination benchmarking for the
opportunities to meet market demands. The findings revealed that there are significant
relationship between the QPI, general subjects( Math, English and Professional
Subjects); the teacher’s rank; and the admission and retention policies to the
performance in CPA board examinations.

CONCEPTUAL FRAMEWORK
This research study is conceptualized to determine performance ratings of CPA
board passers from year 2010 until year 2017. This aims to know if the ratings of CPA
board passers from year 2010 until yer2017 changes in increasing or decreasing order
and how does it improves in each year.

Internet as a Search CPA board Performance

INPUT

OUTPUT
PROCESS

source of results from year ratings of CPA

information 2010 to year 2017 board from year
Gather and 2010 until year
analyze the 2017
collected data
Compute the
percentage using
the statistical data

13
 CHAPTER III

RESEARCH METHODOLOGY

RESEARCH DESIGN

This research study is all about the performance ratings of CPA board
passers from year 2010 to 2017. The type of quantitative research used was non-
experimental research specifically correlative research design. Correlative research
design shows extent and direction of variable relationship that is, whether a negative or
positive relationship exists between them or among them. The researcher used the
correlative research design because it is the most appropriate method to be used. It
helps the researcher to know the relationship of performance rating of CPA board
passers each year from 2010 to 2017 if the relationship of each year is positive or
negative.

DATA GATHERING INSTRUMENT

The data gathering instrument that the researcher used was content analysis. The
researcher used content analysis because the researcher used secondary analysis which
are data gathered from published articles, books and Internet as a source of
information. The researcher gathered the data through the site of PRC( Profession
Regulation Commission) who are responsible to the results of licensure examinations.

DATA GATHERING PROCEDURE

In order to gather data regarding the study, “The Performance Ratings of CPA
Board Passers from year 2010 to year 2017, the researcher used Internet as a tool to
gather data. The researcher went to a search engine specifically Google Chrome and
search about the CPA board examination results from each year started from 2010 until
2017.
After that, the researcher found a site where all licensure examination results are
there which is www.prcpassers.com. The researcher select what type of board exam and
select month. After that, the results were provided. There is no data provided for the
year 2010, so the researcher search it on the search engine and gathered data.
The researcher checked and searched sites multiple times , and see if the results
were all the same. After the researcher accomplished gathering data, the results were
tabulated. These data became the basis of analysis and interpretation.

STATISTICAL OF DATA
The gathered data were statistically analyzed with the requirements of the study.
After gathering the data needed, the researchers graphed and analyzed the gathered data
with the help of statistical tools. Descriptive statistics such as frequency count, percent,
and rank are considered.
The rate of performance of CPA board passers was determined by using
percentage.

14
 Percentage
𝑭
(P)% = 𝑵 x 100

Where: F = Frequency or Total No. of board passers

N = Total number of the examinees
P = Percentage

15
 CHAPTER IV

PRESENTATION, INTERPRETATION AND ANALYSIS OF DATA

This chapter includes the presentation, interpretation, and analysis of data that
have been gathered. This chapter also contains the presentation of data in graphical
form along with their corresponding interpretations.

Figure 1. Year 2017

No. of Passers No. of Examinees

October 2017 4,511 14,816
May 2017 3,389 9,645
Total 7,900 24,461

On the month of October 2017, there were 4,511 out of 14,816 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
May 2017, there were 3,389 out of 9,645 examinees who passed the CPA licensure
examination. Overall, in the year 2017, there were 7,900 total number of CPA board
passers out of 24,461 examinees or 32.30%.

Figure 2. Year 2016

No. of Passers No. of Examinees

October 2016 5,249 14,390
May 2016 2,967 6,925
Total 8,216 21,315

On the month of October 2016, there were 5,249 out of 14,390 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
May 2016, there were 2,967 out of 6,925 examinees who passed the CPA licensure
examination. Overall, in the year 2016, there were 8,216 total number of CPA board
passers out of 21,315 examinees or 38.55%.

16
 Figure 3. Year 2015

No. of Passers No. of Examinees

October 2015 5,468 13,317

May 2015 2,132 5,959

Total 7,600 19,276

On the month of October 2015, there were 5,468 out of 13,317 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
May 2015, there were 2,132 out of 5,959 examinees who passed the CPA licensure
examination. Overall, in the year 2015, there were 7,600 total number of CPA board
passers out of 19,276 examinees or 39.43%.

Figure 4. Year 2014

No. of Passers No. of Examinees

October 2014 4,123 11,137

July 2014 1,107 5,540

Total 5,230 16,677

On the month of October 2014, there were 4,123 out of 11,137 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
July 2014, there were 1,107 out of 5,540 examinees who passed the CPA licensure
examination. Overall, in the year 2014, there were 5,230 total number of CPA board
passers out of 16,677 examinees or 31.36%.

Figure 5. Year 2013

No. of Passers No. of Examinees

October 2013 4,246 10,396

May 2013 1,553 5,665

Total 5,799 16,061

On the month of October 2013, there were 4,246 out of 10,396 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
May 2013, there were 1,553 out of 5,665 examinees who passed the CPA licensure
examination. Overall, in the year 2013, there were 5,799 total number of CPA board
passers out of 16,061 examinees or 36.1%.

17
 Figure 6. Year 2012

No. of Passers No. of Examinees

October 2012 4,772 9,987

May 2012 1,995 5,315

Total 6,767 15,302

On the month of October 2012, there were 4,772 out of 9,987 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
May 2012, there were 1,995 out of 5,315 examinees who passed the CPA licensure
examination. Overall, in the year 2012, there were 6,767 total number of CPA board
passers out of 15,302 examinees or 44.22%.

Figure 7. Year 2011

No. of Passers No. of Examinees

October 2011 4,066 8,525

May 2011 2,130 5,259

Total 6,196 13,784

On the month of October 2011, there were 4,066 out of 8,525 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
May 2011, there were 2,130 out of 5,259 examinees who passed the CPA licensure
examination. Overall, in the year 2011, there were 6,196 total number of CPA board
passers out of 13,784 examinees or 45 %.

Figure 8. Year 2010

No. of Passers No. of Examinees

October 2010 3,973 8,216

May 2010 1,886 4,772

Total 5,859 12,988

On the month of October 2010, there were 3,973 out of 8,216 examinees who
passed the Certified Public Accountant licensure examination. While on the month of
May 2010, there were 1,886 out of 4,772 examinees who passed the CPA licensure
examination. Overall, in the year 2010, there were 5,859 total number of CPA board
passers out of 12,988 examinees or 45.11%.

18
 Performance of CPA Board passers in the Certified Public Accountant Licensure
Examination, When grouped as to Number of Examinees

Figure 10. Performance of CPA Board Passers in Licensure Examination, 2010-2017

Year 2010 2011 2012 2013 2014 2015 2016 2017

No. of 12,988 13,784 15,302 16,061 16,677 19,276 21,315 24,461
Examinees
No. of 5,859 6,196 6,767 5,799 5,230 7,600 8,216 7,900
Passers
Passing 45.11% 45% 44.22% 36.11% 31.36% 39.43% 38.55% 32.30%
Rates

Figure 11. Performance Ratings of CPA Board Passers in Licensure Examination, 2010-
2017

100.00%

90.00%

80.00%

70.00%

60.00%

50.00% 45.11% 45% 44.22%

39.43% 38.55%
40.00% 36.11%
31.36% 32.30%

30.00%

20.00%

10.00%

0.00%
2010 2011 2012 2013 2014 2015 2016 2017

19
ANALYSIS OF DATA

After the gathering of data, the following analyzations were concluded in each
research questions:

Based from Figure 1 to Figure 8 and also in the Figure 9 which is the summary,
the total number of CPA board passers each year from 2010 to 2017 were shown. In the
year 2010, there were total of 5,859 examinees who passed the CPA licensure
examination. There were total of 6,196 CPA board passers in 2011. 6,767 are the total
number of examinees who passed the CPA licensure examination in the year of 2012.
The total number of CPA board passers in the year of 2013 were 5,799. In 2014, there
were 5,230 CPA board passers. In the year of 2015, there were 7,600 examinees who
passed the CPA licensure examination. 8,216 CPA board passers are there in the year of
2016 and 7,900 examinees are the total number of examinees who passed the CPA
licensure examination.
There were total number of 139,864 examinees who took the Certified Public
Accountant licensure examination for the past 8 years, from year 2010 to 2017.
There were total number 53,567 CPA board passers for the past 8 years, from year
2010 to 2017.
Based from Figure 1 to Figure 8 and also in the Figure 9 which is the summary,
the total number of examinees who took the CPA licensure examination each year from
2010 to 2017 were shown. In the year 2010, there were total of 12,988 examinees who
took the CPA licensure examination. There were total of 13,784 examinees in 2011.
15,302 are the total number of examinees who took the CPA licensure examination in
the year of 2012. The total number of examinees in the year of 2013 were 16,061. In
2014, there were 16,677 examinees took the CPA licensure examination. In the year of
2015, there were 19,276 examinees who took the CPA licensure examination. 21,315 CPA
examinees are there in the year of 2016 and 24,461 examinees are the total number of
examinees who took the CPA licensure examination.

20
 CHAPTER V
SUMMARY, CONCLUSION AND RECOMMENDATION

SUMMARY

The Performance Ratings Of CPA Board Passers From Year 2010 To Year 2017 is
a research study which study purpose is to know performance ratings of CPA board
passers through the past 8 years if it is in decreasing or increasing order. It will answer
the research questions: (1) How many CPA board passers in each year from 2010 to
2017?(2)How many CPA board takers are there for the past 8 years?(3)How many CPA
passers are there for the past 8 years? (4) How many board examinees took the board
exam as CPA in each of those years? The type of quantitative research used by the
researcher was non-experimental research specifically correlative research design. The
researcher used content analysis as a data gathering instrument. The researcher used
content analysis because the researcher used secondary analysis which are data
gathered from published articles, books and Internet as a source of information. The
researcher gathered the data through the site of PRC( Profession Regulation
Commission) who are responsible to the results of licensure examinations. The data
gathered were tabulated and analyzed and explained gaining answers to the research
questions:Based from Figure 1 to Figure 8 and also in the Figure 9 which is the
summary, the total number of CPA board passers each year from 2010 to 2017 were
shown. In the year 2010, there were total of 5,859 examinees who passed the CPA
licensure examination. There were total of 6,196 CPA board passers in 2011. 6,767 are
the total number of examinees who passed the CPA licensure examination in the year of
2012. The total number of CPA board passers in the year of 2013 were 5,799. In 2014,
there were 5,230 CPA board passers. In the year of 2015, there were 7,600 examinees
who passed the CPA licensure examination. 8,216 CPA board passers are there in the
year of 2016 and 7,900 examinees are the total number of examinees who passed the
CPA licensure examination.There were total number of 139,864 examinees who took the
Certified Public Accountant licensure examination for the past 8 years, from year 2010
to 2017.
There were total number 53,567 CPA board passers for the past 8 years, from year 2010
to 2017. Based from Figure 1 to Figure 8 and also in the Figure 9 which is the summary,
the total number of examinees who took the CPA licensure examination each year from
2010 to 2017 were shown. In the year 2010, there were total of 12,988 examinees who
took the CPA licensure examination. There were total of 13,784 examinees in 2011.
15,302 are the total number of examinees who took the CPA licensure examination in
the year of 2012. The total number of examinees in the year of 2013 were 16,061. In
2014, there were 16,677 examinees took the CPA licensure examination. In the year of
2015, there were 19,276 examinees who took the CPA licensure examination. 21,315 CPA
examinees are there in the year of 2016 and 24,461 examinees are the total number of

21
examinees who took the CPA licensure examination. After the analysis and findings of
the study the conclusion was drawn: The performance ratings of the CPA board passers
from year 2010 to 2017 is in descending order. Based on the data gathered, the passing
rate from 45.11% in 2010 dropped into 32.30% in 2017 which is not a good. Every year
the number of examinees increases as well as the number of board passers. There were
total of of 139,864 candidates who took the CPA licensure examination for the period
2010-2017. Out of this, only 53,567 passed or 38.30%.

CONCLUSION

After the analysis of data and findings of the study the conclusion was drawn:

The performance ratings of the CPA board passers from year 2010 to 2017 is in
descending order. Based on the data gathered, the passing rate from 45.11% in 2010
dropped into 32.30% in 2017 which is not a good. Every year the number of examinees
increases as well as the number of board passers. There were total of of 139,864
candidates who took the CPA licensure examination for the period 2010-2017. Out of
this , only 53,567 passed or 38.30%.

RECOMMENDATION

These are the recommendation made after the study:

The researcher recommends to the upcoming examinees to prepare and review
for the licensure examination for higher chance of passing the exam. The researcher also
wants to recommend the school whose major is Accounting to focus and improve their
teachings so upcoming examinees will be ready to take the exam.

22
BIBLIOGRAPHY
www.exammatrix.com/cpa-exam-review/exam-history/)
https://www.journalofaccountancy/newsletters/2016/jun/1917-cpa-exam.html)
VALIDATION OF DATA
 TITLE PROPOSAL
The Percentage Rate Of Board Passers as Certified Public Accountant Since year 2010 to
year 2017
Purpose of the study: The study aims to know the ratings of CPA board passers through
these years
Research Questions:
Sub-problem: In what ways that passing the board exam difficult?
Research Hypothesis: There is a positive rate in those years.
Research Locale: None
Respondents of the study: None