Credit losses (CECL) on the FAR CPA Exam
Credit losses (CECL) is tested on the FAR section of the CPA Exam. It is a named topic of blueprint group FAR.II.B, Trade receivables, which sits in FAR Area II, Select Balance Sheet Accounts, at 30 to 40% of the section.
- Section
- FAR, Financial Accounting and Reporting
- Area
- FAR.II, Select Balance Sheet Accounts, 30 to 40% of the section
- Group
- FAR.II.B, Trade receivables
- Authoritative literature
- ASC 326
- Skill levels tested
- Application, Analysis
Which standard covers Credit losses (CECL) on the CPA Exam?
Credit losses (CECL) is tested against ASC 326. The wider group FAR.II.B also reaches ASC 310, ASC 321.
At what skill level is Credit losses (CECL) tested?
Credit losses (CECL) is tested at 2 skill levels: Application (applying a rule to a fact pattern, which is where most simulations sit), Analysis (working across several concepts at once, which is simulation territory).
Is Credit losses (CECL) tested outside FAR?
Yes. The same literature is tested outside FAR: ASC 326 in FAR.II.E (Investments).
Area, group, topic, standard and skill levels are the AICPA published blueprint. Pass rates are the AICPA published candidate pass rates for 2026 through Q2, read from AICPA & CIMA on 2026-08-17. The AICPA publishes them quarterly. Where the same standard is tested outside FAR is PocketCPA's own mapping.
Every FAR blueprint area, group and topic · Which standards the CPA Exam tests · FAR pass rate and format
Common questions
Is Credit losses (CECL) tested on the CPA Exam?
Credit losses (CECL) is tested on the FAR section of the CPA Exam. It is a named topic of blueprint group FAR.II.B, Trade receivables, which sits in FAR Area II, Select Balance Sheet Accounts, at 30 to 40% of the section.