The three-level hierarchy & disclosures on the FAR CPA Exam
The three-level hierarchy & disclosures is tested on the FAR section of the CPA Exam. It is a named topic of blueprint group FAR.III.E, Fair value measurement, which sits in FAR Area III, Select Transactions, at 25 to 35% of the section.
- Section
- FAR, Financial Accounting and Reporting
- Area
- FAR.III, Select Transactions, 25 to 35% of the section
- Group
- FAR.III.E, Fair value measurement
- Authoritative literature
- ASC 820
- Skill levels tested
- Application, Analysis
Which standard covers The three-level hierarchy & disclosures on the CPA Exam?
The three-level hierarchy & disclosures is tested against ASC 820. The wider group FAR.III.E also reaches ASC 321, ASC 825.
At what skill level is The three-level hierarchy & disclosures tested?
The three-level hierarchy & disclosures 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 The three-level hierarchy & disclosures tested outside FAR?
No. Within the current blueprint the literature behind The three-level hierarchy & disclosures is tested in FAR only.
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 The three-level hierarchy & disclosures tested on the CPA Exam?
The three-level hierarchy & disclosures is tested on the FAR section of the CPA Exam. It is a named topic of blueprint group FAR.III.E, Fair value measurement, which sits in FAR Area III, Select Transactions, at 25 to 35% of the section.