Knowledge Domains

The following is a detailed outline of the eight knowledge domains of the exam, with an indication of the approximate percentage of the exam devoted to each area:

ACCOUNTING AND REPORTING (30%)

  • Accounting standards and guidelines
  • Basic methods of accounting
  • Receivables
  • Costs in excess and billings in excess
  • Construction equipment
  • Subcontractor payables
  • Capitalized interest
  • Financial statements
  • Project management
  • Joint ventures

INCOME RECOGNITION METHODS (20%)

  • Financial reporting
  • Percentage-of-completion accounting method
  • Contract revenues
  • Contract costs
  • Accounting for the effects of change in estimates
  • Completed-contract accounting method
  • Independent construction audit

BUDGETING AND PLANNING (11%)

  • Strategic planning
  • Strategic cost management
  • Capital budgeting
  • Cash management

RISK MANAGEMENT (14%)

  • Risk management responsibilities
  • Construction-related insurance
  • Surety

TAXES (5%)

  • Accounting methods unique to the construction industry
  • Tax filing

HUMAN RESOURCES (6%)

  • Compensation
  • Employee benefit plans
  • Accounting/finance department administration

LEGAL (11%)

  • Preparation and review of contracts
  • Subcontracts
  • Applicable laws
  • Warranties
  • Alternatives to litigation

INFORMATION TECHNOLOGY (3%)

  • Applications for construction management