Content area
Full text
ABSTRACT
This paper examines the effects of gender and age on CPA examination pass rates. Data was collected from the years 2013, 2014, and 2015 provided by the National Association of State Board of Accountancy (NASBA). The effects of age and gender on pass rates are presented for both first-time and overall examination results. Linear models are used to assess performance, and the results show that for both first-time and overall examination attempts pass rates female pass rates are typically lower than for males. Additionally, pass rates decrease with age for both males and females. This decrease is more pronounced for females compared to males for first-time examination attempts only.
Key Words: CPA Exam, Pass Rates, Gender, Selectivity Theory
INTRODUCTION
The purpose of this paper is to examine the effects of gender and age on CPA examination state pass rates in 2013, 2014, and 2015. The effects of age and gender on pass rates are presented for both first-time and overall examination results. Annual data from The NASBA Report, 2013 to 2015, are used to analyze gender and age effects on CPA examination pass rates at the state level. Linear models are used to assess state performance on the CPA examination.
In this study, CPA examination pass rates, along with corresponding gender and age measurements, were obtained from the NASBA Report, for each state annually from 2013 to 2015. Data for both first-time and overall examination results were collected. Summary statistics for the state pass rates by age-gender cohort at each measurement occasion for first-time examination results are given in Table 1. These descriptive statistics suggest that pass rates decrease linearly with age and that pass rates are lower for women at all ages.
This section includes a linear modeling approach to formally test for the patterns observed in Table 1. The model includes terms for a gender effect, an age effect, and a gender by age interaction effect in each of the years 2013, 2014, and 2015. The age associated with the state pass rates varies in each year that measurements are available. Time variables are also included in the model to test the stability of parameter estimates in the time frame under investigation. To reduce skewness, the models analyzed in this study...