BEC CPA Exam 2025 | 100+ Questions | COSO, ERM, COBIT, IPPF, Quality Costs | CPA Business Section

This document contains over 100 high-quality, A+ graded questions and answers specifically prepared for the BEC (Business Environment and Concepts) section of the CPA Exam 2025/2026. Designed for candidates aiming for success in the CPA exam, it emphasizes conceptual clarity, regulatory knowledge, and application-based problem-solving for topics most frequently tested under the Business section. The study guide thoroughly explains: The COSO Framework, its five components (Control Environment, Risk Assessment, Information & Communication, Monitoring, Control Activities), and three objectives (Operations, Reporting, Compliance) Enterprise Risk Management (ERM) concepts: components like Risk Response, Event Identification, Internal Environment, and Monitoring COBIT Framework: Governance objectives, domains (Plan, Acquire, Deliver, Monitor), and IT control criteria such as integrity, confidentiality, availability, and compliance Internal Professional Practices Framework (IPPF) issued by the IIA, including mandatory guidance (Code of Ethics, Standards) and endorsed guidance (Practice Guides, Advisories) Quality Control and Cost Analysis: conformance costs (prevention and appraisal) vs. nonconformance costs (internal/external failures), with practical examples like inspection, product redesign, warranty liabilities Ideal for: CPA candidates preparing for the BEC exam portion Accounting, auditing, and business majors seeking real-world application of internal control and IT governance Business students preparing for final assessments in enterprise risk, quality control, and information systems Professionals reviewing ERM, compliance, and internal audit frameworks The document ensures deep understanding of concepts through bullet-point explanations, keywords, and structured formats, simulating real CPA exam questioning and logic. Keywords: COSO framework, enterprise risk management, ERM, COBIT domains, CPA BEC exam, IPPF, internal controls, risk response, quality control costs, IT governance, control activities, audit frameworks, business ethics, prevention costs, appraisal costs