Given that most people are probably experiencing the “busy season” I thought this might be a good time to just introduce some light UFE topic that are good to be aware of.
The UFE Candidates’ Competency Map: Understanding the Professional Competencies Evaluated on the UFE document is available for download from the CICA. This document is large and a bit difficult to navigate in some places but it’s essentially the document that’s used as the base to develop the UFE. The Competency Map will provide you will all the info you need about what may be tested on the UFE but this is probably not the most efficient way to study, so make notes but you’ll need other materials. The document describes itself as:
The UFE Candidates’ Competency Map (the Map) provides an overview of the specific professional competencies and proficiency levels that CA candidates are expected to demonstrate on the profession’s Uniform Evaluation (the UFE).
This is a good time to introduce those that are not familiar to the Competencies that are tested on the UFE. A competency is basically a subject matter that you’re expected to show your ability in. You need to be competent in that subject matter. For those familiar, skip to the bottom for changes in 2013. Page 6 of the Map:
Governance, Strategy and Risk Management (or GSRM)—competencies related to the development and evaluation of an entity’s ability to make decisions and maximize its organizational performance, including its governance, strategies, policies and resources;
Performance Measurement and Reporting (or PMR)—competencies related to the presentation of an entity’s financial and non-financial information to external and internal users to meet their reporting needs;
Assurance (or ASSUR)—competencies related to enhancing the reliability of information, including the validation, testing, and the provision of broadly defined assurance services, including statutory and regulatory audit/assurance requirements, documentation and evaluation of controls;
Finance (or FIN)—competencies related to the financial management of assets and liabilities, treasury and assessment of an entity’s value;
Management Decision-Making (or MDM)—competencies related to the identification of information needs, and to the development and use of decision-making tools in achieving the entity’s strategies;
Taxation (or TAX)—competencies related to taxation planning, compliance, and reporting for various entities.
Weightings in 2013 will be:
- Assurance: 25-35%
- Performance Measurement & Reporting: 20-30%
- Finance: 10-20%
- Management Decision-Making: 10-20%
- Taxation: 10-20%
- Governance, Strategy and Risk Management: 5-10%
Don’t forget, the UFE doesn’t allow you to skip any competency so you must meet a minimum standard on each. This is not the case for School of Accountancy (SOA) in Ontario.
Updates and Changes
In Appendix A of the document you will find a list of significant changes made in the newest version. This is good to review for all including Ontario students, since the CKE is based the previous year’s competency map.
Changes in Performance Measurement & Reporting
- IFRIC 20 – Stripping Costs in the Production Phase of a Surface Mine (effective January 2013) was added to the knowledge reference list
- IFRS 10 was added to the knowledge reference list to replace SIC 12.
Changes in Assurance
Changes in Taxation
Additions to the Knowledge Reference List:
2. Computation of income
- Partnerships—Elimination of corporation tax deferral 34.2, 34.3
8. Other sources of income inclusions and deductions
- Inclusions—Limitation of scholarship exemption 56(3.1)
15. Rules applicable to individuals—Other tax credits:
- Children’s arts tax credit
- Volunteer firefighter tax credit
- Tuition tax credit for occupational, trade or professional examination
Finally, just a reminder that there is one more update that comes every year for the UFE in the form of the March 31, 2013 Technical Update.