cma exam preparation

Inside Talk Webinar Series

© 2013 Institute of Management Accountants. All rights reserved. 1

Inside Talk

The CMA Exam:

Test-Taking Tips and Strategies

Kristine Parsons, PhD, CMA, CFM

Lisa Beaudoin, CMA, CAE

April 23, 2013 www.hockinternational.com


© 2013 Institute of Management Accountants. All rights reserved.

Webinar Features:

Audio Broadcast: • You should hear sound through

your computer speakers or

headphones

• To listen to the audio by telephone,

click the “Request” icon at the

bottom Panel for teleconference

Asking Questions: • Questions may be submitted using

the Q&A area on the left side of the

console

• Questions will be addressed after

the formal presentation

2

Should you experience any technical difficulty, please click the

“Help” icon at the bottom of the console for audience support.

Pop-up Blockers: • Please temporarily disable your

internet pop-up blockers

Volume Slider



Webinar Materials and Access to Recording

• You can print the slides from today’s presentation

• You can download a PDF of the slides

• IMA Members can also view this webinar again

Visit IMA’s website:

www.imanet.org/programs_events/webinars.aspx



CPE Credit Requirements

4

• CMAs, CFMs & CPAs can report 1-hour of CMA and

NASBA approved CPE for today’s event

• Click the “CPE” icon at the bottom of your console to

access your Certificate of Completion. Please print

for your records.

• Your CPE credit will now be automatically recorded

in your transcript and local Chapter representatives

no longer need to record webinar credit.



Moderator

5

Ella Suponitskiy, CMA, CPA

Senior Manager

Certification & Exams

IMA



Featured Presenter

6


Associate Professor

Department Chair of Accounting

Ashland University



Featured Presenter

7


Director of

Educational Partnerships

IMA



Upon completing this webinar, you will be able to:

1. Understand the testing format of the CMA exam

2. Learn how to manage your time on the CMA exam

3. Understand how the essay responses are graded

4. Know what to expect at the testing center

Learning Objectives



Agenda

• Why become a CMA?

• Starting the certification process

• CMA exam structure

• Study tips

• What to expect at the testing center

• Exam tips and strategies

• Steps to become a CMA

9



Why Should You Become a CMA?

10

• The CMA is a relevant and rigorous professional

certification exam

• Confirms that an individual has a mastery of the critical

skills and knowledge in planning, analysis, control and

decision support

• Salary studies continue to show that CMA-certified

individuals earn more than their non-certified peers



a) Yes

b) No

11

Do you plan to sit for the CMA exam within the

next twelve months?

Polling Question 1



Starting the Certification Process

12

• Join IMA Regular members (age 32+): $215/year + $15 one-time processing fee

Young Professional members (age 32 & younger): $140/year + $15 processing fee

Student members: $39/year

• Pay the CMA Certification Entrance Fee Regular and Young Professionals: $225

Student members: $75

One-time fee; valid for three years

Must register to sit for an exam part within 12 months of entering CMA program

• Exam Part Fees Regular and Young Professionals: $350 per part, or $600 for both parts in the same

testing window

Student members: $175 per part, or $125 for both parts in the same testing window

Note: CMA Entrance Fee and Exam Part Fees will be increasing on July 1, 2013



CMA Exam Structure

Part 1 – Financial Planning, Performance and Control 4 hours, 100 multiple-choice questions and two 30-minute essay scenarios

Planning, budgeting, and forecasting (30%)

Performance measurement (25%)

Cost management (25%)

Internal controls (15%)

Professional ethics (5%)

Part 2 – Financial Decision Making 4 hours, 100 multiple-choice questions and two 30-minute essay scenarios

Financial statement analysis (25%)

Corporate finance (25%)

Decision analysis and risk management (25%)

Investment decisions (20%)

Professional ethics (5%)

13



a) Performance Management

b) Cost Management

c) Financial Statement Analysis

d) Corporate Finance

e) Other

14

Which sections of the CMA exam do you expect to

be the most challenging for you?

Polling Question 2



Difficulty Level of Questions

15

Cognitive Skill Levels Tested

• Level A: knowledge and comprehension

The “basics” or fundamentals

• Level B: knowledge, comprehension, application and analysis

“Intermediate” level

• Level C: knowledge, comprehension, application,

analysis, synthesis and evaluation

“Advanced” or “Mastery” level



CMA Exam Preparation Options

16

• Gauge your study needs with the CMA Exam Support Package (ESP) Receive access for 6 months upon joining the CMA program

Helps to identify strengths and weaknesses

Not a complete study program; includes an assessment tool

• Flexible exam prep options offered by review course providers worldwide See IMA website for more details

• Various learning options to fit your style Self-study (print and online)

Live, instructor-led courses

Study groups (online)



a) I prefer to study on my own

b) I prefer to study with a group

c) I prefer to take an instructor-led course

17

To prepare for the CMA exam, would you prefer to

study on your own, with a group, or take an

instructor-led course?

Polling Question 3



Study Tips

18

• Establish a regular study schedule

• Pace yourself – don’t cram

• Don’t spend too much time studying content that you already know; get out of your comfort zone and study topics that you find difficult and challenging

• Create your own flashcards with formulas or terms

• Write out your own notes, in your own words

This enhances the learning process



Study Tips

19

• Use CMA exam prep materials

Test your knowledge with retired exam questions

(both multiple choice and essay)

• Be sure to completely understand all concepts

• The exam preparation process takes TIME

Figure out how you’ll plan study time into each week

The amount of time needed to prepare will depend

on you, your experience, your skills, etc.



Exam Testing

20

• Exams administered at Prometric Testing Centers (www.prometric.com)

Schedule your exam date and time online, after

receiving your exam authorization number from IMA

• Three exam testing windows offered each year

January and February

May and June

September and October

http://www.prometric.com/



What to Expect at the Testing Center

21

• Arrive early – at least 30 minutes prior to testing time

• Bring personal identification

A valid (non-expired passport), or

Two original forms of id, one with a photograph, both with

your signature

Student ids and social security cards are not acceptable

• Small lockers are available for storage of personal items

Personal items cannot be brought into the testing area

• Wear comfortable clothes and dress in layers




22

• Where You’ll Take the Test:

Private, modular testing booth with ample workspace and lighting

• Calculator Policy

Simple 6-function model, or

Financial calculators models allowed:

HP 10 BII, HP 12C, HP 12C Platinum

Texas Instruments BA II+

• Scrap Paper and Pencils Will be Provided

Be neat when using your scrap paper, so that you can refer back to your notes and calculations



• CMA Exam Tutorial

15 minutes, does not count toward exam time

Learn how to navigate through testing system, mark

questions, etc.

May use this time to write down formulas, definitions,

on scrap paper

• No food or drink allowed

• Bathroom breaks allowed, but will use up your exam time

• Fingerprinting requirement at Prometric to begin Fall 2013




Exam Strategy

24

To pass the exam, you need:

• Knowledge

• Confidence

• Effective Time Management



Exam Strategy: Multiple Choice Questions

• Answer a question in your mind before looking at

answer options

• Pay close attention to wording of each question

Look for words like “except,” “least” and “most”

• Three-Pass Technique for Multiple Choice section

1) Read questions and answer non-computational ones; mark others

2) Answer computational questions, mark questions that you are unsure about

3) Review marked questions

25



• Answer all questions

No penalty for incorrect responses

• Biggest risk: Spending too much time on one question

On average, plan to spend about 1.5 minutes per question

• Maintain a positive mental outlook!

• Review, correct, go back to more difficult questions

• You have up to 3 hours to complete multiple choice section

If you finish in less than 3 hours, then you can carry forward

any unused time to the essay section

26

Exam Strategy: Multiple Choice Questions



Multiple Choice: Sample Screen Shot

Use your mouse to select your

answer on the screen



• Don’t be afraid of the essay section of the exam!

• This section provides a great opportunity to earn

partial credit

Be sure to show your work and assumptions

• Expect 3-6 questions for each essay scenario

• You can scroll between questions and scenarios

within the essay section of the exam

Helps to determine how much time you will need

for responses

28

Exam Strategy: Essay Questions



• Pay close attention to verbs

E.g., if it says compare or contrast, don’t define something

• Read the entire question to understand all requirements

You may have more than one requirement, for example:

“Define abc and interpret its applicability to xyz.”

• Grammar and writing skills

Focus is on use of standard English, organization and clarity

Graders are looking for effective writing skills

29




• Be brief and to the point

It’s ok to use bullet points

• Do not leave a questions blank

If short on time, at least write an outline of your main points

• Graders are looking to give you points, not take them away

Make it as easy as possible for graders to give you points!

30




• Type your responses into a text box

Similar to MS Word, but with more simple functionality

Effective January 2013, the spreadsheet tool is no

longer being used on the CMA exam

• Be sure to use all of the time available to you

31




Essay: Sample Screen Shot

Type your response here



Test Anxiety

33

• Everybody gets nervous about exams!

• Try to channel your nervous energy in a positive way

• Focus on doing your best and remember that you can

always sit for the exam again

• If you forget how to do something or draw a blank,

return to the question later

Effective study and preparation is the best

approach to alleviate anxiety and enhance

self-confidence on exam day



Exam Structure & Feedback

• Exam structure

3 hours of multiple choice questions ~ 75% of score

1 hour of essay questions ~ 25% of score

• Must earn at least 50% on multiple choice section in order to advance to essay section

• Exam results available approximately 6 weeks after end of testing month

Test in May Results available in mid-July

Test in June Results available in mid-August

Results mailed via regular mail, also posted to your IMA account

34



When the Exam is Over

• Scaled score, with 500 maximum points

Passing score = 360 or higher

• If you pass:

Start preparing for the next exam or complete the certification process requirements

• If you don’t pass:

Create a strategy to retake the exam as soon as possible

Prometric will send a Performance Report ~ 2 weeks after exam results are available

Basic feedback provided; shows topics that need improvement

35



a) Yes

b) No

c) I don’t know

36

Are there other employees at your company who

would benefit from learning more about the CMA or

by pursuing the CMA designation?

Polling Question 4



Steps to Become a CMA

37

Once You’ve Passed the Two Exam Parts –

• Submit proof of your educational requirement to IMA

• Complete and submit the Experience Verification Form

(available on the IMA website)

• You’ll receive your CMA certificate number once your education and experience documents have been verified

• Your CMA certificate will be mailed in 2-3 weeks

You can now use “CMA” after your name!

Note: Your annual CPE requirement will begin in

the calendar year after you pass both exam parts.



Best of luck

to you

on the

CMA Exam!



Questions & Answers Use the Q & A Panel to send your questions to our panelists


Associate Professor


Ashland University

Ella Suponitskiy, CMA, CPA

Senior Manager

Certification & Exams

IMA


Director of


IMA



Thank You to Our Featured Presenters!


Director of


IMA

Kristine Parsons, Ph.D., CMA, CFM

Associate Professor


Ashland University



Final Reminders

• Complete the Evaluation poll – on your screen

• Access to your CPE Certificate – 2 Options

Click the “CPE” icon at the bottom of your console

or

Click the link in your post-event email

• Please print a copy of the CPE certificate for your records.

• Your CPE credit will be automatically recorded in your

transcript.

41



Notification of Future Webinar Schedules

Next Inside Talk Webinar:

• Best Practices in Financial Reporting

Thursday, May 2, 2013 1PM ET

For Upcoming Events:

• Visit IMA’s website at

www.imanet.org/programs_events/webinars.aspx

Log-in with your User Name & Password

Remember to check IMA’s Learning Spotlight for upcoming webinar events

42



Illuminate, Innovate, Invigorate…

• IMA’s 94th Annual Conference & Exposition

• Please join us June 22-26 New Orleans Louisiana

• Over 45 sessions to select from

• 28+ NASBA CPE to earn

• Register today

43

http://www.imaconference.org/



Thank You to Our Sponsor!

www.hockinternational.com

cma exam preparation

Documents