The CMA US Exam: How it is Graded?
The CMA (Certified Management Accountant) exam is a professional certification exam offered by the Institute of Management Accountants (IMA). It is designed to measure the skills and knowledge required for management accounting and financial management. The CMA US, being a lengthier financial exam, it is crucial for the candidates to attain a prior knowledge of the CMA US exam pattern along with the system of assessment for better time management in situ. For better understanding, such aspects are discussed below to prepare yourself in a much better manner to clear the CMA US exam at your first attempt. The CMA exam consists of two parts, each covering different areas of expertise.
Exam Structure
Each part of the CMA exam consists of 100 multiple-choice questions (MCQs) and Two essay questions
Grading Process in the CMA US Exam
The grading process in the CMA US exam uses an unique scaled scoring system to ensure fairness and consistency as discussed below.
The Scaling System of CMA US Exam
It has 2 components i.e. the scoring and scaling system. Here is how the scoring and scaling system works:
Raw Scores and Scaled Scores
Raw Score: This is the actual number of questions answered correctly.
Scaled Score: This is a conversion of the raw score to a scaled score ranging from 0 to 500. This scaling process accounts for slight variations in difficulty across different exam forms.
Scoring Breakdown
MCQs: There are 100 MCQs in each part of the exam, and they account for 75% of the total score. The candidates get 3 hours to complete this section where 4 options are provided to select the correct one. The best thing about the MCQ section is it is devoid of any negative marking. These are graded by a computerized system. Each correct answer contributes equally to the MCQ portion of the score.
Essay Questions: There are two essay questions in each part of the exam, and they account for 25% of the total score. The essay responses are graded by human graders who are experts in management accounting. They use a standardized grading rubric to ensure consistency and fairness. In the given time scale to complete both the sections. The essay section accounts for 25% of the total exam score. Each essay question typically contains a few sub-questions that require written responses and sometimes calculations. Here 30 minutes will be allotted for each essay question i.e. 1 hour for the 2 essay questions in total. If you manage to complete your MCQs before time, you can utilize the remaining left-over time for the essay section as well.
Passing Score
To pass each part of the CMA exam, a candidate must achieve a scaled score of 360 out of 500.
Process
MCQ Section: Candidates must first complete the MCQs. To advance to the essay section, candidates must answer at least 50% of the MCQs correctly.
Essay Section: The essay section is only graded if the candidate has met the minimum threshold on the MCQs.
Weightage and Conversion
MCQs: Each correct MCQ contributes to the raw score, which is then scaled.
Essays: Each essay is scored by human graders and contributes to the raw score, which is also scaled.
The scaling process adjusts scores to account for any minor differences in difficulty among various versions of the exam, ensuring that all candidates are assessed on a level playing field.
Weight of Sections
Each part of the exam has different sections with specific weightage. Here is the breakdown:
Part 1: Financial Planning, Performance, and Analytics
External Financial Reporting Decisions – 15%
Planning, Budgeting, and Forecasting – 20%
Performance Management – 20%
Cost Management – 15%
Internal Controls – 15%
Technology and Analytics – 15%
Part 2: Strategic Financial Management
Financial Statement Analysis – 20%
Corporate Finance – 20%
Decision Analysis – 25%
Risk Management – 10%
Investment Decisions – 10%
Professional Ethics – 15%
Preparation Tips to tackle the CMA US Exam Effectively:
Understand the Content: Familiarize yourself with the topics and the weight they carry in each part of the exam.
Practice MCQs and Essays: Regular practice helps in improving speed and accuracy for the MCQs and structuring well-thought-out essay responses.
Time Management: Practice managing your time effectively during the exam to ensure you can complete both the MCQ and essay sections.
By understanding the grading system and focusing your study efforts accordingly, you can better prepare for the CMA US exam and improve your chances of passing.
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Additionally, we invite you to explore our other blogs covering various topics related to the CMA:
Why Should You Pursue CMA US Simultaneously with Your B.Com Course?
How CMA US Can Uplift Your Accounting Career?
Navigating the Eligibility Criteria for the CMA US Exam: What You Need to Know
The Ultimate Guide to Certified Management Accountant (CMA US) Registration: Steps and Tips
Balancing Work, Life and US CMA Exam Preparation: Practical Advice
The Future of Management Accounting: How the US CMA Credential is Evolving
Women in Management Accounting: Breaking the Glass Ceiling with US CMA