Breaking Down the Levels of ACCA: Your Step-by-Step Guide to Qualification

The ACCA qualification is unlike any other professional certification. It covers basic principles of accounting to real world application of niche accounting techniques. Most ACCA students lose time not because they lack motivation — but because they don’t fully understand how the levels of ACCA actually work.

When do exemptions apply? Which paper is tougher, FM or PM? How does SBL even function with its 4-hour case study format?

If you’re serious about becoming a global finance professional, you need a clear roadmap. This step-by-step breakdown of the levels of ACCA walks you through the exams, papers, exemptions, and work experience — in the right order.

Let’s demystify it.

The ACCA Journey at a Glance: What Are the 3 Levels of ACCA?

ACCA’s qualification journey is structured into three levels of ACCA:

1. Applied Knowledge
2. Applied Skills
3. Strategic Professional

 

Each level is designed to grow your accounting skills from the basics of bookkeeping to advanced leadership and decision-making. But these exams aren’t the only criteria. To qualify as an ACCA member, you’ll also need to complete:

• The Ethics and Professional Skills module (EPSM)
• A minimum of 36 months of work experience (called PER – Practical Experience Requirement)

And depending on your education background, you may start directly at Level 2 by passing Level 1 with exemptions.

Let’s take a closer look at each of these levels of ACCA.

Applied Knowledge Level: BT, MA, FA

This is your starting point, unless you’re eligible for exemptions.

You’ll cover three subjects here:

• BT – Business and Technology: Understand the business environment, management roles, and how tech influences modern accounting.
• MA – Management Accounting: Learn cost accounting, budgeting, performance evaluation.
• FA – Financial Accounting: Dive into double-entry bookkeeping, financial statements, and basic IFRS concepts.

 

Exam Format: All three exams are computer-based, lasting 2 hours each. They include MCQs, fill-in-the-blank, and short scenario questions.

Who Gets Exemptions?

If you’re a commerce student with a B.Com, BBA, or are doing your CA foundation or IPCC, you may be eligible to skip this level of ACCA.

Use ACCA’s official exemption calculator to check your eligibility.

Smart Tip

Don’t wait to finish college before starting ACCA. The Applied Knowledge level is ideal to tackle during your first or second year of college. You can even complete this entire level in 3–6 months with consistent study and the right coaching.

ACCA can also be pursued by 10th graduates and non commerce background students, by starting with their ACCA foundation level.

Applied Skills Level: FR, PM, TX, LW, FM, AA

This is where ACCA gets more technical and job-ready. Of all the levels of ACCA, applied skills has the maximum number of exams. The six papers in this level are:

• FR – Financial Reporting
• PM – Performance Management
• TX – Taxation
• LW – Corporate and Business Law
• FM – Financial Management
• AA – Audit and Assurance

Exam Format

These are 3-hour exams with MCQs, structured questions, and real-world scenarios that test your analytical skills. Questions often simulate actual job responsibilities. These include questions like adjusting financial statements, calculating tax, or identifying audit risks.

Who Gets Exemptions?

Some commerce graduates, CA inter-qualified students, or those with finance-related degrees may get partial exemptions.

Again, check with the ACCA exemption calculator.

Smart Tip

Start working on your PER while preparing for this level. Real-world exposure makes the upcoming exams easier. You’ll begin to connect theory with actual client work.

Pro Tip: Pair Kaplan exam kits with mock test series and live doubt-solving classes. All the levels of ACCA can be cracked by combining smart practice with real-time faculty feedback.

Strategic Professional Level: The Final Stretch

This is where you stop being a student and start thinking like a leader.

There are two essential papers:

1. SBL – Strategic Business Leader
2. SBR – Strategic Business Reporting

And you choose any two optional papers from:

• AFM – Advanced Financial Management
• ATX – Advanced Taxation
• AAA – Advanced Audit and Assurance
• APM – Advanced Performance Management

 

Also Read: ACCA Free Courses

How to Choose the Right Optional Papers:

• Interested in investment banking or consulting? → Choose AFM and APM
• Thinking of working in a Big 4 audit firm? → Go for AAA and ATX
• Want to specialize in tax or financial analysis? → Pick ATX + AFM combo

No Exemptions Here

Every student has to take these four papers — no matter their background.

Exam Format

These are 4-hour exams and 100% case study based. You’ll be tested on business strategy, leadership decisions, ethics, and long-term financial planning — the kind of stuff you’d do as a CFO or financial consultant.

Smart Tip

This level is tough. Join a coaching institute like Proschool to help clear the exam and reduce stress. Proschool offers mentorship sessions with qualified ACCAs. You’ll also get personalised study plans, unlimited doubt-clearing and case-study workshops to prepare you for all levels of ACCA.

Ethics and Work Experience: Complete the Qualification

Ethics and Professional Skills Module (EPSM)

This is an online module you can complete in 20 hours. It builds skills like leadership, communication, commercial awareness and ethical decision-making — all critical for the real world.

When to take it?
Ideally before or during your Strategic Professional level. It even helps boost your exam performance. Many ACCA examiners recommend it.

Practical Experience Requirement (PER)

You need 36 months of relevant work experience. That means working in roles related to accounting, finance, tax, audit, or analysis; either part-time or full-time.

You must also demonstrate achievement of 9 specific performance objectives.

Also Read: Is ACCA Really That Tough?

Expert Tips for Navigating ACCA

• Start Early: You can take the Knowledge level during your 12th or first year of college.
• Use Exemptions Wisely: Don’t skip papers you’re weak in, even if exempted. Consider preparing anyway.
• Do Work + Study Together: The flexibility of ACCA lets you intern, work part-time, and study.
• Choose the Right Learning Partner: Choosing the right ACCA coaching partner (ALPs) ensures expert guidance, structured learning, timely doubt-solving, and job support. All of which help you pass all levels of ACCA faster. It also helps you stay motivated and smoothly complete your work experience requirements.

 

Sign up for a free ACCA consultation. Let our experts help you plan your exemptions, timeline, and ideal learning method.

Milestone Certificates You Earn Along the Way

Even before you become a full member, ACCA awards milestone certificates. These are great for your resume or LinkedIn.

Level Completed	Certificate Awarded
Applied Knowledge + Ethics	Diploma in Accounting and Business
Applied Skills + Ethics	Advanced Diploma in Accounting and Business
Strategic Professional	Strategic Professional Certificate

 

Many Indian students have used these to get internships, freelance gigs, or even full-time roles before completing the full qualification.

Why Choose Proschool as Your ACCA Approved Learning Partner?

Proschool is a Gold Tier ALP that offers:

• Structured Learning & High-Quality Content aligned with ACCA’s global syllabus.
• Expert ACCA-Trained Faculty who provide deep insights and practical learning.
• Extensive Exam Prep Support, including 600+ practice questions per subject.
• Dedicated Student Mentorship to help you through challenges with dedicated revision classes and doubt solving sessions.
• Career Support & Job Placement Assistance, ensuring at least 3 job shortlists within 6 months.
• Exam pass commitment, ensuring students receive unlimited doubt-solving sessions if they fail an exam.
• In addition, Proschool offers a Free Financial Modelling course worth ₹40,000.

If you want a high-quality learning experience at an affordable price, Proschool is the best choice for your ACCA journey.

Contact us now to book a free 15-min demo session.

Conclusion

The three levels of ACCA — Applied Knowledge, Applied Skills, and Strategic Professional help you to become a qualified accountant. By understanding each level’s purpose you give yourself a major head start.

To navigate the ACCA journey smartly, use the exemptions offered and start your work experience early. The blog includes smart tips for every level, guidance on choosing your optional papers, and insights on how to make strategic study choices early on. Combine that with Proschool’s coaching and support and you’re already ahead of your peers.

FAQs

Can I skip levels with exemptions?

Yes! Use the exemption calculator to find out what you can skip based on your degree or other qualifications.

Are ACCA exams available in India?

Absolutely. Computer-based exams are held in cities like Mumbai, Delhi, Chennai, Bangalore, and more.

How long will it take if I’m doing college side-by-side?

If you start in 12th or early college, you can finish ACCA in 3–4 years. With good planning, some students clear it within 2.5 years.

Can I get a job abroad after ACCA?

Yes. ACCA is recognized in 180+ countries. You can work in Dubai, the UK, Singapore, Canada, and more — either as a student or after becoming a member.