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109+ Free KASNEB CPA Intermediate Practice Questions

Pass your KASNEB Certified Public Accountants (CPA) — Intermediate Level (CA21–CA26) exam on the first try — instant access, no signup required.

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2026 Statistics

Key Facts: KASNEB CPA Intermediate Exam

6 papers

Intermediate Level (CA21–CA26)

KASNEB CPA Qualification Page

50%

Minimum Pass Mark Per Paper

KASNEB Examination Regulations

Kshs 2,400

Intermediate Paper Examination Fee

KASNEB Qualifications Booklet

3 hours

Official Paper Duration

KASNEB April 2026 Format Notice

5 questions

Compulsory Questions Per Paper (from April 2026)

KASNEB April 2026 Format Notice

C+

Minimum KCSE Grade for CPA Entry

KASNEB CPA Qualification Page

KASNEB CPA Intermediate Level covers six papers (CA21–CA26) in company law, finance, reporting, auditing, management accounting, and taxation. Candidates need 50% to pass each paper, sit three-hour sessions of five compulsory questions (from April 2026), and pay Kshs 2,400 per paper plus standard KASNEB registration fees.

Sample KASNEB CPA Intermediate Practice Questions

Try these sample questions to test your KASNEB CPA Intermediate exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 109+ question experience with AI tutoring.

1Under the Companies Act, 2015, a company registered in Kenya is best described as:
A.A body corporate with separate legal personality from its members
B.An unincorporated association whose members have no limited liability
C.A branch office of the Registrar of Companies
D.A partnership whose partners share profits but lack corporate status
Explanation: A registered company is a body corporate with perpetual succession and separate legal personality. It can own property, contract, sue, and be sued in its own name, distinct from shareholders and directors.
2Which combination of features typically identifies a private company under the Companies Act, 2015?
A.Minimum seven subscribers and mandatory stock exchange listing
B.Restrictions on share transfers, a fifty-member limit, and no public share offers
C.Unlimited liability of all members and no register of members
D.Compulsory annual audit waiver and prohibition of directors
Explanation: Section 9 of the Companies Act, 2015 defines a private company by articles restricting share transfers, limiting members to fifty (subject to employee-member rules), prohibiting public invitations to subscribe, and requiring member consent to admit new members.
3A promoter of a Kenyan company owes which duty BEFORE incorporation?
A.To avoid all pre-incorporation contracts on behalf of the proposed company
B.To bind the unincorporated company to every contract they negotiate
C.To disclose any secret profit or interest in transactions with the company
D.To distribute preliminary profits to subscribers before incorporation
Explanation: Promoters stand in a fiduciary relationship to the company they are forming. They must disclose secret profits and material interests in pre-incorporation contracts so the company can decide whether to adopt those arrangements.
4A contract signed by a promoter before a company is incorporated:
A.Can only be enforced against the Registrar of Companies
B.Automatically binds the company from the date of signing
C.Is void and cannot be enforced by any party
D.Is generally not binding on the company unless ratified or novated after incorporation
Explanation: At common law a company cannot be bound by pre-incorporation contracts because it did not exist when they were made. The promoter may be personally liable unless the company and other parties later ratify or novate the contract.
5The nominal value of a share in a company limited by shares represents:
A.The minimum amount a member agrees to contribute on a winding up, as stated in the memorandum
B.The current market price on the Nairobi Securities Exchange
C.The total assets of the company divided by directors
D.The amount of tax payable when shares are issued
Explanation: Nominal (par) value is the amount stated in the company's constitution that a member undertakes to contribute if the company is wound up. It differs from market value, which fluctuates with trading conditions.
6In a private company, restriction on transfer of shares is usually enforced through:
A.A prohibition in the Income Tax Act on all share sales
B.Provisions in the articles of association requiring director approval or pre-emption rights
C.Automatic conversion of shares into debentures
D.Mandatory sale only to the Registrar of Companies
Explanation: Private companies commonly include pre-emption rights and director approval requirements in their articles to control membership and comply with the statutory private company definition.
7A director's fiduciary duty of loyalty in Kenyan company law primarily requires the director to:
A.Maximise personal gain from every company transaction
B.Follow only the instructions of the largest shareholder regardless of legality
C.Act in what they honestly believe to be the best interests of the company as a whole
D.Avoid keeping any company records
Explanation: Directors must act in good faith in the best interests of the company, avoid conflicts of interest without disclosure, and not use company property or information for personal benefit.
8A special resolution under the Companies Act, 2015 generally requires:
A.Approval by ordinary resolution of the board alone without members
B.A simple majority of more than fifty per cent only
C.Unanimous consent of every creditor
D.A majority of not less than seventy-five per cent of votes cast
Explanation: Special resolutions require at least seventy-five per cent of votes cast at a properly convened meeting (or written resolution where permitted). They are used for major changes such as altering articles or reducing capital.
9A floating charge over a company's assets differs from a fixed charge because it:
A.Crystallises on defined events and covers assets that change in the ordinary course of business
B.Always attaches to a specific plot of land only and never changes
C.Requires no registration with the Registrar of Companies
D.Ranks ahead of all preferential creditors in every insolvency
Explanation: A floating charge hovers over a class of assets (such as stock or debtors) that fluctuate until crystallisation on events like default or appointment of a receiver. Fixed charges attach to specific assets from creation.
10Removal of a company's auditor before expiry of term generally requires:
A.A verbal request by one director only
B.Special notice to the company and approval by shareholders at a general meeting
C.Automatic removal upon any qualified audit report
D.Consent of the Kenya Revenue Authority
Explanation: Auditor removal follows statutory procedure including special notice, opportunity for the auditor to be heard, and shareholder approval at a general meeting, with notification to the Registrar.

About the KASNEB CPA Intermediate Exam

The KASNEB CPA Intermediate Level comprises six papers: CA21 Company Law, CA22 Financial Management, CA23 Financial Reporting and Analysis, CA24 Auditing and Assurance, CA25 Management Accounting, and CA26 Public Finance and Taxation. Candidates must complete Foundation Level before sitting Intermediate papers. From April 2026, each live paper consists of five compulsory questions in a three-hour session. This free practice bank reformats the same syllabus content into 100 multiple-choice items for efficient revision across all six subjects.

Questions

100 scored questions

Time Limit

3 hours per official paper (five compulsory questions from April 2026)

Passing Score

50% per paper

Exam Fee

Kshs 2,400 per Intermediate paper (plus Kshs 7,500 registration and Kshs 2,000 annual renewal for new students) (Kenya Accountants and Secretaries National Examinations Board (KASNEB))

KASNEB CPA Intermediate Exam Content Outline

~17%

CA21 — Company Law

Companies Act 2015: personality, formation, shares, capital, meetings, directors, auditors, insolvency

~17%

CA22 — Financial Management

NPV, IRR, WACC, working capital, dividends, capital structure, valuation, and ratios

~17%

CA23 — Financial Reporting

IFRS/IAS standards, consolidation, leases, cash flows, provisions, and IPSAS

~17%

CA24 — Auditing and Assurance

Audit risk, controls, evidence, fraud, sampling, going concern, and audit opinions

~16%

CA25 — Management Accounting

Costing, CVP, budgets, variances, ABC, relevant costs, and ROI

~16%

CA26 — Public Finance & Taxation

Kenya income tax, VAT, PAYE, withholding, PFM, IPSAS, customs, and SEP tax

How to Pass the KASNEB CPA Intermediate Exam

What You Need to Know

  • Passing score: 50% per paper
  • Exam length: 100 questions
  • Time limit: 3 hours per official paper (five compulsory questions from April 2026)
  • Exam fee: Kshs 2,400 per Intermediate paper (plus Kshs 7,500 registration and Kshs 2,000 annual renewal for new students)

Keys to Passing

  • Complete 500+ practice questions
  • Score 80%+ consistently before scheduling
  • Focus on highest-weighted sections
  • Use our AI tutor for tough concepts

KASNEB CPA Intermediate Study Tips from Top Performers

1Complete Foundation Level credits before booking Intermediate papers — KASNEB requires progression through the CPA structure.
2Study CA21 Company Law alongside the Companies Act, 2015 and Insolvency Act, 2015; many CA24 audit topics assume this knowledge.
3Drill calculations daily for CA22 (NPV, WACC) and CA25 (break-even, variances) — computation questions reward practice.
4For CA23, focus on IFRS 15 revenue, IFRS 16 leases, IFRS 9 financial instruments, and consolidation under IFRS 10.
5Learn Kenya tax rates and obligations for CA26: VAT at sixteen per cent standard rate, PAYE withholding, and capital allowances.
6Use KASNEB past papers for essay practice alongside this MCQ bank for concept drilling.
7Book examinations early through online.kasneb.or.ke and confirm annual registration is active before the deadline.

Frequently Asked Questions

What papers make up the KASNEB CPA Intermediate Level?

The Intermediate Level has six papers: CA21 Company Law, CA22 Financial Management, CA23 Financial Reporting and Analysis, CA24 Auditing and Assurance, CA25 Management Accounting, and CA26 Public Finance and Taxation.

Who administers the CPA Intermediate examination?

The examination is set and administered by KASNEB at designated centres in April, August, and December each year. Applications and payments are made through the KASNEB online student portal.

What is the pass mark for Intermediate papers?

Candidates must score at least 50% in each paper to pass. A referred candidate re-sits only the failed paper at a later sitting while retaining credits for passed papers.

How much does each Intermediate paper cost?

The Intermediate Level examination booking fee is Kshs 2,400 per paper. New students also pay a one-time registration fee of Kshs 7,500 and an annual renewal fee of Kshs 2,000.

What is the official exam format from 2026?

From the April 2026 sitting, each KASNEB professional paper consists of five compulsory questions answered in a three-hour session. Marks per question are shown on the paper.

What must I complete before sitting Intermediate papers?

You must be registered as a KASNEB CPA student with valid annual renewal and have completed or received credit for the Foundation Level papers (CA11–CA16) before sitting Intermediate Level.

Does this practice bank cover all six Intermediate subjects?

Yes. The 100 multiple-choice items are distributed across all six Intermediate papers so you can revise company law, finance, reporting, auditing, management accounting, and taxation in one place.

Are these practice questions multiple-choice?

Yes. The official papers use written compulsory questions, but this free bank provides 100 multiple-choice items with explanations so you can revise and self-test quickly.