CEP Study Guide 2026
Everything you need to pass the CEP exam in one place: the exam format, every topic to study, real practice questions with explanations, flashcards, and full-length practice tests. Free, no sign-up needed.
📋 CEP Exam Format at a Glance
📚 CEP Topics to Study (52)
✍️ Sample CEP Questions & Answers
1. A company's equity plan must receive shareholder approval for material amendments under which exchange listing requirement?
NYSE Rule 303A.08 and Nasdaq Rule 5635(c) require shareholder approval for material revisions to equity compensation plans.
2. When a company undergoes a stock split, anti-dilution provisions in equity plans typically require which adjustment?
Anti-dilution provisions preserve the economic value of outstanding awards by multiplying the share count by the split ratio and dividing the exercise price by the same ratio.
3. What is the clawback provision in the context of equity compensation?
Clawback provisions allow a company to recoup previously paid equity compensation from executives, typically triggered by financial restatements or violations of conduct policies.
4. During a post-merger equity audit, the auditor must verify that assumed options were repriced to maintain economic equivalence. Which formula governs the adjustment?
Treasury regulations require that assumed options adjust the share number by the exchange ratio and divide the exercise price by the exchange ratio to preserve the intrinsic value.
5. Which holding period requirement must be met for an ISO sale to receive full qualified (long-term capital gain) tax treatment?
ISO qualified disposition requires holding shares more than 2 years from the grant date AND more than 1 year from the exercise date.
6. When a company implements a 10b5-1 plan for an executive, which of the following is a key requirement for the plan to provide an affirmative defense against insider trading allegations?
A 10b5-1 plan provides an affirmative defense only if it was established at a time when the insider did not possess material non-public information.
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📖 CEP Guides & Articles
What Practice Test Geeks adds beyond an AI chat for CEP
An AI chatbot can quiz you, but it can't reproduce the exam conditions or keep your record. Here you get:
- A timed, full-length CEP mock exam — 100 questions in 120 minutes with a 70% pass mark, modeled on the official exam's question count and time limit, followed by a score report broken down by exam domain.
- A fixed CEP question bank: the same test every attempt, so your score is comparable from one try to the next instead of changing with every regenerated quiz.
- Progress saved on your device: completed tests, scores and missed questions stay in My Progress, so you can retake only what you got wrong.
- A printable CEP cheat sheet you can print or save as a PDF.
- CEP flashcards built from the same question bank.
- Free CEP practice tests with the correct answer shown after each question.
How this page was made: written with AI tools and published by Nathan Beja, founder of Practice Test Geeks, who is responsible for its content. Exam facts are checked against the official sources listed below. Not reviewed by a subject-matter expert. Editorial policy
Sources & references
Exam facts on this page (fees, format, dates, passing scores) are checked against these official sources; the date is our last check. Editorial policy
- scu.edu — Exam format, time limit, score validity, test delivery, eligibility, fees, late registration, passing score, registration deadline, registration · verified Oct 2026
- home.pearsonvue.com — Eligibility · verified Oct 2026