The use of exams for classification purposes has become prevalent across many fields including professional assessment for employment screening and standards based testing in educational settings. Classification exams assign individuals to performance groups based on the comparison of their observed test scores to a pre-selected criterion (e.g. masters vs. nonmasters in dichotomous classification scenarios). The successful use of exams for classification purposes assumes at least minimal levels of accuracy of these classifications. Classification accuracy is an index that reflects the rate of correct classification of individuals into the same category which contains their true ability score. Traditional methods estimate classification accuracy via methods which assume that true scores follow a four-parameter beta-binomial distribution. Recent research suggests that Item Response Theory may be a preferable alternative framework for estimating examinees' true scores and may return more accurate classifications based on these scores. Researchers hypothesized that test length, the location of the cut score, the distribution of items, and the distribution of examinee ability would impact the recovery of accurate estimates of classification accuracy. The current simulation study manipulated these factors to assess their potential influence on classification accuracy. Observed classification as masters vs. nonmasters, true classification accuracy, estimated classification accuracy, BIAS, and RMSE were analyzed. In addition, Analysis of Variance tests were conducted to determine whether an interrelationship existed between levels of the four manipulated factors. Results showed small values of estimated classification accuracy and increased BIAS in accuracy estimates with few items, mismatched distributions of item difficulty and examinee ability, and extreme cut scores. A significant four-way interaction between manipulated variables was observed. In additional to interpretations of these findings and explanation of potential causes for the recovered values, recommendations that inform practice and avenues of future research are provided.