[jeff]

Welcome to the Q2 2017 CPA Exam Study Group for AUD. 🙂

Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

[Anonymous]

Hi all!! I took BEC on Tuesday, but I don't get my score until August. So, I'm moving on to AUD! I started studying Becker's AUD material last night. My plan is to take AUD May 31st, before the testing window closes, which gives me 6 weeks! Any advice on how to tackle AUD is appreciated! Thanks!

[Jsn3004]

A CPA is required to comply with the provisions of the Statements on Standards for Attestation Engagements when engaged to:

A.
provide assurance on investment performance statistics prepared by an investment company on established criteria.

B.
issue a letter for an underwriter, also known as a comfort letter, to a broker or dealer of securities.

C.
compile financial statements in conformity with a comprehensive basis of accounting other than GAAP.

D.
communicate with an audit committee regarding management's consultations with another CPA.

Answer: A

Can someone explain why the answer is A and not C?

If an attest engagement is one in which a member is engaged to issue an examination, review, COMPILATION or agreed-upon procedures report on subject matter, or an assertion about subject matter, that is the responsibility of another party (usually management)…

why would the answer not be C, since that answer says “compile financial statements”

[kenckang]

@jsn3004

Attest engagements (SSAE) are: Examinations, Reviews, and Agreed Upon Procedures
Accounting and Review Services (SSARS) are: Reviews, Compilations, and Preparation of Financial Statements

Compilations is not an Attest Service. Attest engagements require independence because the accountant gives some form of assurance on it. Independence is not required for compilations.

[ankur]

Hi Guys,

I'm taking AUD. I scored pretty low. I thought I passed which I didn't. I'm studying with the new material. I started taking notes on the first chapter. I spent over a week on it. My exam is schedule on May 25th. Any advice to speed up the process in order to not fall behind? I'm like a week behind in studying.

[julyaf1207]

Hey ankurcpa!

I have struggled with this as well. Moving WAY to slow through the material. I am finding that my study strategy changes for each test and sometimes for each chapter. With auditing I found myself writing down the same notes over and over again (and I don't know what study material you're using) but I don't really care for Becker's lectures for auditing. I get WAY more through answering tons of multiple choice and making sure I understand why each question is right and why the wrong answers are wrong (even if I answer it right) This seems to be working better for me as I'm getting an average of about 80 now on MCs and I'm really understanding the material where I felt like I wasn't getting anything out of taking notes.Then I'll listen to lectures when there would otherwise be wasted time. Like when I'm driving or baking. Different for everyone though! I'd suggest trying out some different strategies to see what might work for you!

[ankur]

I'm using the new Becker version. It has lecture, skills practice, and multiple choice questions. Any tips?

[kenckang]

do EVERYTHING

[ckimble22]

Little background: I passed my first two attempts (BEC and FAR) using just NINJA Ten Point Combo, prior to the exam change. I just sat for REG – post-Exam-change – again, utilizing only NINJA Ten Point Combo, and would be pleasantly surprised if i got a 65. That's not an indictment of the materials, necessarily – I knew I would struggle with REG.

Anyways, next up is AUD. I plan on using on NINJA Ten Point Combo. I have leaned HEAVILY on the NINJA Plus (Bisk video lectures) for the first 3 sections. I started to do the same with AUD. The videos strongly emphasize the need to memorize a “Standard Unmodified Opinion” to succeed in the exam. Has anyone who has taken AUD since the exam-change think that this still holds true? With the CSO/Blueprint/whatever changes, I imagine that memorization is less emphasized. Should I waste trying to memorize this letter?

[julyaf1207]

@ankurcpa

If you’re at all like me, you’re looking for something a little more than the “You need to do everything” type answer we often get. For me the skills practice is OK. But it's time consuming. So I only use those when I need more clarification on a topic. I don't like that the new Becker doesn't have the whole ebook available. Makes it harder to take notes I think. (I’ve already complained. Probably not fixing this in my testing lifetime!!!)

Like I said, I keep changing my strategy as the material changes so I really think you just have to find what works for you. (PS I know that answer sucks! Lol) But if it helps at all……. here’s what I have done over the past 4 weeks. Taking the test on Monday….…… for Ch. 1-3 I did like it sounds like you're doing. Watched the lectures and took my own notes. Shortly into Ch. 4 I realized I needed to move faster and taking notes wasn't preparing me to answer the questions or do the simulations really because I don't think the lectures do a great job of covering the details you need to know for the MCQs. So. Ch 4-6 I listened to the lectures to become familiar with the information like I said while I was doing something else like driving or I own a bakery so while I’m baking and then I killed multiple choice during my hard focus study time. Here is where I take notes. After each question, I read the explanation of the correct AND incorrect answers. Sometimes the incorrect answer explanations are more helpful! I keep a word doc. And start a bulleted list of things I need to remember or got wrong, or didn’t know, or anything I feel like I should write down. And I try to read through this list everyday. So I do all the MC questions and then run 10 progress tests of 10 questions each from each individual chapter, 1 at a time. (Still taking notes as needed) After I feel like I have a good understanding and am not so much running into the MCQs that I have no idea on I start doing progress tests integrating the chapters. Depending on how much time you have I’d do as many as you can for as long as you need. Then I tackle simulations. I think (at least for me) it’s pointless to even try simulations until I have a good understanding of the material. So I wait till last to tackle those. But I still continue with multiple progress tests every day. Still adding to my notes when I come across something I didn’t know. Keeping the material fresh in your brain is imperative. Again, this is just my strategy and it’s changed like 6 times as I go through the different exams, so this is by no means the “perfect passing strategy” but I wish somebody would have given me ideas and some guidance of what kind of strategy to use as I spent about 4 months spinning my wheels in FAR and this seems to be working for me!

Best of Luck!

[Anonymous]

With only 2 days left – which chapters should I be reviewing? I didn't have much time to study during busy season… crammed all the materials over the course of two weekends.

[julyaf1207]

I am really struggling with the research questions. I'm doing pretty well with the simulations and averaging about 80 on progress test and feeling pretty good except for these stupid research questions which were so easy for FAR! Am I missing something? Does anybody have an tips?

[yozdemir27]

Hi everyone, hope all of you are doing well with your studies.

Might anyone happen to know what the AUD exam focuses more on? This is my 2nd exam, so for example I know that BEC was heavy on IT, COSO, and Variances. Does AUD have it's on trend? (of course I will still study everything completely!)

Thanks!

[Anonymous]

Guys, would you please let me know your suggestion on the following?

Right now, I am thinking whether I should go ahead take AUD on 5/30. As we know, the score of Q3 won't be released until 9/22. I am taking advanced Audit this semester, and the teacher made us study the prep modules of Wiley for the four exams in the class, so I have spent a lot of time on modules in order to get a good grade. The four exams covers 80% to 85% of the whole prep modules. I will be able to study full time for 15 days before one summer class starts on 5/17. Do you think I will be ready for the exam by then? The biggest concern is my reading is not fast (English is my second language).

Originally, I planed to take FAR second, but I think right to this point I prepared AUD better than FAR, so if I take AUD on 5/30, I will postpone FAR to end of July or early August.

A little background of mine: started my undergraduate in accounting in 2013. 2017 Spring is my second semester of my master of accountancy. I got As for the classes so far.

Looking forward to hearing from you soon. Thank you for taking your time to reply me in advance.

[mardybum13]

I'm trying to nail the concept of threats to independence in an audit. Is it a threat if you also:

a) Did the client's tax returns
b) Provided consulting services
c) Helped the client calculate their company pensions
d) Provided the client with investment advice
e) Provided other tax services
f) Helped the client with a merger/acquisition

[mardybum13]

g) Obtained an automobile loan from a financial institution client that was fully collaterized with cash deposits at another financial institution

[Author]

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