[jeff]

Free Study Planner, Notes, Audio, Flashcards: https://www.another71.com/cpa-exam-study-plan/

Free CPA Exam Survival Guide: https://www.another71.com/cpa-exam-survival-guide/

[Anonymous]

3 was C, and 4 was B.

[Anonymous]

Thanks. Good to know #4.

[Future Ninja]

bring it on @cpahopeful11.

AUD - 79 (expired) retaking July 28,2016
FAR - 76 expiring July 31, 2016
BEC - 85
REG - 74,74,74,74,59,70,

[Anonymous]

Example of FAR-AUD overlap.

If a material change in estimate is inseparable from a change in accounting principle, this event should be evaluated by the auditor as a change in

A. Estimate, and the auditor should not recognize the change in the report.

B. Principle, and the auditor should report on consistency.

C. Estimate, and the auditor should report on consistency.

D. Principle, and the auditor should not recognize the change in the report.

[Anonymous]

C?

[jolenebolos]

b?

[Anonymous]

Hmm…This question is tricky! The answer is B. I went back to my FAR materials and it states that if inseparable, it is treated as accounting estimate. I sent technical question to customer support.

Anyway, I googled it and this is what I found:

SFAS no. 154 par. 20. – “…are considered changes in estimates for purposes of applying this Statement.”.

AU-420.13 – “The effect of a change in accounting principle may be inseparable from the effect of a change in estimate. Although the accounting for such a change is the same as that accorded a change only in estimate, a change in principle is involved. Accordingly, this type of change requires recognition in the independent auditor's report through the addition of an explanatory paragraph…”

AU-C 708.A10 – “Paragraph .10 requires the auditor to evaluate and report on a change in accounting estimate that is inseparable from the effect of a related change in accounting principle like other changes in accounting principle…”

So I guess answer B is correct because that's based on auditing standards not accounting standards. Interesting!

[Future Ninja]

A?

AUD - 79 (expired) retaking July 28,2016
FAR - 76 expiring July 31, 2016
BEC - 85
REG - 74,74,74,74,59,70,

[Anonymous]

Well, that's interesting but hopefully I don't pick B for my FAR test in two days if I get this question LOL.

[Future Ninja]

Good to know B is the correct answer.

AUD - 79 (expired) retaking July 28,2016
FAR - 76 expiring July 31, 2016
BEC - 85
REG - 74,74,74,74,59,70,

[Anonymous]

@CPAHOPEFULL11 lol. Don't mix it up. If inseparable, FAR=estimate, AUD=principle. Good luck on your test, by the way!

[Anonymous]

Thanks, hopefully I pass both FAR and AUD this month.

Is anyone taking the test this week or everyone around the 16-20 range?

[kappa1032]

@ CPAHopeful – thanks for the questions – keep em coming! i'll see if i can post some as well

FAR - 81
REG - 74, 87
AUD - 88
BEC - 88

Finally.

“The only guarantee for failure is to stop trying”
― John C. Maxwell

[kappa1032]

I'm taking AUD on Oct 2nd, REG retake end of Oct, and BEC near end of Nov

FAR - 81
REG - 74, 87
AUD - 88
BEC - 88

Finally.

“The only guarantee for failure is to stop trying”
― John C. Maxwell

[kappa1032]

What is an auditor's responsibility for supplementary information, such as segment information, which is outside the basic financial statements, but required by the FASB?

A. The auditor has no responsibility for required supplementary information as long as it is outside the basic financial statements.

B. The auditor's only responsibility for required supplementary information is to determine that such information has not been omitted.

C. The auditor should apply certain limited procedures to the required supplementary information and report deficiencies in, or omissions of, such information.

D. The auditor should apply tests of details of transactions and balances to the required supplementary information and report any material misstatements on such information.

FAR - 81
REG - 74, 87
AUD - 88
BEC - 88

Finally.

“The only guarantee for failure is to stop trying”
― John C. Maxwell

[Author]

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