[jeff]

Welcome to the Q4 2016 CPA Exam Study Group for AUD.

If this is your first post in the study group – please post your target exam date (just the time frame to preserve your anonymity), and your past history with this exam (optional, of course).

AUD - 79
BEC - 80
FAR - 76
REG - 92

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

[Anonymous]

@mckan514w – YES! “oh please God please let me get a passing score on the 20th I so don’t want to have to jump back down this rabbit hole of which is the best answer…..”

[HoosierCPA]

@mckan so basically you're saying you can still capitalize something incorrectly and run depreciation correctly? I guess running depreciation expenses is somewhat a separate function then capitalizing..capitalization is the first process then depreciation is the next, so I GUESS i'll concede and admit they are correct!

@mckan @allaboard I'm really pulling for you guys to pass, the CPA is such a crap shoot you just never know what your score is going to be. As Gearty says, the more you study the more lucky you get on the exam and you guys seem to have been well prepared — here's to getting a lucky score above 75!

AUD - 80
BEC - 82
FAR - 78
REG - 89

...

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[refahcst]

@dtatham10 like you said, you make the decision to capitalize vs. expense, and then run depreciation expense. So, if you're verifying that all fixed assets have been capitalized, the depreciation expense account would only show you those fixed assets that have been depreciated and capitalized. However, if a fixed asset was improperly expensed (and not capitalized), no indication of this would ever be apparent in the depreciation expense account.

Therefore, I think the R&M account is the BEST option because it will show you fixed assets that were expensed (maybe incorrectly) vs. capitalized from the beginning.

Hopefully that makes sense….

“I understand reviewing the R&M account is a good way to make sure you didn’t expense something you should have capitalized.” I think in a roundabout way you answered your own question. The depreciation expense account wouldn't give you this information.

[HoosierCPA]

@ref yeah it makes sense. Thanks for explaining! My original thought was if I had a capital asset additions for the year you could calculate depreciation expense and compare to actual and see if everything was properly capitalized. Lower depreciation expense would be a good indicator you either didn't capitalize and run depreciation or you miss calc'd. I tend to use a lot of real world experience with audit and our external auditors usually ask for an addition listing and look at how you made your entries rather then asking for R&M detail. Anyway, I get it — I'm just being stubborn haha

And as far as you quoting me, yeah I did understand it would aid but at the time I answered I thought depreciation expenses aided more..sort of like those questions where both answers are correct but which one is MORE correct.

AUD - 80
BEC - 82
FAR - 78
REG - 89

...

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[refahcst]

@dtatham10 yes exactly. That's the struggle I have with audit as well – picking the best answer, when there are multiple answers that are technically correct….

[TheblackCPAseeker]

I have my third attempt at Audit this testing window and If I don't pass I will lose my FAR credit. I am using becker self study and roger practice questions. Im also waiting for my BEC score on Sept 20th, I felt confident after the exam but I hope im not wrong. Good luck to everyone taking the exam this testing window. Its do or die for me at this point.

AUD - 81
BEC - 78
FAR - 80
REG - 77

Finally Done, started studying January 2015

FAR - 80 (05/2015)

AUD - 68 (08/2015, Retake (07/03/16)

REG - 77 (11/2015)

BEC - Sometime in 2016

We are destined for this.

[HoosierCPA]

To determine whether a particular assertion is relevant to a significant account balance or disclosure, the auditor should evaluate all of the following except:

A.the nature of the assertion.

B.the volume of transactions or data related to the assertion.

C.the individual transactions that make up the account. — CORRECT

D.the nature and complexity of the systems, including the use of information technology, by which the entity processes and controls information supporting the assertion.

Just looking for an explanation, totally guessed on this one.

AUD - 80
BEC - 82
FAR - 78
REG - 89

...

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[HoosierCPA]

I'm beyond baffled by this Ninja trending score. It has me trending 73% and I've only scored below 80% on one session of 30 questions. I've now answered 360 questions and am averaging 81%. I keep telling myself it should jump up but who knows. I suppose I should be more worried about learning the material then some number that won't help me pass at all! haha

AUD - 80
BEC - 82
FAR - 78
REG - 89

...

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[Broag]

Okay. So how do you get $2,000? I hate Sampling with a passion. Thank you in advance!

In a probability-proportional-to-size sample with a sampling interval of $10,000, an auditor discovered that a selected account receivable with a recorded amount of $5,000 had an audited amount of $4,000. If this were the only misstatement discovered by the auditor, the projected misstatement of this sample would be:

Incorrect A.
$1,000.

B.
$2,000.

C.
$5,000.

D.
$10,000.

You answered A. The correct answer is B.

In this question, one-half of the sample ($5,000 out of $10,000) has been audited. The misstatement is for $1,000 ($5,000 – $4,000). Projecting the same error rate for the unaudited half of the sample, the projected misstatement is for $2,000.

REG - 79
FAR - ?
AUD - ?
BEC - ?

[hasy]

Dude those scores are good….

AUD - 83
BEC - 80
FAR - 83
REG - 78

BEC - 80 (Roger + NINJA MCQ + WTB)

FAR - 72; 83 (Roger + NINJA MCQ)

AUD - 83 (Roger + NINJA MCQ + WTB)

REG - 52; 78 (Roger + NINJA MCQ)

Ethics - 68, 96 (how I dislike you)
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This forum is more addictive than drugs. Still returning after licensure.

Character cannot be developed in ease and quiet. Only through experience of trial and suffering can the soul be strengthened, ambition inspired, and success achieved - Helen Keller

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BEC 80 (10/23/15)
FAR 72 (4/2/15); 83 (7/11/16)
REG 52 (4/28/15)
AUD (9/9/16)

Roger + NINJA MCQ + WTB

[Anonymous]

My audit examn is on the 1st, at review stage now. So don't feel prepared for this ugh!

@Broag The way I thought of this question was that $1,000 of mistatement (5000-4000) is 20 percent of the selected AR balance of $5,000. So 20 percent of the sampling interval of $10,000 would be the projected mistatement for this sample. And 20 percent of $10,000 comes out to be $2,000.

Hope that makes sense.

[728daniel]

just finished a Becker aud exam…any thoughts on how I did?
MCQs 76% 100% 90%
SIMS 70% 80% 62% 90% 93% 40% 67%

AUD 93
FAR 3/10/2017
BEC 87
REG 84

[HoosierCPA]

@Broag I agree with @annie's explanation. The caveat is if the sample size is greater then the interval…so lets say you had a 15k sample size (rather then the 5k in the example) and the 15k sample had an audited amount of 10k then your projected mistatement is 5k because your sample size is greater then your interval (15k sample>10k interval)

@728Daniel you appear to be in great shape with those #'s.

AUD - 80
BEC - 82
FAR - 78
REG - 89

...

FAR - 78
REG - 72,74,71...please just go away REG nobody likes you!
BEC - 82
AUD - Aug 16

[iamonloose]

Can someone please explain to me what is inherit risk? And If you can throw some examples.

[KJ]

@imonloose…Inherent risk is the RMM in the financial statements due to errors or omission. It is generally higher where the transactions are complex. For example, Inherent risk will be higher in financial industry who deals with significant trading and complex instrumental derivatives vs. manufacturing industry which operates in a relatively stable competitive environment. Hope this helps!!

AUD - NINJA in Training
BEC - NINJA in Training
FAR - NINJA in Training
REG - NINJA in Training

"Everything should be made as simple as possible, but not simpler" - Albert Einstein

FAR - August 2016
AUD - September 2016
REG - October 2016
BEC - November 2016

Remember: "Everything should be made as simple as possible, but not simpler." - Albert Einstein

[Author]

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