[jeff]

NINJA Study Notes, Flashcards, and Audio: https://www.another71.com/products-page/

Wiley Software: https://www.another71.com/wiley-cpa-software/

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

[Anonymous]

Hahah! Sure, that one's easy! (because I memorized the answer somehow after not-knowing wth the first couple times I stumbled across it!)

Seriously though. Its like:

Under Frost conditions a protected crop is either worth 90k and an unprotected crop is worth 40k.

So, to protect the crop it costs 10k to get the 90k. Basically, you're looking at the odds of doing SOMETHING or X(90000) – 10000.

Having to equal what you'd get (the odds) if you did NOTHING or X(40000).

So… x(90000)-10000 = x(40000)

x(50000)=10000

x=10000/50000

x = .200

Sorry the answer doesn't sound very helpful…this is why I'm no professor. 🙂

[Anonymous]

LOL….it doesn't take me long to memorize the answers and that is a problem in the test always asks different ones darnit. Plus I really really suck at math.

Honestly tho I've reached a point where if I don't pass these last two tests I'm out. I've had it with no life because all i do is study and for what. I'm 47 and not an accounting grad. I do audits and pretty much that's what I like doing. I could get a CFE and be more valuable with that for what I do.

[Anonymous]

LOL….it doesn't take me long to memorize the answers and that is a problem in the test always asks different ones darnit. Plus I really really suck at math.

Honestly tho I've reached a point where if I don't pass these last two tests I'm out. I've had it with no life because all i do is study and for what. I'm 47 and not an accounting grad. I do audits and pretty much that's what I like doing. I could get a CFE and be more valuable with that for what I do.

[Aldog]

HAHAHHA guys this was great…my test is saturday, imf reaking out just enough to keep me going…this gave me some laughs, so thanks

so funny how i literllay could write that frost free condition question out in my sleep with exact info having the answer so memorized (my notes have a HUGE $50,000 diffrence circled amillion times)

the one that ALWAYS got me, before yesterday that is, was the litigation question…killer, finally started looking at it as win vs. lose and that helped kinda..still i honestly got it wrong probly 15 times

oh mannnn-not looking forward to saturday…but iw ould highlyyyyyyyyy recommend you guys give the questions at cpareviewforfree.com a go-i do them at work becasue dont wanna always bring my laptop and theyre good becasue not the same 1,000 questions ive seen from becker

good luck to all-keep the the work & entertainment

201, NJ
FAR-75, AUD-82, BEC-82, REG-84 - CPAldog Official (well almost, hard parts over though!!!!!!!)

[Aldog]

HAHAHHA guys this was great…my test is saturday, imf reaking out just enough to keep me going…this gave me some laughs, so thanks

so funny how i literllay could write that frost free condition question out in my sleep with exact info having the answer so memorized (my notes have a HUGE $50,000 diffrence circled amillion times)

the one that ALWAYS got me, before yesterday that is, was the litigation question…killer, finally started looking at it as win vs. lose and that helped kinda..still i honestly got it wrong probly 15 times

oh mannnn-not looking forward to saturday…but iw ould highlyyyyyyyyy recommend you guys give the questions at cpareviewforfree.com a go-i do them at work becasue dont wanna always bring my laptop and theyre good becasue not the same 1,000 questions ive seen from becker

good luck to all-keep the the work & entertainment

201, NJ
FAR-75, AUD-82, BEC-82, REG-84 - CPAldog Official (well almost, hard parts over though!!!!!!!)

[wannabetxacctnt]

that was a crazy question, where did you get that from?! I haven't seen anything like that in Wiley….

[wannabetxacctnt]

that was a crazy question, where did you get that from?! I haven't seen anything like that in Wiley….

[Anonymous]

I've seen it in Becker too many times to count and also in Gleim. I have some other not so favorite ones in Becker that give me nightmares, mostly from Ch 5.

[Anonymous]

I've seen it in Becker too many times to count and also in Gleim. I have some other not so favorite ones in Becker that give me nightmares, mostly from Ch 5.

[Anonymous]

Okay…I have a week to go (retest next Friday) any words of wisdom?

I'm using CPAExcel and scoring on avg 87% on all of the diagnostic tests. The areas I miss I go back over. I have been making a voice recording of my notes and the correct answers and listening at night before bed. I plan on taking a simulated test again Saturday, last one I scored 82%. I also read Jeff's Ninja notes before bed also.

[Anonymous]

Okay…I have a week to go (retest next Friday) any words of wisdom?

I'm using CPAExcel and scoring on avg 87% on all of the diagnostic tests. The areas I miss I go back over. I have been making a voice recording of my notes and the correct answers and listening at night before bed. I plan on taking a simulated test again Saturday, last one I scored 82%. I also read Jeff's Ninja notes before bed also.

[Aldog]

Heres question I was referring to…:

Peter Olinto was offered $25,000 as a settlement in a litigation matter. Alternatively, a lawyer offered to defned him in court for a retainer of $12,000 and 50% of any award over $35,000. The probable outcomes of the case are as folows:

Award

$75,000 – .6 (60%)

$0 – .4 (40%)

What is the gain (loss) of Pete allowing the lawyer to defend him?

a.) $6,000 Gain

b.) $4,000 Loss

c.) $12,000 Gain

d.) $6,000 Loss

>: I

201, NJ
FAR-75, AUD-82, BEC-82, REG-84 - CPAldog Official (well almost, hard parts over though!!!!!!!)

[Aldog]

Heres question I was referring to…:

Peter Olinto was offered $25,000 as a settlement in a litigation matter. Alternatively, a lawyer offered to defned him in court for a retainer of $12,000 and 50% of any award over $35,000. The probable outcomes of the case are as folows:

Award

$75,000 – .6 (60%)

$0 – .4 (40%)

What is the gain (loss) of Pete allowing the lawyer to defend him?

a.) $6,000 Gain

b.) $4,000 Loss

c.) $12,000 Gain

d.) $6,000 Loss

>: I

201, NJ
FAR-75, AUD-82, BEC-82, REG-84 - CPAldog Official (well almost, hard parts over though!!!!!!!)

[Anonymous]

Here's another fun one:

Fact Pattern: Yipann Corporation is reviewing an investment proposal. The initial cost, as well as other related data for each year, are presented in the schedule below. All cash flows are assumed to take place at the end of the year. The salvage value of the investment at the end of each year is equal to its net book value, and there will be no salvage value at the end of the investment’s life. Investment Proposal

Annual

Initial Cost Net After-Tax Annual

Year and Book Value Cash Flows Net Income

0 $105,000 $ 0 $ 0

1 70,000 50,000 15,000

2 42,000 45,000 17,000

3 21,000 40,000 19,000

4 7,000 35,000 21,000

5 0 30,000 23,000

Yipann uses a 24% after-tax target rate of return for new investment proposals. The discount factors for a 24% rate of return are given. Present Value of

Present Value of an Annuity of $1.00

$1.00 Received at Received at the End

Year the End of Period of Each Period

1 .81 .81

2 .65 1.46

3 .52 1.98

4 .42 2.40

5 .34 2.74

6 .28 3.02

7 .22 3.24

The accounting rate of return for the investment proposal over its life using the initial value (rather than the average value) of the investment is

38.1%

28.1%

18.1%

36.2%

[Anonymous]

Here's another fun one:

Fact Pattern: Yipann Corporation is reviewing an investment proposal. The initial cost, as well as other related data for each year, are presented in the schedule below. All cash flows are assumed to take place at the end of the year. The salvage value of the investment at the end of each year is equal to its net book value, and there will be no salvage value at the end of the investment’s life. Investment Proposal

Annual

Initial Cost Net After-Tax Annual

Year and Book Value Cash Flows Net Income

0 $105,000 $ 0 $ 0

1 70,000 50,000 15,000

2 42,000 45,000 17,000

3 21,000 40,000 19,000

4 7,000 35,000 21,000

5 0 30,000 23,000

Yipann uses a 24% after-tax target rate of return for new investment proposals. The discount factors for a 24% rate of return are given. Present Value of

Present Value of an Annuity of $1.00

$1.00 Received at Received at the End

Year the End of Period of Each Period

1 .81 .81

2 .65 1.46

3 .52 1.98

4 .42 2.40

5 .34 2.74

6 .28 3.02

7 .22 3.24

The accounting rate of return for the investment proposal over its life using the initial value (rather than the average value) of the investment is

38.1%

28.1%

18.1%

36.2%

[Author]

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