[jeff]

@h0wdyus

Incorrect

The answer is B. Comparable sales.

“The use of comparable sales is not an income approach to valuation of a business, it is a market approach. Under the comparable sales approach, the value of a business is determined by comparing it to other entities with comparable characteristics for which the value is more readily determinable.”

This was a tricky one

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

[stoleway]

Project A and B each require an investment of $11,000. Project A returns annual cash inflows of $4,000 for three years. Project B returns annual cash inflows of $3,500 for four years.

A.

Project A is superior to Project B both in payback and profitability.

B.

Project A is superior to Project B in payback but not profitability.

C.

Project B is superior to Project A in payback but not profitability.

D.

Project B is superior to Project A both in payback and profitability.

REG -63│ 84!!
BEC- 59│70│ 71 │78!
AUD- 75!
FAR- 87!

Mass-CPA

[h0wdyus]

B

FAR - 81 29th Aug 2013
AUD - 84
REG - 82
BEC - 89 29th Aug 2014
Using Yager

FROM NJ

[stoleway]

CORRECT

REG -63│ 84!!
BEC- 59│70│ 71 │78!
AUD- 75!
FAR- 87!

Mass-CPA

[Zackrampage]

1 week till exam day ahhhh.

FAR - 62 , End of aug 2015
BEC - 67, 67
AUD - TBD
REG - TBD

[RandomAlt]

In perfect competition, which of the following is always correct?

A. Price equals total revenue.

B. Price equals average total cost.

C. Price equals marginal cost.

D. Price equals marginal revenue.

FAR - [10/07/2013 --> 66] [07/07/2014 --> 86]
BEC - [08/31/2014 --> 86]
AUD - [11/24/2014 --> 88]
REG - [02/14/2015 --> 92]

[Anonymous]

C

[RandomAlt]

Incorrect _Nick_ … anyone else?

FAR - [10/07/2013 --> 66] [07/07/2014 --> 86]
BEC - [08/31/2014 --> 86]
AUD - [11/24/2014 --> 88]
REG - [02/14/2015 --> 92]

[stoleway]

I will go with B

REG -63│ 84!!
BEC- 59│70│ 71 │78!
AUD- 75!
FAR- 87!

Mass-CPA

[Anonymous]

Feel like an idiot.

[h0wdyus]

D .. Marginal Revenue. Marginal Revenue would mean incremental revenue per increase in quantity.

Cannot be A.. cannot be total cost.. marginal cost is incremental cost to produce one extra unit.. Leaves D.

FAR - 81 29th Aug 2013
AUD - 84
REG - 82
BEC - 89 29th Aug 2014
Using Yager

FROM NJ

[RandomAlt]

h0wdyus is correct

-Perfect competition =

-The demand line for perfect competition is horizontal

-Every unit it sold at market price

-Therefore, price equals marginal revenue

Good job…you've got this

FAR - [10/07/2013 --> 66] [07/07/2014 --> 86]
BEC - [08/31/2014 --> 86]
AUD - [11/24/2014 --> 88]
REG - [02/14/2015 --> 92]

[h0wdyus]

They are all tricky questions. Can always get confused and get them wrong.. I see the problem with BEC. You have to read the question extremely carefully.. that is where they trick you.

FAR - 81 29th Aug 2013
AUD - 84
REG - 82
BEC - 89 29th Aug 2014
Using Yager

FROM NJ

[stoleway]

Beatnik Company has a current ratio of 2.5 and a quick ratio of 2.0. The firm experienced $2 million in cost of sales and sustains an inventory turnover of 8.0. Assuming no prepaid expenses are included in current assets, what are the firm’s current assets?

REG -63│ 84!!
BEC- 59│70│ 71 │78!
AUD- 75!
FAR- 87!

Mass-CPA

[h0wdyus]

@stoleway

making it harder.. no choices

the answer should be 1250,000

FAR - 81 29th Aug 2013
AUD - 84
REG - 82
BEC - 89 29th Aug 2014
Using Yager

FROM NJ

[stoleway]

CORRECT

REG -63│ 84!!
BEC- 59│70│ 71 │78!
AUD- 75!
FAR- 87!

Mass-CPA

[Author]

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