[jeff]

Welcome to the Q2 2016 CPA Exam Study Group for BEC.

Some BLITZ videos to help your exams: https://www.another71.com/ninja-blitz

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

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

[RE2PECT]

Does anyone else refer to the formulas while doing mcq? There's no way I can memorize all of them yet, so I'll find the formula and write it down first if a question asks for one. I'm hoping it will help me remember them as I go through the mcq. I think it would be pointless to just guess everything if I don't know the formula so I'd rather work out the problem and apply it correctly.

"Luck is what happens when preparation meets opportunity."

Roger & Ninja

FAR: 75
AUD: 73, 81
BEC: 71, 73, 82
REG: 68, 82

FAR: 75 Roger & Ninja (notes/flashcards/audio/MCQ)
AUD: 73, 81
BEC: 71, retake 8/29
REG:

[Trying to pass]

American Coast Company estimates that 60,000 special zippers will be used in the manufacture of men's jackets during the next year. Reese Zipper company has quoted a price of $0.6 per zipper. American would prefer to purchase 5,000 units per month, but Reese is unable to guarantee this delivery schedule. in order to ensure availability of these Zippers, American is considering the purchase of all 60,000 units at the beginning of the year. Assuming American can invest cash at eight percent, the company's opportunity cost of purchasing the 60,000 units at the beginning of the year is ?

A. $1,500
B. $1,320
C. $1,440
D. $2,640

Correct answer is B anyone who can explain? please

[lolo]

@Trying to pass, You need to think of it that way you have two choices and you wanna figure out the difference between them. The fist choice is to pay the amount in full (60,000*0.6=36000) and that's because there is risk of of being under-supplied or the second choice where you purchase (5,000*0.6=3000$) each month and eventually invest the rest, to calculates the opportunity cost for choosing to pay in full, he will lose the amount of interest on investment that he could have earned if he payed by installments (which will leave a room for investment with remaining amount), so to calculate the interest on investment of the remaining amount we do the following: 3,000$ has been spent in the first month then there is only 33,000$ to invest in this month and the second month I will have to pay 3,000$ which means that only 30,000$ will be available to invest that month and so on so forth …

33,000*1/12*0.08+30,000*1/12*0.08 and so on until 3000*1/12*0.08

For faster calculation using math: (33+30+27+24+21+18+15+12+9+6+3)*1000= 198,000 *1/12*0.08 = 1,320$

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

My Nick name is sunshine, but the fact is I have not been in touch with it since I started this CPA exam! IT HURTS

AUD - ✔ Passed Becker self study!
BEC - ✔ Passed Becker self study!
FAR - ✔ Passed Becker self study!
REG - TBD

[Jess774]

@Spartans92

SAD PURE DADS

https://cpa-exam.dalesines.com/2010/05/bec-5-additional-info.html

Whoever wrote this blog got the mnemonic from Becker. SAD PURE DADS is how I've memorized the variance formulas.

AUD - 88
BEC - 81
FAR - 69
REG - 75

REG - 75
BEC - 70,64,81
FAR - 67,69
AUD - 88

REG - 75
BEC - 70, 64, 81!!!!
FAR - 67, 69, retake: Oct 2016
AUD - 8/25/16

[Jess774]

@RE2PECT If I get to a MCQ and I have absolutely no clue what it is, then I will find the formula and write it on paper over and over again until I get to the point where I can close my eyes and recall the formula in my head. Not sure why I have to close my eyes to think, but I do haha.

Someone asked about knowing formulas: I have already taken BEC twice. 5/31 will be the third time that I am taking BEC. I personally think that you need to know formulas and theory. This exam is like the rest of them. You basically need to know everything because who knows what you're getting tested on. Some might get only a few questions with formulas and others might get a test loaded with formulas.

AUD - 88
BEC - 81
FAR - 69
REG - 75

REG - 75
BEC - 70,64,81
FAR - 67,69
AUD - 88

REG - 75
BEC - 70, 64, 81!!!!
FAR - 67, 69, retake: Oct 2016
AUD - 8/25/16

[Maggie]

Hey! I'm new to this forum. Does anyone think becker chap 2 is a waste of time? I know its a lot of calculations, etc. but i noticed it doesnt seem to have a heavy % when i look at the test outline becker provides in the book. it looks like only 10-14%.

ive watched all the lecture for this chapter and done about half of the HW. I typically like to do all the HW and score in the 90s overall before moving on, but im thinking i may be wasting time. does anyone else feel this way too? if we know most of the formulas around contribution margin, should that be enough? seems like chap 3 is a must since its 19-23% (financial management)

Chap 2 is strategic planning, forecasting, budget, variance and marginal analysis FYI for those who arent using becker.

Almost there

AUD- 74 (2012), 72 (4/20/16)
BED- 7/6/16
REG- TBD
FAR- TBD

[Leah Parker]

This was in the AICPA released questions – was anyone able to figure out this problem?

Financial information about a company is as follows:
Receivables $4,000,000
Inventory 2,600,000
Payables 3,700,000
Sales 50,000,000
Cost of goods sold 45,000,000

assuming a 365-day year, what is the number of days in the cash conversion cycle?
The answer is 20.3 days

Thank you in advance!

[Jess774]

@JLP I don't think you should skip it. Chapter 2 BEC is a pain in the a$$. Especially budgeting (for me). When I took FAR, I had a decent number of questions on the sections that were supposed to be the least tested. I was sick to my stomach when the questions on the sections that didn't have as much”weight” as the other sections kept popping up. Knowing Chapter 2 could make or break you on test day.

AUD - 88
BEC - 81
FAR - 69
REG - 75

REG - 75
BEC - 70,64,81
FAR - 67,69
AUD - 88

REG - 75
BEC - 70, 64, 81!!!!
FAR - 67, 69, retake: Oct 2016
AUD - 8/25/16

[marqzho]

A manufacturing company has several product lines. Traditionally, it has allocated manufacturing overhead costs between product lines based on total machine hours for each product line. Under a new activity-based costing system, which of the following overhead costs would be most likely to have a new cost driver assigned to it?

A electricity expense
B Repair & Maintenance expense
C Employee Benefit expense
D Depreciation expense

Why C?

REG 90
FAR 95
AUD 98
BEC 84

[Maggie]

@Jess774 Thanks, I wasn't necessarily going to skip it, since I'm half way through the HW, but maybe not trying to stress out over it as much as other areas. But you're right, you never know what could come up!

Almost there

AUD- 74 (2012), 72 (4/20/16)
BED- 7/6/16
REG- TBD
FAR- TBD

[Trele6]

@JLP, my Becker book shows Chapter 2 worth 16-20% of your grade. I am focusing on chapters 1-4 since they are the largest percentages of the 6 chapters.

B - 80 Jun16
A - 74 Aug16, 77 Oct16
R - 87 Nov15
F - 79 Apr16
Ethics - 98 Nov16
Licensed in New Mexico Dec16

First go at the CPA! Only using Becker
Reg / Nov 2015 - 87
Far / Apr 2016 - 79
Bec / May 2016 - 80
Aud / Aug 2016

[marqzho]

It said “Some candidates who take the BEC section might receive their scores about one week following the target release date due to additional analysis that might be required for the written communication tasks.”

But in reality, when can I get the result? one week?

REG 90
FAR 95
AUD 98
BEC 84

[Pete]

Got my test tom… Quick question about variances. I can usually tell, when variances are good/bad, but when are good variances positives? Are good variances always positive or are they only positive for Revenue items, like sales?

Or on the Test will they do something to the extent of Favorable or (unfavorable), so i know which it is?

B=84 This exam was such a b**** that I thought I failed-don't know how these things work
A=76 Slacker I am, I'll happily take it
R=81 I LOVE taxes
F=80 I don't wanna get banned for an expletive I'm thinking with "yea" proceeding it

[lolo]

Some rules to notice:
1.As you go to the left you get closer to actual, which means that you plan on the right and the actual result which is on the left will be compered to it.
2.sales are positive as they increase from right to left otherwise negative.
3.all other costs are positve as they increase from left to right otherwise negative.

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

My Nick name is sunshine, but the fact is I have not been in touch with it since I started this CPA exam! IT HURTS

AUD - ✔ Passed Becker self study!
BEC - ✔ Passed Becker self study!
FAR - ✔ Passed Becker self study!
REG - TBD

[aatoural]

@marqzho. My understanding is that options A, B or D all have some relation to machinery and thus machine hours seems like a good cost basis. However employee benefit expenses have no relation to the machine, so a different cost basis would be more accurate.

BEC - PASSED
AUD - PASSED
REG - PASSED
FAR - PASSED

BEC - PASSED
AUD - 8/29/16
FAR - TBS
REG - TBS

[Author]

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