[jeff]

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

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).

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

[FARISFUN]

@mckan514w That sounds miserable. I was already on the fence about whether I felt confident or not taking this exam. It is such a crap shoot with what testlets you get. I almost feel as if there are a few testlets that are purposely significantly harder so that they can keep pass rates at what the AICPA wants them at which sucks for us because you never know what testlet you are going to get.

[mckan514w]

Totally agree with you FARISFUN– and the “funny” thing is there were four of us in there this morning sitting BEC and I thought to myself I wonder which one of us is going to pull the “Your screwed” exam…. ha ha ha looks like it was me!!!

and they ask me why I drink...

FAR- 61-next time I'll ask for lube instead of a calculator
REG-75- Never been so happy to see such a low grade
BEC- 8/11
AUD- 9/2

[mckan514w]

Thanks for the sympathy @Forem004- I seriously doubt I am wrong on the fail (and fail worse than before)– thus far I have been very accurate on predicting my scores (with the exception of BEC the first go round which I would have laid money on the fact I passed)… And honestly regarding studying more- if you get the one I got studying more won't help…. this wasn't just a case I got tested on stuff I should have studied more or / I didn't know the material well enough– this was more of a case of I've never seen this crap before in my entire life— and considering I've now been through all of the material at least twice… I can say this with a great degree of certainty…

and they ask me why I drink...

FAR- 61-next time I'll ask for lube instead of a calculator
REG-75- Never been so happy to see such a low grade
BEC- 8/11
AUD- 9/2

[FARISFUN]

@mckan514w I have only taken FAR so far and luckily only had to take it once but it doesn't seem right that they completely change up the exams from quarter to quarter. Like I get asking different conceptual questions or more computational vs conceptual one quarter but to completely change everything seems odd. It does seem like you might have gotten the rare tough testlets

[mckan514w]

well here's hoping my FAR exam is completely different form my first go round there ha ha ha ha– no seriously even my FAR exam seemed “fair” I just wasn't prepared for it when I sat… BEC though is unlike anything I have ever seen….

and they ask me why I drink...

FAR- 61-next time I'll ask for lube instead of a calculator
REG-75- Never been so happy to see such a low grade
BEC- 8/11
AUD- 9/2

[FARISFUN]

@mckan514w BEC seems harder to study for than FAR was. FAR I just understood the general concepts and could usually work my way into an answer. BEC is more of you know it or you don't and the topics are all over the place. They don't relate to each other a lot like FAR did

[Forem004]

Same thoughts here on FAR. Everyone says, you're good, you have the hardest two out of the way. I started studying this and thought, WTF?!?!?

[struggler]

@mckan514w Bummer!I'm with Forem004, you never really know what you scored until the release date. Thanks for sharing your experience. Hopefully now you can enjoy your weekend.

[FARISFUN]

random question. But when you are working with job orders and deciding if the order has full capacity or excess capacity… If the problem doesn't clearly state which one it is, what is an easy way to figure it out?

[mckan514w]

@Farisfun can you give an example? I think if they are asking you about difference in operating income by taking on a special order it will clearly state whether you are or are not at capacity because you would have to account for units lost if you were at / over capacity. Otherwise I am not sure whether it matters or not if you are or are not running at full or excess capacity…

and they ask me why I drink...

FAR- 61-next time I'll ask for lube instead of a calculator
REG-75- Never been so happy to see such a low grade
BEC- 8/11
AUD- 9/2

[mtaylo24]

@McKan613w, Thanks for sharing on how it went. They say the harder the better. If its any consolation, I felt worst on my last attempt than my first attempt but still managed to fail in the 70s. Still sad, but I thought I got a 50 or less on that exam. The good thing about BEC is that the way that its weighted (at least for now) works in our favor. Keep your fingers crossed, you never know and good luck on FAR too homie, that one really sucks.

AUD - 1st - 60 (12/12), 61 (2/13), 61 (8/13), 78! (11/15)
REG - 55 (2/16) 69 (5/16) Retake(8/16)
BEC - 71(5/16) Retake (9/16)
FAR - (8/16)

[FARISFUN]

Rodder, Inc. manufactures a component in a router assembly. The selling price and unit cost data for the component are as follows:
Selling price $ 15
Direct materials cost 3
Direct labor cost 3
Variable overhead cost 3
Fixed manufacturing overhead cost 2
Fixed selling and administration cost 1

The company received a special one-time order for 1,000 components. Rodder has an alternative use of production capacity for the 1,000 components that would produce a contribution margin of $5,000. What amount is the lowest unit price Rodder should accept for the component?

A.14
B. 24
C.12
D. 9

So like I understand that excess capacity you accept if the price> Vc/unit and full capacity is price>VC+ opportunity cost, but how would you tell that the answer is 14 vs just the 9. The correct answer is A

[mckan514w]

Okay this one really has nothing to do with capacity more than Opportunity cost… you clearly have the capacity because you can either accept the special order or use it for the alternative use which would give you a contribution margin… so in this case it would be excess capacity all though it has nothing to do with the question if that makes sense…

Thanks @Mtaylo– to be honest I am actually looking forward to going back to FAR for a while…. FAR at least makes sense to me and each component seems to fit together… Good luck moving on to REG… I actually liked REG… praying I won't see you back in here 1Q…

and they ask me why I drink...

FAR- 61-next time I'll ask for lube instead of a calculator
REG-75- Never been so happy to see such a low grade
BEC- 8/11
AUD- 9/2

[FARISFUN]

@mckan514w but you just said it was assumed excess capacity so why wouldn't you accept the project for just $9 because that is the value of the variable costs and you only variable costs are relevant for excess capacity. The opportunity cost only comes into play if its operation at full capacity.

[mtaylo24]

I finally made it through all of the Ninja questions 1 time, not sure If I feel like aiming for review stage because my confidence is shattered since I only answered 52% correctly. I need to focus on rebuilding confidence so back to Gleim in review mode until Sat morning.

AUD - 1st - 60 (12/12), 61 (2/13), 61 (8/13), 78! (11/15)
REG - 55 (2/16) 69 (5/16) Retake(8/16)
BEC - 71(5/16) Retake (9/16)
FAR - (8/16)

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