[Topsya]

Basically, my question is how thoroughly I should know these concepts? Should I just have a genera understanding or more than that?

Thanks,

AUD - 90
FAR - 83
BEC - 81
REG - 80
ETHICS - 100

[barelystayingsane]

I always had trouble with constant dollar/current cost and monetary/non-monetary concepts. I would say make sure you know that the adjustment between nominal and constant is for inflation, and the adjustment between historic cost and current cost is appreciation. Historic cost/nominal dollars is the basis for GAAP. Monetary assets and liabilities are stated in constant dollars. And you absolutely must know which assets/liabilities are monetary and non-monetary for foreign currency accounting. I would think that should be enough.

[barelystayingsane]

I always had trouble with constant dollar/current cost and monetary/non-monetary concepts. I would say make sure you know that the adjustment between nominal and constant is for inflation, and the adjustment between historic cost and current cost is appreciation. Historic cost/nominal dollars is the basis for GAAP. Monetary assets and liabilities are stated in constant dollars. And you absolutely must know which assets/liabilities are monetary and non-monetary for foreign currency accounting. I would think that should be enough.

[Topsya]

Thank you!

AUD - 90
FAR - 83
BEC - 81
REG - 80
ETHICS - 100

[Topsya]

Thank you!

AUD - 90
FAR - 83
BEC - 81
REG - 80
ETHICS - 100

[Jason2345]

Like anything else, you may or may not see this, but, if you do, it will only be 1 or 2 MC questions.

It's definitely not one of the bigger things they'd test on (bonds, government, and NFP)…

[Jason2345]

Like anything else, you may or may not see this, but, if you do, it will only be 1 or 2 MC questions.

It's definitely not one of the bigger things they'd test on (bonds, government, and NFP)…

[Anonymous]

In fairness, anything and everything is fair game on the exam.

But the likelihood of it appearing it on a task-based simulation is probably slim to none.

It might appear as one of those really obscure multiple choice questions…but that's probably all I would expect if you're talking specifically constant dollar/current cost.

[Anonymous]

In fairness, anything and everything is fair game on the exam.

But the likelihood of it appearing it on a task-based simulation is probably slim to none.

It might appear as one of those really obscure multiple choice questions…but that's probably all I would expect if you're talking specifically constant dollar/current cost.

[J]

Everything is potentially “important”.

With that said… if you're worried about where to focus or allocate your time… look elsewhere. You would be lucky (or unlucky, depending on whether you like the topic or not) to see one MC question on this.

[J]

Everything is potentially “important”.

With that said… if you're worried about where to focus or allocate your time… look elsewhere. You would be lucky (or unlucky, depending on whether you like the topic or not) to see one MC question on this.

[Topsya]

Thanks everyone!!!!!

AUD - 90
FAR - 83
BEC - 81
REG - 80
ETHICS - 100

[Topsya]

Thanks everyone!!!!!

AUD - 90
FAR - 83
BEC - 81
REG - 80
ETHICS - 100

[Anonymous]

@barelystayingsane

That helps!!!!!

[Anonymous]

@barelystayingsane

That helps!!!!!

[Anonymous]

Here's something I used to remember it. Not a Becker mnemonic, but it worked for me:

HaC NiC

Historical Cost

—> adjust for Appreciation

Current Cost

Nominal Dollars

—> adjust for Inflation

Constant Dollars

GAAP — you gotta HaND it to them —> Historical cost Nominal Dollars

And just think of monetary, you pay it with money (AP) or receive money (AR). Non-monetary is (generally) physical (PP&E, inventory, etc.).

[Author]

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