[jeff]

Resources:

Free Study Planner + FAR NINJA Notes (Governmental Accounting): https://www.another71.com/cpa-exam-study-plan/

FAR Exam Experience: https://www.another71.com/cpa-exam-forum/topic/far-exam-experience-official-thread

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

[jw_83]

Can any one explain dilutive earnings per share? I know how to calculate BEPS, but I get confused when they throw in dilutive in the MCQs. Thanks.

REG - 64, 72, 81!
FAR - 77
AUD - 79
BEC - 72, 79! And Done!

[MCLKT]

Dilutive is taking all into consideration, and you consider the worst case scenerio, so you convert everything that is convertable to get your numbers.

I think there is a thread somewhere that explains this very well. I'll look for the link 🙂

eta: https://www.another71.com/cpa-exam-forum/topic/november-far/page/9

A:[73]97 F:[74]85 R:86 B:[74]82
*NINJA 10 Pt. COMBO & Yaeger*

[jw_83]

Thanks MCLKT. I read that post and have been doing more problems. I think understand it now.

REG - 64, 72, 81!
FAR - 77
AUD - 79
BEC - 72, 79! And Done!

[taxdiva]

Today is my birthday. What am I doing?? Oh, just studying for FAR!! lol

Friday is the big day! All I want for my birthday… is to pass FAR!

REG(10/23/12)- Passed. Life happended and lost credit - 18 month expiration)(Retake soon)
FAR - Passed. Used Becker.
AUD - Passed. Used CPAExcel (now Wiley)
BEC- Plan to take October-ish.

Just give me a 75!

[yemdross]

Hi FAR Fam, still here as promised myself to stay positive and get this together. I accomplished another milestone in my life today. So things are moving on as expected for 2013. All I want in additions to my achievement today is to become a CPA this year. I know I have not passed any session but with hardwork and perseverance, it is doable.

To anyone still struggling with their failures, look straight into the next 10 years of your life. Think about all the accomplishments you have positioned to have by giving CPA a shot then tell yourself that this is worth fighting for.

Failures are just distractions, they are noises that detour us from what destiny holds for us.

If only we can see ourselves through the eyes of others, we will see a mighty man/woman that nothing can ever stop and ready to take charge of the world.

Never stop dreaming, Never stop believing & never stop expecting…Anonymous

Thanks for all the support from all your comments and suggestions.!

2014 experience..No more excuse, this is it!
I CAN'T KEEP CALM UNTIL I BECOME A CPA

[MCLKT]

@taxdiva – HAPPY BIRTHDAY!!!!

A:[73]97 F:[74]85 R:86 B:[74]82
*NINJA 10 Pt. COMBO & Yaeger*

[taxdiva]

@MCLKT Thank ya, thank ya! 🙂

REG(10/23/12)- Passed. Life happended and lost credit - 18 month expiration)(Retake soon)
FAR - Passed. Used Becker.
AUD - Passed. Used CPAExcel (now Wiley)
BEC- Plan to take October-ish.

Just give me a 75!

[Tncincy]

yemdross,

Very encouraging….very inspiring…this can't be a throwing in the towel? I am looking at 10 years from now (your advice) enjoying that CPA behind my name and my practice (gettin paid). I am having anxiety attacks I want to pass this test so bad. I know, know, one test at a time. People like you helps me keep studying,keep fighting and keep dreaming. Hope to see you future CPA's at the CPA conventions telling exam study war stories and the grand finale…we made it. and we will if we keep going. so encouragement to you….KEEP GOING YOU WILL PASS, MAKE NO MISTAKE YOU WILL PASS, just like the rest of us. see you at the convention.

It begins with a 75
Been here too long as a cheerleader....ready to pass

[Anonymous]

Update on my study plan/ timeline:

I am no longer going to try and go through Ch. 3 this week…I am going to get through Ch. 4…I actually made a “review” plan with the Becker program…

No need to rush these things. I will still have 2 weeks of review with my new plan.

Hope everyone is chuggin right along with their study plans 🙂

[Anonymous]

@CPA Runner –

We have almost the exact same exam schedule!! How are things going for you? I am getting so nervous, but excited at the same time. Can't wait until 6 months from now and hopefully be DONE!

Wishing everyone luck on their upcoming exams!!

[yemdross]

@tncincy thanks for your inspirations.

I see a reflection of my expression in black & white.

It puts me on a pedestal of a champion.

It moves me and gives with me wings to soar high like an eagle.

To seclude myself from the mundane things of this world, ponder on wisdom & seek for knowledge like our past generals.

Stroking my golden pen of success to target the bull eye of CPA test

Telling myself each day that it's not over until it's over

Rubbing minds with the elite and wise men/women on this forum.

Reminding myself I am destined to succeed because I have it in my DNA

There is a virtue in something that makes you stretch and reach out for the moon and even when I dont land on the moon,

I surely know I will land among the twinkling stars with just a 75

As I hit the last key, and shift my gaze off a lyrical piece. I wish you all nothing but a 75!

(c) SOT MMXIII

2014 experience..No more excuse, this is it!
I CAN'T KEEP CALM UNTIL I BECOME A CPA

[gobias]

Does anyone else using Becker find the material on intercompany transactions inadequate? The text/videos are pretty shallow and I'm struggling with the MCQs.

Edit: Okay here's a problem I'm having that a fresh pair of eyes might be able to help me with. As far as I can tell, the following questions are asking for the same thing, but give different answers:

1) Jane Co. owns 90% of the common stock of Dun Corp. and 100% of the common stock of Beech Corp. On December 30, Dun and Beech each declared a cash dividend of $100,000 for the current year. What is the total amount of dividends that should be reported in the December 31 consolidated financial statements of Jane and its subsidiaries, Dun and Beech?

a.$100,000

b.$200,000

c.$10,000

d.$190,000

Choice “c” is correct. Since Jane owns 90% of Dun and 100% of Beech, when they declare and pay dividends, the only amounts that should appear in their year-end consolidated financial statements are the dividends paid to outsiders or external parties. Intercompany dividends should be eliminated upon consolidation. In this case, the only non-controlling interest that exists is the 10% of Dun that Jane does not own. So all 100% of Beech's $100,000 dividend would be eliminated, but only 90% of Dun's $100,000 would be eliminated. Therefore, just 10% of Dun's $100,000 dividend, or $10,000, will appear in Jane and subs' year-end consolidated financial statements.

2) On January 2, Year 1, Pare Co. acquired 75% of Kidd Co.'s outstanding common stock. During Year 1, Pare and Kidd paid cash dividends of $25,000 and $5,000, respectively, to their shareholders. There were no other intercompany transactions.

In its December 31, Year 1, consolidated statement of retained earnings, what amount should Pare report as dividends paid?

a.$30,000

b.$25,000

c.$5,000

d.$26,250

Choice “b” is correct, $25,000 consolidated dividends paid (same as parent dividends paid) since dividends paid by sub (Kidd) are 100% eliminated in consolidation.

Interco. dividends paid by Kidd to Pare (5,000 × .75 = 3,750) should be eliminated.

The dividends paid to the noncontrolling shareholders (5,000 × .25 = 1,250) would decrease their noncontrolling interest under the equity method.

Going off the first answer's explanation, shouldn't the dividends to NCI (25%) be reported in the second question, making the answer D?

F - 86
R - 90
A - 97
B - 91

[taxdiva]

Should I really be focusing on derivatives? egh.

I hate this stuff.

REG(10/23/12)- Passed. Life happended and lost credit - 18 month expiration)(Retake soon)
FAR - Passed. Used Becker.
AUD - Passed. Used CPAExcel (now Wiley)
BEC- Plan to take October-ish.

Just give me a 75!

[MCLKT]

@gobia-

Question 1. There are 3 consolidating entities involved Jane, Beech, Dunn.

Question asks for total paid from ALL.

100% Paid to parent from sub = 100% eliminated

90% Paid to to parent from sub = 90% eliminated

10% Paid to “others” = 10% div. exp paid

Total reported from ALL is the 10% because the rest eliminates

Question 2. There are 2 parties involved Pare, Kidd.

Question asks for dividends paid by PARE.

100% PARE paid out to shareholders. Kidd is not a shareholder, nothing eliminates

Equity method- The dividends paid by a sub to “other” shareholders are not a dividend paid when consolidated, they are a decrease to equity (Debit Capital not expense).

ETA – I just re-read the questions and now I'm confused, lol.

Why wouldn't the 10% from question one be reported as a decrease in equity on Jane's consolidated?

How are we to know #1 did not use Equity Method and #2 did? Other than there is no option for $0 on #1.

A:[73]97 F:[74]85 R:86 B:[74]82
*NINJA 10 Pt. COMBO & Yaeger*

[Bobbyb]

Hi everyone…I'm Bobby. Long time lurker. I am studying for FAR. It seems pretty futile at this point seeing as how many times it's beaten me down, but for whatever reason I can't let go, especially now that I'm within single digits of passing.

I hope I'm posting this question in the right spot, it seems a very simple one but one that I've had trouble with before.

It's a Mod 12 Wiley problem:

Inge determined net value of its A/R @ 12/31/2011, based on an aging of the receivables was $325,000. Additional info:

– Allowance for Doubtful Accounts – 1/1/11 $30,000

-Uncollectible accounts written off during 2011 – $18,000

Uncollectible accounts recovered during 2011 – $2,000

-Accounts Receivable at 12/31/11 -$350,000

Question: For 2011, what would Inge's uncollectible accounts expense be?

So, I get most of this. I get how to figure the End balance of $25k, and I get that you take the $30k, and add the $18k. My problem is with the $2k. I would think since they are recovered, they are no longer doubtful accounts and would be Debited to the ADA account rather than Credited.

Obviously I am mistaken, and I'm trying to figure out why. I have a feeling it's my misunderstanding of the concept of “recovery.” So is it, that it goes back into ADA when we have confirmation that it will be paid, after we've already written it off, but it hasn't actually been paid yet? And then when it actually gets paid in cash, then it would be debited from the account?

[Author]

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