[jeff]

FAR Resources:

Free FAR Notes & Audio – https://www.another71.com/cpa-exam-study-plan

FAR 10 Point Combo: https://www.another71.com/products-page/ten-point-combo

FAR Score Release: https://www.another71.com/cpa-exam-scores-results-release

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

[Zackrampage]

@hopeful I hope so too! Doing more mcq tommorrow!!

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

[Zackrampage]

@hopeful I hope so too! Doing more mcq tommorrow!!

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

[pia ach]

This is a que from WTB regarding lower of cost or market.

Original cost is above Replacement cost, but lower than Ceiling.

The floor is higher than original cost and replacement cost

At what price should the inventory be priced?

I am thinking it should be replacement cost, as it is lower of all the three- floor , ceiling and original cost, however the answer is original cost. Can someone please explain to me why?

I thought it should be lower of cost or market and here market is lower than cost.

Finally done!!! Experience-pending. Ethics- Pending.
Reg 78 / 73/82.
Aud 74/89.
BEC 72 /78.
FAR 74/ 73/ 82.

[pia ach]

This is a que from WTB regarding lower of cost or market.

Original cost is above Replacement cost, but lower than Ceiling.

The floor is higher than original cost and replacement cost

At what price should the inventory be priced?

I am thinking it should be replacement cost, as it is lower of all the three- floor , ceiling and original cost, however the answer is original cost. Can someone please explain to me why?

I thought it should be lower of cost or market and here market is lower than cost.

Finally done!!! Experience-pending. Ethics- Pending.
Reg 78 / 73/82.
Aud 74/89.
BEC 72 /78.
FAR 74/ 73/ 82.

[HopefulCPA0601]

Thanks @Mel! maybe I'll try this

BEC: 65 - 79* - 84 DONE
AUD: 65 - 76 DONE
REG: 63 - 77 DONE
FAR: 65 - 63 - 67 - 69 - 73 - 71 - 83 DONE

Becker Notes & Flashcards, Wiley Test Bank, Ninja MCQ

[HopefulCPA0601]

Thanks @Mel! maybe I'll try this

BEC: 65 - 79* - 84 DONE
AUD: 65 - 76 DONE
REG: 63 - 77 DONE
FAR: 65 - 63 - 67 - 69 - 73 - 71 - 83 DONE

Becker Notes & Flashcards, Wiley Test Bank, Ninja MCQ

[HopefulCPA0601]

@pia – this is a two step process.

1) Compare Replacement, Floor and Ceiling – pick the one in the middle.

2) Choose lower of step 1) or original cost.

If they dont give numbers I usually draw it out.

Replacement (lowest) … Original … Floor/Ceiling.

In this example, floor or ceiling will be the middle of RC, Floor, and Ceiling. Afterwards original is lower than both, so the inventory cost will be at original cost.

Does that make sense?

BEC: 65 - 79* - 84 DONE
AUD: 65 - 76 DONE
REG: 63 - 77 DONE
FAR: 65 - 63 - 67 - 69 - 73 - 71 - 83 DONE

Becker Notes & Flashcards, Wiley Test Bank, Ninja MCQ

[HopefulCPA0601]

@pia – this is a two step process.

1) Compare Replacement, Floor and Ceiling – pick the one in the middle.

2) Choose lower of step 1) or original cost.

If they dont give numbers I usually draw it out.

Replacement (lowest) … Original … Floor/Ceiling.

In this example, floor or ceiling will be the middle of RC, Floor, and Ceiling. Afterwards original is lower than both, so the inventory cost will be at original cost.

Does that make sense?

BEC: 65 - 79* - 84 DONE
AUD: 65 - 76 DONE
REG: 63 - 77 DONE
FAR: 65 - 63 - 67 - 69 - 73 - 71 - 83 DONE

Becker Notes & Flashcards, Wiley Test Bank, Ninja MCQ

[Zackrampage]

@pia the best way to do this is write down njmbers according to what they ate telling you. Original cost is above replacement cost so lets say cost is 5 and replacement is 7. Original cost is lower than the ceiling so lets say ceiling is 7. Floor is higher than original and replacement so lets say floor is 6. So now to find lower of cost or mkt line them up.

Replacement =3

Floor =6 ceiling = 7

Compare middle which is floor 6 to cost 5 and pick lower which is cost.

hope that helped 🙂

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

[Zackrampage]

@pia the best way to do this is write down njmbers according to what they ate telling you. Original cost is above replacement cost so lets say cost is 5 and replacement is 7. Original cost is lower than the ceiling so lets say ceiling is 7. Floor is higher than original and replacement so lets say floor is 6. So now to find lower of cost or mkt line them up.

Replacement =3

Floor =6 ceiling = 7

Compare middle which is floor 6 to cost 5 and pick lower which is cost.

hope that helped 🙂

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

[pia ach]

@HopefulCPA0601 Thanks !! Now it makes sense, i do not know how i missed reading this “angle” after going thru the lectures and final review. And to think this is one of the easiest topics and i am getting this wrong too :(…

Finally done!!! Experience-pending. Ethics- Pending.
Reg 78 / 73/82.
Aud 74/89.
BEC 72 /78.
FAR 74/ 73/ 82.

[pia ach]

@HopefulCPA0601 Thanks !! Now it makes sense, i do not know how i missed reading this “angle” after going thru the lectures and final review. And to think this is one of the easiest topics and i am getting this wrong too :(…

Finally done!!! Experience-pending. Ethics- Pending.
Reg 78 / 73/82.
Aud 74/89.
BEC 72 /78.
FAR 74/ 73/ 82.

[Zackrampage]

I hope I get that on the test lol

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

[Zackrampage]

I hope I get that on the test lol

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

[HopefulCPA0601]

@ pia – dont get discouraged, after learning so many things for this test, i think we naturally overcomplicate things bc our binds are absorbing too much info. now you definitely wont forget this, so just take a breath and move on. you're going to do great!

BEC: 65 - 79* - 84 DONE
AUD: 65 - 76 DONE
REG: 63 - 77 DONE
FAR: 65 - 63 - 67 - 69 - 73 - 71 - 83 DONE

Becker Notes & Flashcards, Wiley Test Bank, Ninja MCQ

[Author]

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