[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

[teeteenounouche]

@MintsRGood Good luck! You sound more than prepared…get a good night's rest since you are sick and want to have fresh mind to battle those questions, you can do this!! Read over some topics from your materials before you go to bed so they can transfer to your subconscious or long-term memory (whatever it's called, lol) 🙂

Florida:
AUD: 73, 81! Thank you Lord!
BEC: 73, 77! Thank you Lord! and WTB
REG: 71, 82! Thank you Lord! and A71
FAR: 72, 78! Thank you God and my Mommy in Heaven!

CPA Excel, Ninja Notes & Audio, Wiley Test Bank, CPAreviewforfree

[teeteenounouche]

@MintsRGood Good luck! You sound more than prepared…get a good night's rest since you are sick and want to have fresh mind to battle those questions, you can do this!! Read over some topics from your materials before you go to bed so they can transfer to your subconscious or long-term memory (whatever it's called, lol) 🙂

Florida:
AUD: 73, 81! Thank you Lord!
BEC: 73, 77! Thank you Lord! and WTB
REG: 71, 82! Thank you Lord! and A71
FAR: 72, 78! Thank you God and my Mommy in Heaven!

CPA Excel, Ninja Notes & Audio, Wiley Test Bank, CPAreviewforfree

[MintsRGood]

Thanks @tee!!! I did 100 MCQS in batches of 20 over all topics and am consistently scoring in the 80's. I feel like with FAR it's never enough! Ugh. Can't wait to get this over with!!!

REG: 75 DONE 🙂
AUD: 61, 71, 68, 92 DONE 🙂
BEC: 76 DONE 🙂
FAR: 72, 74, 79 DONE 🙂
Licensed Michigan CPA 🙂
-Some people dream of success...others wake up and work hard for it!!!
-The cowards never start and the weak die along the way!
-You better work, b***h!
-Only those who dare to fail greatly can ever achieve greatly.-JFK

[MintsRGood]

Thanks @tee!!! I did 100 MCQS in batches of 20 over all topics and am consistently scoring in the 80's. I feel like with FAR it's never enough! Ugh. Can't wait to get this over with!!!

REG: 75 DONE 🙂
AUD: 61, 71, 68, 92 DONE 🙂
BEC: 76 DONE 🙂
FAR: 72, 74, 79 DONE 🙂
Licensed Michigan CPA 🙂
-Some people dream of success...others wake up and work hard for it!!!
-The cowards never start and the weak die along the way!
-You better work, b***h!
-Only those who dare to fail greatly can ever achieve greatly.-JFK

[Anonymous]

Please add me to this group. I just scheduled to take FAR 2/28/2014!!! Excited and nervous!!! Took Reg Aug 2011: 59- Failed! I am very intimidated by this exam but I'm sure its doable!

[Anonymous]

Please add me to this group. I just scheduled to take FAR 2/28/2014!!! Excited and nervous!!! Took Reg Aug 2011: 59- Failed! I am very intimidated by this exam but I'm sure its doable!

[Anonymous]

Lime Co.'s payroll for the month ended January 31, is summarized as follows:

Total wages $ 10,000

Federal income tax withheld $ 1,200

All wages paid were subject to FICA. FICA tax rates were 7% each for employee and employer. Lime remits payroll taxes on the 15th of the following month. In its financial statements for the month ended January 31, what amounts should Lime report as total payroll tax liability and as payroll tax expense?

Liability Expense

a.$1,900 $700

b.$1,200 $1,400

c.$1,900 $1,400

d.$2,600 $700

I am using Becker and I am have a hard time understanding their answer. Please help!

[Anonymous]

Lime Co.'s payroll for the month ended January 31, is summarized as follows:

Total wages $ 10,000

Federal income tax withheld $ 1,200

All wages paid were subject to FICA. FICA tax rates were 7% each for employee and employer. Lime remits payroll taxes on the 15th of the following month. In its financial statements for the month ended January 31, what amounts should Lime report as total payroll tax liability and as payroll tax expense?

Liability Expense

a.$1,900 $700

b.$1,200 $1,400

c.$1,900 $1,400

d.$2,600 $700

I am using Becker and I am have a hard time understanding their answer. Please help!

[NYCaccountant]

Only the employer's half should be an expense and that should $700 (7% of 10,000)

The other half is a liability the employees pay and it apart of their comp. See entry below:

Debit Wages – 10,000

Debit – Payroll taxes – 700

Credit – cash/ Ap 8,100

Credit – Payroll Liabilities – 2,600 Payroll and federal taxes.

So answer is D.

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[NYCaccountant]

Only the employer's half should be an expense and that should $700 (7% of 10,000)

The other half is a liability the employees pay and it apart of their comp. See entry below:

Debit Wages – 10,000

Debit – Payroll taxes – 700

Credit – cash/ Ap 8,100

Credit – Payroll Liabilities – 2,600 Payroll and federal taxes.

So answer is D.

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[teeteenounouche]

NYCaccountant, where did you get Credit – Payroll Liabilities – 2,600 Payroll and federal taxes?

Florida:
AUD: 73, 81! Thank you Lord!
BEC: 73, 77! Thank you Lord! and WTB
REG: 71, 82! Thank you Lord! and A71
FAR: 72, 78! Thank you God and my Mommy in Heaven!

CPA Excel, Ninja Notes & Audio, Wiley Test Bank, CPAreviewforfree

[teeteenounouche]

NYCaccountant, where did you get Credit – Payroll Liabilities – 2,600 Payroll and federal taxes?

Florida:
AUD: 73, 81! Thank you Lord!
BEC: 73, 77! Thank you Lord! and WTB
REG: 71, 82! Thank you Lord! and A71
FAR: 72, 78! Thank you God and my Mommy in Heaven!

CPA Excel, Ninja Notes & Audio, Wiley Test Bank, CPAreviewforfree

[Anonymous]

Can someone please explain the reason for this situation?

When the equity method is used to account for investments in common stock, changes in MV of investee's common stock do no affect the investor's reported investment income.

Thanks in advance.

[Anonymous]

Can someone please explain the reason for this situation?

When the equity method is used to account for investments in common stock, changes in MV of investee's common stock do no affect the investor's reported investment income.

Thanks in advance.

[NYCaccountant]

@teeteenounouche Because it states that they pay the payroll taxes on the 15th of the following month, so you automatically know that they have a liability. They owe the matching FICA which is $700, the employees owe their share which is $700, and the employees owe federal income tax of $1,200. The company's payroll expense was 10,000, and the company withheld federal income tax and FICA from wages, so instead of paying the employees cash of 10,000, they only got paid 8,100 and the balance was to be paid to the government on their behalf of $1,900. Now the company themselves had their own liability of $700, so you add that to the $1,900 ($1,900 +$700=$2,600). So their totally liability had to be $2,600 at the end of January 31 because they don't remit patrol taxes until the feb 15. Let me know if anyone disagrees with me.

FAR - 93
REG - 87
BEC - 84!!!!
AUD - 99!!!!!! CPA exam complete.

[Author]

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