[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

[StephAV]

Qlad, good luck! Everything I've read seems to be the key is MCQ until you can't take it anymore and focus more on your weaknesses rather than your strengths. It is tempting to go to your strengths because that is the stuff you feel good about and working those questions is more enjoyable? If that is possible… Lol.

I have 24 days and I'm kind of freaking out so I can only imagine how you are feeling! You got this!

FAR - 7/13 - 72, 11/13- 74, 2/14- 82!!! Best score ever (for me)!!!
BEC - 1/14 - 75!!! Perfect score! First Pass! YAY!!!
AUD - 8/14 - 80!!!
REG - 5/14 - 72, 10/14 - 66, 1/15 - 78 - DONE FOREVER!!!
I did 5 of the UNA and CPAExcel classes to earn units.

[Anonymous]

Anyone had ideas about this one?? I'm not seeing this anywhere in the book and the explanation seems odd.

On January 1, year 1, Peabody Co. purchased an investment for $400,000 that represented 30% of Newman Corp.'s outstanding voting stock. For year 1, Newman reported net income of $60,000 and paid dividends of $20,000. At year end, the fair value of Peabody's investment in Newman was $410,000. Peabody elected the fair value option for this investment. What amount should Peabody recognize in net income for year 1 attributable to the investment?

a. $18,000

b. $16,000

c. $6,000

d. $10,000

Explanation

Choice “b” is correct. Entities may elect the fair value option for recognized financial assets and liabilities. An entity can choose to measure at fair value an investment that would otherwise be accounted for using the equity method. Under the fair value option, income is calculated as the amount of the dividend received of $6,000 ($20,000 × 30%) plus the appreciation for the year of $10,000.

[StephAV]

The Fair Value option is newish, to conform more with IFRS FVTPL… You would usually use equity method, but you have the option to use the FV. The question states the beginning and ending FV's and you also record your % of the dividends received. https://www.fasb.org/news/nr021507.shtml

FAR - 7/13 - 72, 11/13- 74, 2/14- 82!!! Best score ever (for me)!!!
BEC - 1/14 - 75!!! Perfect score! First Pass! YAY!!!
AUD - 8/14 - 80!!!
REG - 5/14 - 72, 10/14 - 66, 1/15 - 78 - DONE FOREVER!!!
I did 5 of the UNA and CPAExcel classes to earn units.

[Anonymous]

Can somebody please please PLEASE help me with intercompany transactions???? I am going over all of the SIMS right now for all chapters and I just came across one for intercompany transactions.

[LT-P]

@Qlad I feel the same exact way before an exam, I even shed a few tears. During your final days you should focus on progress tests and reading through your notes to pick up any little fact nuggets that may pop up on a MCQ. The key to passing is preparation & confidence, you'll get through it!

- passed all 4 exams on my first try using Becker!

Ethics: TBD

[Mike1987]

Hi everyone, is F5 hw suppose to be harder than the actual exam, because it is taking me forever to work through these problems and I'm still barely hitting 70%. So many tricks with the dates. Not looking too good at this as pensions are up next.

[Qlad]

Thanks cpaforbirthday, Steph, tanaya…. I am a bit tensed right now…everytime I lose the confidence at the end, when i have been on schedule all this time…i just mess up at the end and feel terrible after the exam…it is the same feeling again..and since i have failed twice before, i have no confidence that i can pass…but still thanks a lot… u guys have helped me a lot emotionally…taking my first practice test today…let's see..

FAR 72,71,81 🙂
AUD 64,71, 72, 75 🙂 I'm done !!!
REG 73, 74, 74, 84 🙂
BEC 76 🙂

[LT-P]

@Mike1987 it took me an hour to get through 10 questions in F5 -____- But after you go through it once it is way easier. The first time around I definitely didn't feel smart lol.

- passed all 4 exams on my first try using Becker!

Ethics: TBD

[Anonymous]

When is enough, enough? I am taking FAR next Tuesday (July 2nd) and have completed all the Becker material and have been doing progress tests to enhance my studying. I have been consistently scoring in the low-mid 90's on these and I feel that I am simply wasting my time. Should I continue to do these, or is my time better spent on other issues? Thoughts?

[Qlad]

I have a small confusion about depreciation in case of capital lease….do we depreciate the PV of the lease or the total amount the asset was leased for…i can't find a question that has depreciation expense….

guys!!! i must confess…this is my panic mode when i am near the d-day… and i uselessly get confused on topics i knew very well!

FAR 72,71,81 🙂
AUD 64,71, 72, 75 🙂 I'm done !!!
REG 73, 74, 74, 84 🙂
BEC 76 🙂

[Anonymous]

@Qlad – if it is a capital lease we depreciate the amount capitalized which is the PV of lease payments plus the PV of residual value of any guaranteed purchase agreements. This amount is then depreciated over either the life of the asset or the term of the lease; if there is a bargain purchase option or title transfers we use the economic life of the asset less any salvage value. If title reverts to the lessor upon completion of the lease term, we use the duration of the lease.

Hope this help!

[Qlad]

@adrost…thanks…it definitely helped…thanks again

FAR 72,71,81 🙂
AUD 64,71, 72, 75 🙂 I'm done !!!
REG 73, 74, 74, 84 🙂
BEC 76 🙂

[se7en.14]

Hi all,

Not for profit – pg F9-55

I'm not sure when to Debit Expense or Asset.

or when to use Credit Contribution or Unrestricted contributions (bottom page 56)

I understand the overall concept, but still unsure of journal entry. Thanks if someone can help!!

[icanhazcpa]

@Qlad don't worry so much, just do your best! I did my first full material practice run of 100 questions tonight and made an 87% so I think that's a good start to my cram weekend coming up. My weakest areas are F7 and F10. I hate F10 more than anything because it's so scattered I feel like I can't get a feel for it, if that makes any sense. Good luck to everyone studying this weekend!

BEC - 83
FAR - 83
REG - 74, 78
AUD - 76

Becker Self Study

[Anonymous]

I found the question above about Peabody's fair value investments another way. Used the equity method and found impairment.

Earnings from NI = 60,000 x 30% = 18,000

Dividends = 20,000 * 30% = 6,000

Investment = 400,000 + 18,000 – 6,000 = 412,000

Fair value = 410,000

Carrying amount = 412,000

Impairment = 2,000

Income Statement = NI Earnings – Impairment Loss = 18,000 – 2,000 = 16,000

The way Becker explains it doesn't make sense to me. It's not in their book either.

[Author]

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