[jeff]

Free Study Planner, Notes, Audio, Flashcards: https://www.another71.com/cpa-exam-study-plan/

Free CPA Exam Survival Guide: https://www.another71.com/cpa-exam-survival-guide/

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

[Delta_Diva_]

I never seen these topics before. I was going to use my job research tool (CCH) to look up some information.

FAR:68,71,70,72 (Rematch 7/2/14)
AUD:88
REG:76
BEC:75

[MC Guesser]

Is anyone else having difficulty with the NinjaNotes McQ? I am running it on Chrome with AdBlock disabled as is still taking ≈30 seconds to load each question. I've reverted back to the WileyTB because these 30 second delays keep adding up into a lot of wasted time. Any suggestions from anyone who has had this issue would be much appreciated. Thanks!

FAR: 7/1/14 (85)
REG: 7/28/14 (88)
AUD: 8/22/14 (84)
BEC: 8/28/14 (83)

CPAExcel, WileyTB, Ninja Notes and Blitz

[Tarheelgirl]

@MCGuesser – I have this same problem and do not run it through Chrome. I am going to use the WTB tonight too bc of the delays. Jeff might pop in here at some point and give us some advice, lol.

FAR - 46, 79 (7/8/14)
AUD - 56, 59, 2/23/15 3rd times a charm!
BEC - 69, 74 Really??
REG - April, I hope. Fingers crossed!

[Anonymous]

Hello All,

I am just getting back into study mode after a nice break from Q2 AUD. I passed by the skin of my teeth, but AUD is done. I am now onto FAR and enjoy the feedback on various topics in this group. Gian had a very good post on page 3 that I basically followed for AUD, so I will try that again for FAR and will hopefully be ready. Good luck to each of you testing this session.

DM

[Anonymous]

Hi Y'all. Hope you guys are ready for weekend study session. I know I am. Aiming to review F7.

Those of you taking FAR early July, how do you feel? and what is your review like? I would really like to hear how others r tackling the review. I hv a plan but nt sure if its a good one. FAR is very intimidating. I feel like I do not remember anything from the previous chapters.

So far, I hv reviewed F8-F10.. Still not a 100% with those topics but def better than my initial run through them.

[Anonymous]

DC – I also failed by 3 points!! 🙁

I used Becker for the first time for FAR so I'm going back to my roots with Wiley TB. I plan to do all the MCs/ SIMS and write down every JE I encounter on notecards. Then use the last week before exam to review like crazy.

When do you plan on rematching?

[ahugemistake]

Going to starbucks early morning at 7 and studying until 9 and then going back in evening from 5 to 9 again.

hopefully I can do this both saturday and sunday, I really need to catch up!

FAR - 78*
AUD - 66, 79
REG - 73, 76
BEC - 79

[EYNewHire]

I'm a little nervous at this point. I'm doing F2 right now and I take the test in a little under a month. I had less time for Reg and did well on that, though, so I feel like I should do ok. I'm able to studied everyday for about 4 to 5 hours (I wish I could actually do it everyday).

[D C]

@dcflcpa

So I have my NTS ready to go but not sure when to schedule it. I would take it mid July but I have a 2 week trip to Italy coming up starting 23 June. So I think I will take it in the 1st or 2nd week in August. I return on the 7th and can probably push myself to do it by end of July but then I wait three weeks to get a score so I think I will add two more weeks to review and take on 8th or 15th that way I wait a max of 2 weeks before I know my result. Summer is so busy!

I just hope I can get back in the zone. I plan on reviewing all the chapter outlines provided by Becker and my own notes and do MCQs before I go. Then I won't event look at anything for two weeks. When I get back it's gonna be nonstop MCQs , flash cards and sims and reviewing examples and JEs in the book. I just hope I don't get burnt out.

Only 3 points separated us from being CPAs…. Sucks! At this point we know it just gotta firm it up!

B - 80
A - 71, 67, 77
R - 71, 77
F - 72, 77
DONE!!
Becker Self-study all the way! Did use Ninja Notes & Audio for FAR.

[Anonymous]

Able Co. provides an incentive compensation plan under which its president receives a bonus equal to 10% of the corporation's income before income tax but after deduction of the bonus. If the tax rate is 40% and net income after bonus and income tax was $360,000, what was the amount of the bonus?

a. $36,000

b. $60,000

c. $66,000

d. $90,000

Explanation

Choice “b” is correct. $60,000 bonus.

Step 1 – Determine pre-tax income

After tax income – $360,000 (after bonus & income tax)

Pre-tax income – $360,000 ÷ 60%

Pre-tax income – $600,000 after deduction for bonus

Step 2 – Determine bonus

Bonus = Pre-tax income after deduction for bonus x 10%

Bonus = $600,000 x 10%

Bonus = $60,000

I don't get how to solve this question. The explanation that Tim Gearty gives in the lecture does not help either. Can any of you help with this?

Thanks

[EYNewHire]

We know that the bonus is 10% of income after the deduction of the bonus. Income after deduction of the bonus is equal to the income just before taking out taxes.

We are given net income of 360,000. Net income already has taxes taken out. The tax rate is 40%. We want to know what income was before taxes were taken out. So you take the 360,000 in taxes and divide by 60%. This gives you $600,000 and 10% of this number (Income before taxes but after the bonus deduction) is our bonus.

The reason why we divide by 60% is as follows. If you have the amount and the % of that amount from the whole you can calculate the whole by doing amount divided by %. We know that net income is 60% of our whole number and the other 40% is taxes. So you take 360,000/60%.

[Lilyana]

Hi Guys,

I've been having a hard time to understand the deferred tax chapter. When you calculate the taxable income, how do you differentiate whether to “+” or “-” the permanent difference/ temporary difference?

For example, why do you minus the royalty income and depreciation but to add back the payment of penalty?

Thank you very much!!!!

[jstay]

@lilyana, you add back the penalty expense because it will never be deductible for tax purposes. same thing with municipal bond interest. So when theres book income of 100, which INCLUDED municipal bond interest of 15, it must be taken out of taxable income because it will NEVER be taxed. so therefore your taxable income would be 85. The perm differences aren't deferred. Hopefully this helped a bit. I just did this section this week

[CPAfit]

hey y'all hope you are having a good study weekend

Quick question when calculating expense for software development, how do you guys know which expenses to capitalize and which ones to expense immediately?

[Jspann225]

@zubairs For software developed for internal use you would capitalize everything incurred after the preliminary stage (except for training/maintenance), and for software developed for sale you would capitalize expense after technological feasibility. I'm not sure what study material you are using, but Becker question usually make it clear when these stages have been reached. I just hope for the same clarity in the exam.

FAR - 93 - 7/1/14
AUD - 94 - 7/25/14
REG - 92 - 8/30/14
BEC - 89 - 10/6/14

[Author]

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