[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

[samdiegoCPA]

@lasdlnx No, I used Roger but ditched the books for this exam because they were from 2012. Used 2014 Wiley book, some of the Wiley MCQ, and Ninja MCQ.

AUD: 84
REG: 84
BEC: 79
FAR: 83

[CPA50]

Roger plus Ninja!

Good luck tomorrow everyone!!!!

AUD 88 (expired), 80 retake
FAR 64,69,67,73,67,73,73,73, August 3
REG 75 (expired) September 7
BEC 72, 77

The adventure continues...

[Anonymous]

@samdiegoCPA

Good luck to you too!

[lasdlnx]

@samdiegoCPA

YES!!!!!!!!Good luck to you I am sure you will do great!

After using Roger and Wiley,,,,,,,,,,Which one do you prefer?

How many hours would you guess you spent studying for each test?

Jerome

FAR-59 🙁 retake late January '14

[samdiegoCPA]

Thanks everyone!

Finished with all 1432 MCQ and all 71 SIMS as of 10:55pm. Off to bed, wake at 7:30am and study til 11:30. Will report back after when I have no brain!

AUD: 84
REG: 84
BEC: 79
FAR: 83

[Anonymous]

House Publishers offered a contest in which the winner would receive $1,000,000, payable over 20 years. On December 31, Year 1, House announced the winner of the contest and signed a note payable to the winner for $1,000,000, payable in $50,000 installments every January 2. Also on December 31, Year 1, House purchased an annuity for $418,250 to provide the $950,000 prize monies remaining after the first $50,000 installment, which was paid on January 2, Year 2.

In its December 31, Year 1, balance sheet, what amount should House report as note payable-contest winner, net of current portion?

Choice “a” is correct. $418,250 note payable at Dec 31, Year 1, net of current portion (of $50,000 paid on Jan 2, Year 2).

$418,250 (the amount of the annuity purchased) is the present value of the 19 payments of $50,000, after the first payment. The first payment of $50,000 has a present value of $50,000 and is classified as current.

Shouldn't it be 950,000?

[Anonymous]

cpastudent22,

the answer is $418,250 because L/T receivables are recorded at Present Value, the rest of the amount as a note payable discount. The information about the purchase of annuity makes it confusing, but I guess it's there to just provide the PV of a similar liability.

[ahugemistake]

Are annuity dues always recorded net of the current portion like that?

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

[Jspann225]

@ahugemistake I think it just depends on how the question is worded. I believe there is another question in Becker with the exact same facts and the answer would be 468,250, because the question asks for the amount of the liability. I think it is important just to remember that the total liability would be made up of a current and a long-term portion that would be separated on the balance sheet.

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

[HopefulCPA0601]

114 questions left of Wiley and 9 Sims until my FINAL FINAL FINAL review. This is my first time using Wiley, normally I used becker but it just wasn't fully working for me. For anyone who has heard about or used Wiley for the FAR exam before, how does it compare to the real exam? How do the final exams compare? I am goign to take both the Wiley and Becker final exams within the next 3 weeks of final studying.

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]

Also I'm buying the Ninja notes.. do I have to rewrite them all or should i only rewrite the sections I am weaker in? Thanks!

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

[Anonymous]

I am doing MCQs right now and I encountered 2 questions with one of the choices as “All of the answers are correct”. I chose that answer in both question and it turned out they're both correct. I'm just curious, did it happen to anybody here that you have that choice but it's not the right answer? I'm just thinking what if it's a bonus question? Hmmm…

[Anonymous]

Dana Co.'s officers' compensation expense account had a balance of $224,000 at December 31, before any appropriate year-end adjustment relating to the following:

No salary accrual was made for December 30-31. Salaries for the two-day period totaled $3,500.

Year-end officers' bonuses of $62,500 were paid on January 31.

In its December 31 income statement, what amount should Dana report as officers' compensation expense?

choice “d” is correct. Salaries should be accrued at year-end. Officers' bonuses should also be accrued at year-end, applying the matching principle. $224,000 + $62,500 + $3,500 = $290,000.

My question is: Shouldn't there be no adjustment to compensation expense account, as the bottom two are ACCRUED compensation expenses?

I was thinking:

Accrued Comp Expense 62500+3500

Credit payable

And this doesn't hit the actual compensation expense account until paid out?

[JEjunkie]

To accrue it, the JE would be

DR Compensation Expense 66,000

CR Salaries payable 66,000

The main point is to get the accrual on the income statement, which is done by posting to the comp expense account. It would be too time consuming to post to an “accrued comp expense” account and then do a JE to post from one expense account to the other to move it to the appropriate Compensation expense account.

[Anonymous]

@cpastudent22 Accrual means recognizing the income/expense regardless of when it's paid.

[Author]

Replies