[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

[iwantmylifeback_]

I've found the best way to tackle the depreciation problems is to make up some numbers. Just take regular straight-line depreciation and replace the numerator with a 2 for double declining balance or 1.5 for 150% declining balance.

100,000 X (2/4) = 50,000 (Or 100,000 X 50%)

<50,000> prior year depreciation

= 50,000 remaining base X (2/4) = 25,000

Therefore, the year 2 depreciation would be 25,000 or [X(50%)(50%)]

BEC 85
AUD 99
REG 88
FAR 93

[nbad311]

I almost always plug dummy numbers in questions like that! Its definitely helpful for me.

REG - 65, 70, 80!
BEC - 35, 62, 79!
AUD - 73, 75!
FAR - 65, 73, 70, 75! DONE.

[nbad311]

I almost always plug dummy numbers in questions like that! Its definitely helpful for me.

REG - 65, 70, 80!
BEC - 35, 62, 79!
AUD - 73, 75!
FAR - 65, 73, 70, 75! DONE.

[Anonymous]

I tried when originally working the problem and sill couldnt understand it 🙁

[Anonymous]

I tried when originally working the problem and sill couldnt understand it 🙁

[ndpendentbw]

@iwantmylifeback – thank you for responding. I am still a lil fuzzy with this portion of the problem

“You take the ownership % times earnings – dividends to get 200,000”. If i plug in the numbers as follows:

earnings = $600k x 50%

=$300k

[ndpendentbw]

@iwantmylifeback – thank you for responding. I am still a lil fuzzy with this portion of the problem

“You take the ownership % times earnings – dividends to get 200,000”. If i plug in the numbers as follows:

earnings = $600k x 50%

=$300k

[ndpendentbw]

@iwantmylifeback – thank you for responding. I am still a lil fuzzy with this portion of the problem

“You take the ownership % times earnings – dividends to get 200,000”. If i plug in the numbers as follows:

earnings = $600k x 50%

=$300k

[ndpendentbw]

@iwantmylifeback – thank you for responding. I am still a lil fuzzy with this portion of the problem

“You take the ownership % times earnings – dividends to get 200,000”. If i plug in the numbers as follows:

earnings = $600k x 50%

=$300k

[ndpendentbw]

i think i need to type my response in word and then copy into post so i can stop posting in pieces… sorry all.

after you calculate the $300k as your portion of ownership interest how do you get to the $200k?

i am clearly looking at this completely wrong.

[ndpendentbw]

i think i need to type my response in word and then copy into post so i can stop posting in pieces… sorry all.

after you calculate the $300k as your portion of ownership interest how do you get to the $200k?

i am clearly looking at this completely wrong.

[NYCaccountant]

@Ndpend Basically of the 300k in earnings you have, 240,000 will never be taxed by the government, so this portion is a Permanent difference. The 60,000 difference will be taxed by the government sometime in the future, so this is a temporary difference. Deferred taxes only arise because of temporary differences, so we should only account for the 60,000 difference. The 60,000 * the tax rate of 30% gives you a deferred tax liability of 18,000. For the 100,000 in dividends received (200,000*50%), you will only have to pay tax on 20% of that amount. So 100,000 * 20%= 20,000

20,000 *30%= 6,000 Deferred tax asset. So you have a deferred liability of 18,000 and a deferred tax asset of 6,000. You net them out and end up with a deferred liability of 12,000.

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

[NYCaccountant]

@Ndpend Basically of the 300k in earnings you have, 240,000 will never be taxed by the government, so this portion is a Permanent difference. The 60,000 difference will be taxed by the government sometime in the future, so this is a temporary difference. Deferred taxes only arise because of temporary differences, so we should only account for the 60,000 difference. The 60,000 * the tax rate of 30% gives you a deferred tax liability of 18,000. For the 100,000 in dividends received (200,000*50%), you will only have to pay tax on 20% of that amount. So 100,000 * 20%= 20,000

20,000 *30%= 6,000 Deferred tax asset. So you have a deferred liability of 18,000 and a deferred tax asset of 6,000. You net them out and end up with a deferred liability of 12,000.

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

[Jigar]

Can anyone know how to answer RESEARCH Question for FAR? I tried couple of them in wiley but I am struggling to get the right answers.

Is ther any techiniques?

Plz Help…

[Jigar]

Can anyone know how to answer RESEARCH Question for FAR? I tried couple of them in wiley but I am struggling to get the right answers.

Is ther any techiniques?

Plz Help…

[Author]

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