[jeff]

Welcome to the Q1 2016 CPA Exam Study Group for FAR.

Some BLITZ videos to help your exams: https://www.another71.com/ninja-blitz

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

[marqzho]

Interest on other debt that could have been avoided by repayment of debt need to be capitalized. So if Cann doesn't build the new plant, they could repay the debt. Therefore, we need to capitalize certain portion of $800,000 =)

REG 90
FAR 95
AUD 98
BEC 84

[rahurst]

Gotcha. Re-reading the question & explanation along with your explanation made it click. Thank you for the help!

FAR - 60 (11/25/14) 61 (1/6/16) 75 (4/19/16)
AUD - 75 (1/6/15)
BEC - 71 (4/7/15) 77 (7/2/15)
REG - 62 (8/28/15) 71 (11/2/15) 84 (2/12/16)

[Anonymous]

Hey Guys,

I have noticed a lot of you have taken different parts of the exam already and I have to ask was your first time a bit of a shock? I point this question mainly at people who did not pass the first time they took the exam.

[MaLoTu]

I took FAR first almost a year ago. I knew once I started studying I was in over my head. I took 2 exams (FAR and AUD, failed both) before I figured out how to even study for the exam.
I passed REG on my first attempt and I was able to pass AUD this last window.
The first exam will tell you if you are studying properly or not. I know many people who passed exams on the first try. I am great at school and horrible at studying. I flew through school because I didn't need to study, I sat there and listened to the lecture, did my homework and I graduated 3 degrees with high honors. The CPA has forced me to learn how to study.

[Anonymous]

@Corptheater

I attempted FAR first and it was a bit of shock. I wasn't sure how in depth I needed to know the subjects in my study material and I didn't realize how much NFP and Gov. would be tested. Also, I was super nervous for my first test because I didn't give myself much wiggle room on drive time and the whole needing 2 forms of id and finger prints. It just freaked me out. But once I had an idea of how the test works, I have a better idea of what I need to study and the depth. Taking FAR first was the best idea for me, because it makes the other 3 tests seem 100x easier in comparison.

[Larry]

If you're using Becker material, I was in a bit of shock after F2 (chapter 2). I thought my life was over and I did absolutely horrible doing the homework questions. The trick is to keep moving on and just trust the process. For each section you are taking for the CPA, you need to live and breathe that section until test day.

REG - 82
FAR - 78
BEC - 76
AUD - 8/27/16

[Anonymous]

I hope everyone is doing great!

The following information pertains to Smoke, Inc.'s, investment in marketable equity securities:

On December 31, 20X2, Smoke reclassified a security with a $70,000 cost and a $50,000 fair value from trading securities to available-for-sale.
A marketable equity security costing $75,000, adjusted to $30,000 in 20X1, had a $60,000 fair value on December 31, 20X2. Smoke transferred this security from the available-for-sale to the trading category.
The decision to make the transfers in classification was made after properly accounting for the investments at fair value. What is the net effect of the above transfers on Smoke's earnings for the period ending December 31, 20X2?

A. No effect

B. $15,000 decrease

C. $35,000 decrease

D. $45,000 decrease

[MaLoTu]

@cortes – is it b? I think that when it is A4S the loss isn't recognized but because it was moved to trading then the loss is recognized? Could be totally wrong.

[Anonymous]

it is b! When the transition was made the that amount was taken from accumulated comprehensive income and it was recognized on N.I.

[marqzho]

=(

REG 90
FAR 95
AUD 98
BEC 84

[MaLoTu]

Yay! From what I remember, A4S securities losses are “held” in OCI and the trading security losses are recognized in the period the loss is incurred.

[Anonymous]

@ Cortes, do you feel ready? When is your exam?

[Anonymous]

Papogator24 that is exactly how I feel! I did so bad I thought.. I should go back and re-read a million times. But you are right we should just keep going. I am going to complete the rest of the homework for section 2 and then move on to section 3 thsi weekend.
This is my last exam.. the motivation is not there

[Anonymous]

@Agus I think I understand the majority of the concepts, I am trying not to forget them and reinforce the ones I am weak on. But I dont know if I am ready, I dont know if I ever will feel ready lol! There is so much material, sometimes I do not know were to focus.

I am taking it on Jan 4 2016.

[Anonymous]

@ Cortes, I completely understand. I got my report back yesterday and I was strong on 3 areas, comparable in one, weak on one area of MCQs and SIMS. I need to focus on my weak areas and keep improving on the other areas. I am planning on taking mine the same day that REG expires, Feb 2nd. I am going to be extremely nervous know that REG expires!
REG:77
BEC:73/74/81
AUD:58/76
FAR:74, retake on Feb, 2016

[Author]

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