[jeff]

Welcome to the Q2 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

[thebigguy1992]

I thought when you approve the PO you:

Dr Encumbrances Control
CR Fund Balance – Reserve for encumbrances (you said that the credit is just a budgetary control? I am just getting this credit from the ninja MCQ answer explanation, i never saw budgetary control as a credit)

So to recap this whole thing (correct me if I'm wrong anywhere):

Opening budgetary entry:
Dr. Estimated Revenues control
CR Appropriations control
CR/DR Budgetary fund balance (is credited if inflows exceed outflows, is debited for the opposite)

Closing Budgetary entry:
Dr Appropriations control
CR Estimated Revenues Control
Cr/Dr Budgetary fund balance

When purchase order is approved:
Dr Encumbrances Control
Cr Fund Balance – Reserve for encumbrances

When purchase order is filled:
Dr Fund Balance – Reserve for encumbrances
CR Encumbrances Control

When you receive the actual purchase:
DR Expenditures
CR Vouchers Payable

[thebigguy1992]

Also, just a tip about discrete and blended presentation: you can read a problem and see that the NFP is a “legal separate entity” and think oh ok that must definitely be discrete – No! You have to keep reading on. sometimes they can trick you and say it is a legal separate entity, and then say that the governing body of the NFP is the same as the city council, or that the NFP uses funds supplied by the city council or primarily services the city council, and that makes it blended.

[Titleistg0lfer]

Those entries look good. Good tip on the presentations!

REG: 84 (10/5/15)
AUD: 83 (11/23/15)
BEC: 77 (2/27/16) - The bubble sucks
FAR: 90 (7/20/16) - AND DONE FOREVER!!!!!

[MaLoTu]

Pasting from the FAR exam thread …Just got out of my exam:

Testlet one: medium – obviously, but a lot of computations, flagged like 5.
Testlet two: hard? I flagged 13. They were not long, but the questions and/or answers were weird. The concept would be normal but the answer choices would be totally foreign. Basically a massacre.
Testlet three: medium? Still some real obscure topics. A lot less than testlet two, but enough to make me uncertain of some answers. I flagged 7, but I kind of took guesses on maybe a couple more.

MCQ were about 75% computational. Touched on a lot of subjects, but there were some that were tested more than I felt they should have been.

I amazingly feel confident on 4.5 out the 7 sims. Two I filled in a bunch of zeros, mostly. I might glean some points from that or maybe the couple items I could figure out. They gave me a bunch of information and I tried to deal with it but it didn't seem that I could fit anything in. The sims were a real “mixed-bag” as opposed to last time where they were almost all JEs. I attempted the research question first and spent 2-3 minutes searching before I decided to move on to the others. I eventually went back and found it word for word. The sims were not super easy, but luckily I had just studied many of the concepts.

I can't say enough for going back through every topic and doing a few practice questions from each a day or two prior to your exam. I am not sure I passed, but I have never felt this confident on the TBS. I hope my MCQ didn't screw me!

[thebigguy1992]

@titleist so my entry is correct where DR encumbrances and CR fund balance – reserve for encumbrances? you said the CR is budget control.

Also, what are you doing the night before your exam? I am just doing sets of 30 MCQ on troubled areas.

[thebigguy1992]

A company exchanged land with an appraised value of $50,000 and an original cost of $20,000 for machinery with a fair value of $55,000. Assuming that the transaction has commercial substance, what is the gain on the exchange?

A.
$0

B.
$5,000

C.
$30,000

D.
$35,000

why is the answer not B? i thought when it had commercial substance, the FV of what you gave up is your new property value. therefore, the FV of what we gave us is 50, and we received something worth 55, so the gain is 5? the answer is C

[MaLoTu]

Good luck tomorrow titleist and bigguy … Anyone else testing tomorrow?

[Anonymous]

can somebody explain INTRAperiod tax allocation?it should be the easy one lol but becker doesnt do a good job of explaining.

i totally get the INTERperiod one and the DTA/DTL's that are created and eventually theyreverse out- thats all logical.

INTRAperiod tho is baffling.

[monikernc]

eesti, here is an older wiley walkthrough that explains the basic concept for intraperiod tax allocation. just remember the world of extraordinary items has changed since this was written so there may be more to the story.

https://www.wiley.com/college/kieso/0471363049/dt/studenttool/expanded/appendix20b.htm

FAR 7/25/15 76!
AUD 10/30/15 93
BEC 2/27/16 82
REG 5/23/16 88!
Ninja Book and MCQ and the forum - all the way!!!
and a little thing i like to call, time and effort!
if you want things to change, you have to do something different

[patelhj1]

WOW speechless! I scored a 75 on FAR! Thank you everyone so much for helping me answering questions and getting through this BEAST!

I will say that work hard and you will succeed! Last one to go audit here I come!

BEC 78 08/2015
REG 71 11/2015, RETAKE 83 01/2016
FAR 75! 5/2016
AUD ? 8/2016

Becker with Nonstop NINJA MCQ
Google most difficult professional exam

[MaLoTu]

congrats, patel!

@eesti – Inter-period is much more important than intra. Make sure you understand it.

[patelhj1]

Thanks MaLoTu.. I just read your exam experience and seemed like you had a better knowledge going into the SIMS than me. Honestly I still feel if as I guessed on all 6 SIMs and got only the research question right. You got this, you will pass!

Everyone taking test this week good luck!

BEC 78 08/2015
REG 71 11/2015, RETAKE 83 01/2016
FAR 75! 5/2016
AUD ? 8/2016

Becker with Nonstop NINJA MCQ
Google most difficult professional exam

[MaLoTu]

^Thanks Patel, I hope you are right! I have had 2 bad experiences with BEC where I felt pretty good only to find out I got 74, twice!!! I can't imagine having been completely oblivious on those sims to the point where they were completely wrong! The MCQ worry me though. This is my third FAR attempt and this is the best I have felt coming out of FAR, last time I got 70.

[NJtax88]

Sorry if this has already been asked or posted- but does anyone have a cheatsheet or extremely condensed notes already compiled of the useful mnemonics, IFRS vs GAAP differences, and key formulas already done?

My test is tomorrow and I am just simply overwhelmed by the amount of material. It is my last exam and I wanted to try and get the test in before the updates in July. Because I just took audit in mid may, I only had 2.5 weeks to try and cram it all in there and haven't had the time to make my usual sheet. Any help would be greatly appreciated. Congrats to all that passed this window and good luck to those taking with me tomorrow. Thanks.

[Titleistg0lfer]

I figured I'd post in here as well since I've been talking with some of you in the days leading up to my exam.

So I just got out of my exam and I figured I would share my experience:

1st Testlet: Medium (As always) — I flew through these questions, almost thought they were too easy
2nd Testlet: Hard (I could just tell by the length and attempt at trickiness of these) — Still flew threw these and felt good
3rd Testlet: Hard (Same as 2nd testlet) — Still felt good about these

After all the MCQ's I was feeling good and had over 2.5 hours left to do my SIMS:

I will say that I felt 80-100% comfortable on 4 out of the 7 sims and found my research question in about 30 seconds. There was one sim I literally guessed completely on and put a bunch of zeros in the boxes. The other one I will probably get anywhere between 50-60% if I had to guess.

I think I clicked the submit button with over an hour left on the test, so overall I would say my test was very manageable. They would try to trick you a little bit, but if you knew the material it wasn't too bad. Here's me hoping for a pass and to be done forever on these crazy exams!!

REG: 84 (10/5/15)
AUD: 83 (11/23/15)
BEC: 77 (2/27/16) - The bubble sucks
FAR: 90 (7/20/16) - AND DONE FOREVER!!!!!

[Author]

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