[jeff]

SO I know every test is different but does anyone have any insight on what has been heavily tested recently? I take the exam Monday and I need to narrow my focus….Thanks!

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

[Determined CPA]

At december 31, year 1, inc owned 90% of winn corp, a consolidated entity and 20% of carr corp, an invest in which grey cannot exercise significant influence. on the same date, grey had receivables of 300,000 from winn and 200,000 from carr. in its dec 31, y1 consolidated balance sheet, grey should report AR from affiliates of:

answer is 200,000 bc the receivable from winn will be eliminated in the consolidation.

my question is: i feel like in previous questions I've gotten this wrong bc i always want to add the 10% not owned by grey. does anyone when this happens?

I'm getting concepts confused in my head and i can't find the questions where sometimes you add in the 10%

A - 75
B - 78 God is good.
F - 77 Answered prayers.
R - 84! Done!!

Paperwork sent - waiting for license!!
Still on a cloud and in shock. Through God, all things will happen.

[Determined CPA]

also future ninja, isn't r&d expensed? how can it be a temp diff?

A - 75
B - 78 God is good.
F - 77 Answered prayers.
R - 84! Done!!

Paperwork sent - waiting for license!!
Still on a cloud and in shock. Through God, all things will happen.

[lin.1017]

@Future Ninja

The correct answer is $700,000 for this one.

Gei Co. determined that, due to obsolescence, equipment with an original cost of $900,000 and accumulated depreciation at January 1, 1992, of $420,000 had suffered permanent impairment, and as a result should have a carrying value of only $300,000 as of the beginning of the year. In addition, the remaining useful life of the equipment was reduced from 8 years to 3. In its December 31, 1992, balance sheet, what amount should Gei report as accumulated depreciation?

a. $100,000

b. $700,000

c. $600,000

d. $520,000

*****

I know the solution to this one but I dont get why……

Can anyone explain the accounting treatment/journal entry to this one?

FAR 2/27/15 94
BEC 4/20/15 87
REG 5/30/15 93
AUD 8/03/15 98

BECKER CPA EXAM REVIEW

[Future Ninja]

@lin.1017 thank you. oh my. now i wanna know why too. I answered 520,000. If its 700,000 does it mean they added the impairment loss to accumulated depreciation?

@determinedcpa – according to becker for accounting of income tax, R&D is a temp difference just like depreciation.

AUD - 79 (expired) retaking July 28,2016
FAR - 76 expiring July 31, 2016
BEC - 85
REG - 74,74,74,74,59,70,

[Future Ninja]

after 4 hours sleep, rise and grind. 6am. argggh.. need cup of coffee.

AUD - 79 (expired) retaking July 28,2016
FAR - 76 expiring July 31, 2016
BEC - 85
REG - 74,74,74,74,59,70,

[ron10590]

Could someone please help me understand this question?

I understand that the weighted average at the 1/7/Y2 is 1.75 ($2,800 total cost / 1600 units on hand), so 1.75 x 700 units on hand after the sale = 1,225. Then you add the addition cost of goods purchased on 1/25/Y2 (1,225 + 2,000 = 3,225). But, why do you add the whole cost of 2000, not the average cost at 1/25/Y2?

During January year 2, Metro Co., which maintains a perpetual inventory system, recorded the following information pertaining to its inventory:

units unit cost total cost units on hand

Balance on 1/1/Y1 1,000 $1 $1,000 1,000

Purchased on 1/7/Y2 600 $3 $1,800 1,600

Sold on 1/20/Y2 900 700

Purchased on 1/25/Y2 400 $5 $2,000 1,100

Under the moving-average method, what amount should Metro report as inventory at January 31, year 2?

a. 2,640

b. 3,225

c. 3,300

d. 3,900

REG (7/14): 82
FAR (11/14): 81
BEC (1/15): 83
AUD (5/15):

[JR0823]

Anyone else feeling the pain of taking FAR last?

AUD-87 (1/14)
BEC-75 (5/14)
REG-80 (8/14)
FAR-XX (11/14)

[Missbots]

@JR took FAR yesterday..I have mixed feelings.the MQS were ok but the sims were on another level..I'd lucky if I pass..

[Determined CPA]

future ninja – where in becker does it say r&d is a temp diff? on page F2-81 it says its an expense…

ps i really like your ‘did you knows'!

JR0823 – i saved far for last too! hoping to be done with this test by 2014!

A - 75
B - 78 God is good.
F - 77 Answered prayers.
R - 84! Done!!

Paperwork sent - waiting for license!!
Still on a cloud and in shock. Through God, all things will happen.

[JR0823]

@missbots I felt the same way when I took Reg and it all worked out. It's all in the preparation! You never know with these exams.

AUD-87 (1/14)
BEC-75 (5/14)
REG-80 (8/14)
FAR-XX (11/14)

[Gabe]

@ron, this may be wrong, but my understanding (just by looking at the question) is that you're doing the weighted average for the units sold. therefore, when more are purchased you use the actual price.

Can anyone back me up on this theory?

CPA, CFE
CISA- Experience will be completed by August 2016

[Gabe]

@lin did you ever figure out why the answer is 700? I answered 520 as well!

CPA, CFE
CISA- Experience will be completed by August 2016

[Gabe]

Has anyone taken FAR this quarter using Ninja? If so,what did your scores look like (in Ninja?)

CPA, CFE
CISA- Experience will be completed by August 2016

[ron10590]

@Gabe: so inventory is measured at purchase price until the first items are sold, then you portion out inventory and COGS based on the average cost… then as you purchase more inventory you measuring inventory at cost again until some is sold. Does that sound right?

I suppose that makes sense because the different methods (LIFO, FIFO, etc.) all record inventory purchases at cost… the difference is how you divide the cost between inventory and COGS.

REG (7/14): 82
FAR (11/14): 81
BEC (1/15): 83
AUD (5/15):

[Gabe]

Based on the questions I've seen on weighted average, that sounds right to me @Ron

CPA, CFE
CISA- Experience will be completed by August 2016

[Author]

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