[jeff]

REG Study Group Links and Resources:

1. NINJA Monthly – $67 REG Course
2. Free REG Notes
3. REG Course Comparison
4. How to Pass REG (with NINJA)
5. How to Pass REG (in 20 Days)
6. How to Pass REG (after Failing)

See Also:

• FAR Study Group
• AUD Study Group
• REG Study Group
• BEC Study Group

[iwantthiscpa]

@Tncincy, try reading the Ninja Notes for each chapter and then doing a bunch of MCQ's for it. like a lot of them. then read the answer/explanation for each question and it will kind of force you to read but it will be better than just trying to read a book since you'll be applying it to a real question.

[Ali]

I have another one. I honestly am about to have a breakdown because this should be very straightforward and I'm not getting it. They want us to calculate Hook's taxable income below.

Hook Corp., a calendar-year C corporation, reported the following Year 2 financial information:
Net income per books $210,000
Federal income taxes per books 114,000
Tax depreciation in excess of book depreciation 66,000
Charitable contributions per books 46,000

Thank you guys for your help!!

[23]

210k+114k-66k+46k = 304k taxable income before charitable contributions
Charitable contribution is limited to 10% of TI, or 30,400.
304,000 – 30,400 = 273,600
Good luck on Monday!

WA candidate

[SIDIEULEVEUT]

@ali Take the book income 210,000
add back the federal income taxes 114,000
deduct some additional depreciation (MARCS – tax dep) in excess of SL (book dep) (66,000)
add back the charitable contribution because you are only allowed 10% under corporation 46,000
you have 304,000
then deduct the 10% of AGi allowed for charitable contributions = 30,400
RESULT = 273,600

Taking REG on monday too. Good luck to us!

[Ali]

@23 and @SIDIEULEVEUT – Thank you for your help!!!! I am getting so freaking confused with everything. I was taking the 210+114-66= 258 and was taking 10% off of that. I didn't realize that I needed to add back the 46K too. I have ZERO tax experience and this is my last test and BY FAR the hardest for me to grasp and understand. I feel like I am not retaining anything.

[SIDIEULEVEUT]

@Ali its so confusing at times. So many little tiny exceptions. Good luck on your last exam and congrats on your previous 3. Im SO jealous 🙂
We have a whole weekend to “perfect” our understanding so we can have priority over passing this exam. See what I did there (clearly spent some time on attachment and perfection of security interests haha)

[mcneazy]

Taking Reg today 2:00 PM. Gotta work around the hail storm so my car doesn't get dents in it while I'm taking it.

[Ali]

@SIDIEULEVEUT hahaha! thank goodness we have this weekend to perfect, i need it!!


@Mcneazy – Good Luck! Let us know how it goes!!

Need help with another AICPA question if someone can 🙂

A retiree invested $100,000 in an annuity that pays $12,000 annually for 10 years. What portion of the
first payment should be included in the retiree's gross income?

Becker really only shows how to calculate annuity if you know the payout period and the age of the retiree.

Thank you!!

[74phoenix]

@Ali I'm not sure what the answer is – maybe it has to do with this: I am assuming it has something to do with $12,000 annual pay out * 10 years = $120,000. 120,000 less original price of 100,000=$20,000.

Graduated 05/2016.
NY CPA Candidate.
Public accounting.
FAR COMING UP 07/07/2016 !! GOD HELP ME.

[Ali]

@74phoenix The answer is $2,000 and i literally had no idea how they got there until you just showed that. So I assume that you amortize the $20K over the 10 years to get to $2K that should be included in gross income in year 1? Seems reasonable to me… hahaha

[CH89]

I think the correct way to get this answer is $100,000 / 10 years = 10,000 per year. Payment of 12,000 less than 10,000 is $2,000.

[iwantthiscpa]

only the interest portion needs to be included in gross income. so if you're getting paid $12k over 10 years then you're getting $120,000 when you only invested $100,000, so $20k is interest. $20k over the 10 years is $2k per year.

or you can think of it as… you're getting paid $12k a year for 10 years when you invested $100k which would break down to $10k per year investment. so the $12k per year less the $10k per year (“principal”) would leave you with $2k of interest.

[Tncincy]

@74phoenix and @ Iwantthiscpa, I appreciate the response. I am currently trying the rewriting and reading the notes. I have not attempted mcq's, but I can try doing a few sets after reading the notes. Thanks Gang. I am feeling much better as well.

It begins with a 75
Been here too long as a cheerleader....ready to pass

[Tncincy]

Well, well….It's power weekend again. I am in for long haul study. I am feeling much better. Looked at the calendar and don't want time to get a way. I will be prepared this time around, so I am incorporating the prior suggestions with my 100 mcq per day regime. I am starting with re-writing ninja notes this morning/afternoon since I won't be working and then move into mcq. I will be posting my hard questions for help so check-in guys. Hope study is going well. Good luck to those sitting soon. 🙂

It begins with a 75
Been here too long as a cheerleader....ready to pass

[SIDIEULEVEUT]

Hi everyone,

Good luck studying this weekend. Just took my second mock exam with Becker. Got a 73%. I dont know how to feel. I took my first mock 2 weeks ago and had gotten a 71%. So I have been reviewing non-stop for 2 weeks straight only for a 2% increase. It makes me feel kinda sad. I havent reviewed my mistakes yet but Monday cannot come soon enough so I can get this over with. What do you recommend that I do for the next couple days? I was planning on working on my weaknesses, read my notes, look at the AICPA sample test. Let me know if there is anything else that might help!

@tncincy good luck studying. you got this!

[Author]

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