[jeff]

Resources:

REG 10 Point Combo: https://www.another71.com/products-page/ten-point-combo

REG Exam Experience: https://www.another71.com/cpa-exam-forum/topic/reg-exam-experience-official-thread

[Mike1987]

I am worried as well about getting difficult sims for REG. It seems like PHC and Accumulated earnings, ACE formulas are pretty heavily emphasized in Wiley/Ninja, but not at all in Becker. Is it a good idea to memorize them?

[MCLKT]

Ugh ACE and AMT… I need to review Corp v. Individual rules/calculations.

I will be memorizing the formula. And plan to be extremely familiar with the adjustments/preferences.

If I come up with a mnemonic I'll be sure to share it.

Seattle, that's great FAR advice!

Wendy- I hope you get the Controller position! How long will the interview/selection process take? Be sure to keep us updated 🙂

Regarding REG sims… I have liked the sims in Wiley. I hope they are comparable to the exam. Filling out the forms is pretty self explanatory, I think. And the other sims on basis and what not. Everything that the material emphasizes. Am I missing something?

The research makes me nervous. I've scored 100% on every research SIM. But I'm nervous because in Wiley I find the answer right away. Like in 90 sec. But I know they limit the IRC presented and am worried it will be MUCH more difficult on exam day.

12 days and the nervous are setting in.

A:[73]97 F:[74]85 R:86 B:[74]82
*NINJA 10 Pt. COMBO & Yaeger*

[Anonymous]

Hi all,

I'm a newbie – just started my prep for REG using Becker self-study.

Could somebody please help me out with a concept?

I'm not sure I follow Becker's explanation on C-corp basis at formation.

In the book and the video they heavily emphasize that the general rule is that the basis of the property received is the greater of adjusted basis (+ gain recognized by the TP) or liabilities assumed by the corporation.

Yet in solutions to R3, Sim 1, Unit 3 (cell C7, to be exact) they say that the general rule is that you use adjusted basis. And the rule that allows the corporation to take the higher amount of liability as the basis is a special rule that only applies if the shareholder recognizes gain due to liabilities being in excess of basis of all property contributed.

The textbook is completely silent on this special rule, which now I understand as “provided there was gain recognized, you should check if debt assumed is greater than Adj. Basis and said gain combined, and if yes, take debt amount instead”

[MCLKT]

Blue – The special rule I can think if is section 351 and it is based on the % of shareholders that contributed property vs the shareholders that contributed services for their stock.

If >20% contributed services for stock, there is a taxable gain to all shareholders. Use the FMV less the basis.

The Shareholder's Basis in the stock is the adjusted basis of the property given up, plus any gain including a liability associated with the property that the corporation assumed.

The Corporation's Basis in the property is the adjusted basis of the property plus any gain recognized by the shareholder. Liability doesn't impact the Corp. Basis.

If >80% of shareholder ownership came from property contributions, the basis remains the same when transferred.

I sort of charted this out. There is a link in the first post on this page.

A:[73]97 F:[74]85 R:86 B:[74]82
*NINJA 10 Pt. COMBO & Yaeger*

[Anonymous]

MCLKT, thank you!

I edited my original post (I was thinking liabilities, but somehow I put FMV instead everywhere – guess I need a break).

I think I dig it now.

[wendywhite]

Thanks MCLKT.

They scheduled another interview with the other corp controller – who is in my current chain. More as a formality. I will have another interview after that with the property manager.

They told me yesterday they anticipate making a decision by the end of the month.

June is our fiscal year end so I am hoping the transfer doesn't happen until mid july so I can get my current company through year end, but I guess you gotta do what you gotta do.

FAR 11/2012: 80
AUD 2/19/2013: 90
REG 5/14/2013: 76
BEC 11/2013: 85
Ethics: 100
Waiting on the packet....

[Anonymous]

Consistently scoring 74-76 on WTB Practice Sessions with 2 more weeks to go. Need to review Basis on Patnership and Corp. formation. If anyone has a brief summary on these that might help me remember, it would be greatly appreciated! Good luck to everyone studying.

[Anonymous]

I should have read above before posting. Nevermind!

[Mike1987]

Should I be concerned if I am consistently scoring 90s in Becker, but after doing Wiley for the first time I'm scoring about 60-75. Some of the concepts are not covered by Becker in great detail (like Section 291, recapture 1231 losses etc.)

[Anonymous]

I started Wiley this week, as well. I haven't done any MCQ's, but the sims are tons harder. I'm really grateful I looked there. Hopefully this will get me better prepared for whatever may be on the exam.

I'm hoping to get all 40 sims done by Monday, although I do plan to do the second Becker practice exam tomorrow. We'll see what direction that points me, I guess.

[Anonymous]

Sorry for the double post, but am hoping you can help me with a Wiley test bank problem.

Assume that you are working on issues regarding corporate distributions with your client, Emerald Corp. Also, assume that the distributee shareholder stock basis before the distribution is $10,000.

Accum E&P at beginning of year is $40,000

Current E&P is ($55,000)

Cash distributed 7/1 is $15,000

The answer states E&P available for distribution is $40,000 – 1/2(55,000) = 12,500

Return of basis is $2,500.

A&P at year end is $55,000 * 1/2 = $27,500

I'm confused why this is being calculated this way. The rest of the problem seems straight forward to me. Can anyone explain?

[missjones513]

Wiley has really bad timing with this maintenance. They couldn't do it overnight instead of all day on a Saturday? Really?

REG - 5/29/12 (64), 10/1/12 (74), 5/20/13 (75, expires 12/31/14)
FAR - 8/14/12 (64), 8/5/14 (75)
BEC - 11/19/12 (70), 2/25/13 (72), 11/21/13 (73), 1/21/14 (73), 8/30/14 (72), 11/24/14 (75)
AUD - 4/22/13 (65), 10/12/13 (79)

I'm done!!!

Ethics - Pass

[KellyP]

@missjones513 I'm glad you said something about that I completely forgot!!!!

I've downloaded the desktop version but haven't worked in it yet, does anyone know if I need to do something with it before maintenance starts to be able to use it tomorrow?

AUD - 80
BEC - 83
FAR - 87
REG - 65, 77 5/28/13

*Good-bye Social Life. . .Hello CPA*

[MCLKT]

Anna – I was working that sim earlier today!

The only reasoning I can get is, if there is a negative E&P, and the timing when it became negative is not stated, then you split as of the date of distribution.

Take the beg. Acc. E&P 40k plus (6/12) of the current(-55,000) that will give you an estimated available Acc. E&P as of 7/1 the date of distribution.

A:[73]97 F:[74]85 R:86 B:[74]82
*NINJA 10 Pt. COMBO & Yaeger*

[MCLKT]

Kelly P you should log in and get familiar. It only comes with a limited number of session for each topic. You may want to download additional sessions for the topics you plan to focus on tomorrow.

A:[73]97 F:[74]85 R:86 B:[74]82
*NINJA 10 Pt. COMBO & Yaeger*

[Author]

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