[jeff]

Free Study Planner, Notes, Audio, Flashcards: https://www.another71.com/cpa-exam-study-plan/

Free CPA Exam Survival Guide: https://www.another71.com/cpa-exam-survival-guide/

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

[JamesBJames]

Also, can someone explain this to me? This is a question from the first Becker practice exam:

Cox engaged Datz as her agent. It was mutually agreed that Datz would not disclose that he was acting as Cox's agent. Instead he was to deal with prospective customers as if he were a principal acting on his own behalf. This he did, and he made several contracts for Cox. Assuming Cox, Datz, or the customer seeks to avoid liability on one of the contracts involved, which of the following statements is correct?

A) The third party can avoid liability because he believed he was dealing with Datz as the principal.

B) Datz has no liability once he discloses that Cox was the real principal.

C) The third party may choose to hold either Datz or Cox liable.

D) Cox must ratify the Datz contracts in order to be held liable.

The answer is C. I thought that if the agent is working for an undisclosed principal, only the agent can be held liable (EDIT: I'm wrong). If the principal is disclosed, then the third party can hold either the principal or the agent liable (EDIT: Also usually wrong). The answer mentions something about the “principal's identity being discovered by the third party,” but where in the world does that assumption come from?

FAR: May 1st, 2014 - 91
AUD: May 29th, 2014 - 97!
BEC: July 16th, 2014 - 91
REG: August 29th, 2014 - 88

Licensed December 2015

Feel free to add me on LinkedIn by clicking my username!

[Jsmith87]

As long as the agent acted within their authority, then the principal is liable, regardless of disclosure status. – from Wiley book

[JamesBJames]

Oh shoot, you're right. I must have written it down wrong in my notes. On R8-21, Becker says something similar: “The principal is bound if the agent had authority. It is irrelevant whether the principal was disclosed, partially disclosed, or undisclosed.” Thanks!

FAR: May 1st, 2014 - 91
AUD: May 29th, 2014 - 97!
BEC: July 16th, 2014 - 91
REG: August 29th, 2014 - 88

Licensed December 2015

Feel free to add me on LinkedIn by clicking my username!

[Jsmith87]

No thank you! I just looked it up and learned from your question. Haha

[ala72]

I've studied for about 120 hours for REG so far and I take the exam tomorrow and I feel like I'm going to vomit. My boss has been amazing about letting me study at work and take the day off for the exam and if I fail it, I feel like I'll be letting him down (or at least make myself look foolish). I'm going over my NINJA notes right now and I read a topic and think “OMG! I don't remember how to do that!” My brain is completely shutting me out. I feel like I can't remember anything. I know it's stress and I just need to relax but I'm actually making myself nauseous at this point and I feel like I can't remember even the littlest things anymore. Besides a nice swig of vodka or a tall kahlua and milk, what should I do to relax and (calmly) review for my exam tomorrow morning?

Licensed NH CPA as of July 2015

AUD - 74 (Oct '13), 84 (Jan '14)
FAR - 79 (Feb '14)
REG - 61 (May '13), 81 (Aug '14)
BEC - 79 (Nov '14)

[Jsmith87]

My exam is Saturday. I am just going to read over the highlights and notes in the book. I don't think anyone can remember everything, but once you get to the test you will be able to spot the correct answers. After 120 hours you should be in good shape.

[Jsmith87]

Question- can a CPA let a purchaser or prospective purchaser of the CPA's practice see confidential client information?

I've read a that it is not allowed. And I've read that it is allowed. I just need a little clarification.

[wjun15]

can a like kind exchange transaction happen between corporation and an indivdual? lets say shareholder gave a building and then the corporation gave him building and stock (or maybe not even stock, but just the building), is that a like kind exchange?

[Jsmith87]

Wjun15. I haven't read anywhere that it is disallowed. So I'd guess that it is treated the same.

[Reasonable Assurance]

Jsmith87- Yes, the CPA firm can show the prospective buyer workpapers, but is not allowed to hand them over without the client's consent.

[JamesBJames]

Becker's practice exam #2 wasn't bad at all. Got 23/24, 21/24, and 17/24 on the testlets for 84.7% on the MCQs and I think around 85% for the SIMs. I think I know why there weren't many business law questions on practice exam #1 — they were all here instead for whatever godawful reason.

I feel pretty good about my chances going into the actual exam tomorrow. =)

Good luck, everyone.

FAR: May 1st, 2014 - 91
AUD: May 29th, 2014 - 97!
BEC: July 16th, 2014 - 91
REG: August 29th, 2014 - 88

Licensed December 2015

Feel free to add me on LinkedIn by clicking my username!

[Jsmith87]

Ok. So they can only show a prospective buyer client info if the client gives consent. Thanks.

[Jspann225]

@jamesbjames I just took the second Becker practice exam and scored an 82% on my second practice exam. Although, I don't feel the reg practice exams for reg are indicative of how much I actually know.

I am getting destroyed in the interpretation of a lot of the questions.

FAR - 93 - 7/1/14
AUD - 94 - 7/25/14
REG - 92 - 8/30/14
BEC - 89 - 10/6/14

[JamesBJames]

@Jspann: Nice. That's a really solid score. I think 82% is right around what my average came out to be, and if I use the regression analysis statistics I made a while back, that corresponds to about a 90 or so as the prediction on the actual exam. Statistically speaking, we're both in great shape.

Do you feel confident though, out of curiosity? I just feel like there's so much little minor stuff that slipped its way through the cracks or that I might not remember completely on test day.

FAR: May 1st, 2014 - 91
AUD: May 29th, 2014 - 97!
BEC: July 16th, 2014 - 91
REG: August 29th, 2014 - 88

Licensed December 2015

Feel free to add me on LinkedIn by clicking my username!

[Jspann225]

No, I don't really feel as confident as I have felt going into previous exams. There is a ton of small details and exceptions to remember. After I take the practice exams I notice that the majority of what I miss is due to very small details that I know, but may not think of at that second. It may be because of a lack of focus, but i really can't explain it.

FAR - 93 - 7/1/14
AUD - 94 - 7/25/14
REG - 92 - 8/30/14
BEC - 89 - 10/6/14

[Author]

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