[jeff]

Welcome to the Q3 2017 CPA Exam Study Group for REG. 🙂

Introduce yourselves and let your fellow NINJAs know when you plan to take your REG exam.

The Five Steps (NINJA Framework): https://www.another71.com/pass-the-cpa-exam/

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

[CPA8675309]

Does any one else feel like studying for REG is like riding a rollercoaster – one day you're up and the next it's kicking your butt and you're back down? Just the other day I was feeling completely defeated and was preparing myself for a reschedule of my test next Monday. Yesterday, I took my practice test and it was meh, but there were some bright spots to give me hope. Today, things look like they might actually come together. I'm working half days tomorrow and Friday and then I have all weekend to study (thank goodness I have a boss who's willing to throw days off my way). I might actually pull this off!

Good luck to everyone! Keep working hard – the end will be in sight soon!

[MarwanRefaat]

Hi, I found a good table summary for adjustments and itemized deductions and just wanted to share it with you.

https://fas.org/sgp/crs/misc/R42872.pdf

AUD - 71, 73, 87
BEC - N/A
FAR - 54, 73
REG - N/A

NINJA MCQ ROCKS!!!!

[gguzman]

Hey,

I feel kind of lost. When I was learning the new material I was on a set schedule. Now that I am reviewing I am having a hard time choosing exactly how to review.

So far I have been taking 30 MCQ progress tests, and any module I get less then 80% on, I am doing every MCQ in that module taking notes on what I got wrong. I am thinking of re-doing the SIMS for those modules as well?. Maybe I should do the Mock exam sooner than Becker suggests? Start the Final review earlier?

See what I mean? so many ideas, unable to stick to one. Any suggestions would help.

[Holly]

@gguzman I feel the same way each and every time. What really happens, regardless of what I've planned, is sitting down and doing whatever it is I've planned, getting bored, and moving to the next thing. I guess in the end it doesn't really matter as long as it's quality hours and quality studying – not studying something you know and is easy because you know it and it's easy.

BEC - 79
REG - 85
AUD - 5/27/16

[wakefern58]

@Gguzman – I have not taken yet REG yet but I have heard from successful candidates that the best way to break out the review was in “bite size pieces”. Master the individual tax, then master entity tax based on similarities (C-Corp by itself, S-corp and partnerships, then estates/trusts), then move on and study B-Law (Ethics then B-Law). I know this may seem generic but I think this is a great way to not be overwhelmed by it all because REG is hard to keep everything straight.

[wakefern58]

Hey all – I just posted a thread about this but wanted to see if you guys had any thoughts on this.

I have been studying for REG for over a month now and I have my NTS for it. However, I had a change of plans with work and I need to start studying for FAR. Rather than just be a no show for the REG exam, If i were to go in there and take it and fail the test by a lot, do you guys think such a low score would be held against me for my future tests when I am actually prepared?

I hate to waste the money paid for the REG NTS as a no show but I also respect the heck out of these tests and know that an under prepared candidate will not pass. What are your guys thoughts?

[Holly]

@wake I don't think your score would ever be held against you in the future. So I'm assuming your NTS will expire? How long have you been studying for REG?

BEC - 79
REG - 85
AUD - 5/27/16

[gguzman]

@Holly- thank you for our solidarity. Better to do than to think about doing, so long as it is affective.

@wakerfern58- Great suggestion! Will implement asap!

[wakefern58]

@Holly I've been studying for about 5 weeks. I have not even looked at the B-Law portion. I am about 60% prepared for the tax part but I obviously do not have it fully prepared to the point I like to get at to go take the test. My NTS does not expire until late October but for certain reasons with a busy season for a client coming up, I need to start studying for FAR. It's not that failing bad would demoralize me because I know I am not prepared, I just do not want such a low score like in the 30's to be held against me in the future.

[Holly]

@wake I was asking because mostly I feel we never think we're ready although we are. Without looking at blaw I'd say you're not ready. I probably wouldn't take it even though some could suggest that it would give you practice. I'd just keep trucking along and doing what I can, when I can; one thing is for certain, this test will always be here.

BEC - 79
REG - 85
AUD - 5/27/16

[Jsn3004]

Under the Sales Article of the U.C.C., which of the following circumstances will relieve a buyer from the obligation of accepting a tender or delivery of goods?

1. If the goods do not meet the buyer's needs at the time of the tender or delivery
2. If the goods at the time of the tender or delivery do not exactly conform to the requirements of the contract

Answer: 2 only.

Can someone please explain why the answer is only 2 and not Both 1 and 2?
I understand why 2 is correct since the buyer has the right to reject the shipment if the goods delivered fail to conform with terms of the contract. But I don't see why 1 isn't correct.

[Holly]

@Jsn3004 I'm assuming it's because “at the time of..” Just because the order doesn't meet needs now but did when you ordered it, doesn't get you off the hook of acceptance.

BEC - 79
REG - 85
AUD - 5/27/16

[Jsn3004]

@Holly But answer choice 2 also uses “at the time of”. So i'm not sure if that's the reason why.

Maybe because answer choice 1 says “do not meet the buyer's needs” while choice 2 states “do not exactly conform to the requirements of the contract”. So it doesn't matter what the buyer's needs are as long as the goods conform to what is stated in the contract. Does that make sense? For all I know i'm probably just spewing nonsense right now.

[Holly]

@Jsn3004 No, you're right. The question (the way I'm reading it) is saying:
1. conformed, but not needed at the time of – contract didn't change but need did
2. don't conform to the contract at the time of delivery – goods don't conform to contract

BEC - 79
REG - 85
AUD - 5/27/16

[dave]

Hi guys here's a question on related party transactions:

Gibson purchased stock w/ a FMV of $14,000 from his adult child for $12,000. The child original basis in the stock was $16,000. Gibson then sold the stock to an unrelated party for $18,000. What is Gibson's recognized gain from the sale?

A. $6,000
B. $4,000
C. $2,000
D. $0

————

The answer is C. $2,000. I originally thought the answer was D. $0. When Gibson bought the stock from his “adult child” at a gain, that gave his adult child a disallowed loss of $4,000 (16000-12000) which i though can be passed onto Gibson. When Gibson sold the stock for 18,000, the realized gain is $2,000 and less the disallowed loss of $4,000 the recognized gain is $0. I know that if the stock is sold in-between FMV and the cost basis the gain should be $0. but when do you apply the disallowed loss carry over rule?

Thanks! I am so screwed for this test T.T

[Author]

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