[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

[gguzman]

Has anyone else listened to the Becker lecture in their car, or on the go?

I feel that for some of the tax it can be hard to follow without taking notes, but I am still able to retain some things.

Testing BLAW right now; good thing Olinto is very charismatic.

[gguzman]

@Holly I can definitely empathize. In my frustration I have written in big bold letters PAY ATTENTION, or ATD in my notes.

[Holly]

@jesswink92 Okay, what are you questions. Just finished.

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

[KatieB]

@Holly I'm working on the AICPA mock exam again now, and I'm getting number 3 and 4 wrong on question 2. Could you help me out?

Thanks!

[jtvande]

@jesswink92 I also can not figure out SIM #2. ROGER explains #5 in video format. Im not sure what review course you have. If you let me know which parts you are struggling with I can try and help.

[jesswink92]

Thanks all, sorry for the delay, studying lol. Here are the parts I am struggling with:

Sim 2: I can't figure out the last 2 (lines 4 and 5).

Sim 5: I only understand the color copier. I can get to some of the other answers given but don't understand why they calculated it like that.

[Holly]

@jesswink92 I have line 4

$20,000 (basis) * .5 (half year convention, year of sale and purchase) * .32 (dep rate for year 2) * .75 (business use percentage as figured by business v total mileage) = $2,400

I'm thinking line 5 has something to do with total dollar limit because of business use, but I can't prove it

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

[Holly]

@gguzman I aways write RTFQ (read the f-ing question)

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

[Holly]

@katieb do you mean sim or question in a sim?

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

[Holly]

Sim 5
I got 1-3 right, but not 4. I don't feel like I got number 1 right for the right reason, or I'd get 4 easily. Can someone explain 5?

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

[KatieB]

@Holly I was actually referring to the same lines that @jesswink92 was referring to for Sim 2 on the AICPA practice test.

I understand the depreciation deduction now, I wasn't multiplying it by the business use %. I'm trying to figure out the last line now. Thank you for your help!

[jtvande]

Can someone explain to me what the actual expense method is on question 2? I can not find that anywhere.

Thanks

[Holly]

@jtvade My session has closed, but it's the $13,000 of actual expenses on an additional tab or sheet times the 75% business use based on mileage

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

[CPAIN2K17]

On SIM #3 how do you get ordinary business income of $440,000? On their income statement they have income of $445,000 which includes a $5,000 expense for charitable contributions. I would think you take out this expense since it is included separately on Schedule K and that would raise the ordinary income to $450,000 not make it do down to $440,000? Probably a dumb question but I'm confused.

UPDATE:Nevermind this question!

I didn't include the additional $12K depreciation expense and remove the $2K non-deductible fee.

LOL

[jtvande]

Wow okay so easy. Thanks @holly

[Author]

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