[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/

Post by Another71.

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

[Anonymous]

The partnership may owe a penalty for late filing of the partnership return. The amount of the penalty is $195 per partner for each fraction of a month the return is late up to a maximum of 12 months.

Where do we put this penalty, F1065 or Sched K-1?

[FIFOisbetterthanLIFO]

Can someone please confirm for me… I thought CPAs are not allowed to disclose information except for the following:

(1) The client consents. If the client is a partnership, each partner is actually a client and therefore must give consent.

(2) To comply with GAAS and GAAP.

(3) To comply with enforceable subpoena (e.g., courts where privilege is not recognized).

(4) Disclosure is made in conjunction with a quality (peer) review of the CPA firm’s practice.

(5) The AICPA is responding to an investigation by the AICPA ethics division or trial board.

I also just saw a question that stated a CPA may disclose information to a potential buyer if it is negotiating sale of the practice. Does Circular 230 and the AICPA have different rules on this?

FAR - Passed (82)
BEC - Passed (76)
AUD - Passed (89)
REG - Passed! (81)
AICPA Ethics

Licensed CPA

[Anonymous]

It says a CPA “MAY”, which means only with client's consent.

[FIFOisbetterthanLIFO]

Russ, CPA, is auditing the financial statements of Ruben Corporation and has not received consent from management regarding the disclosure of confidential information. Which of the following is not true regarding confidentiality of Ruben Corporation’s information under the AICPA rules?

A. Russ may provide access to Ruben's information as a result of a valid court subpoena.

B. Russ may provide access to Ruben's information in conjunction with a peer review of the CPA's practice.

C. Russ may provide access to Ruben's information if a major shareholder of Ruben Corporation requests the information.

D. Russ may provide access to Ruben's information to another CPA that is negotiating to purchase his practice.

Answer C is the right answer which makes sense except I swear I've seen a question before where D was not allowed.

FAR - Passed (82)
BEC - Passed (76)
AUD - Passed (89)
REG - Passed! (81)
AICPA Ethics

Licensed CPA

[Anonymous]

@lauren725

Thanks Lauren. If that's the case I guess child support is no longer required when a child turns 18, so that implies 20% decrease is the % of child support.

[Anonymous]

@FIFO, I feel you. We see that a lot in AUD too. Sometimes true sometimes untrue. Examiners hide their reasoning in their explanation with deviation. It's crazy.

[lauren725]

my eyes are starting to cross. Did around 15 ninja sims and progress tests in becker for R1-5 I need to look over some more basis things tomorrow that are tricking me, finish R8 last chapter, then will either do a practice test tomorrow or Monday night. I feel like I want to review Blaw notes again before practice test but then again I don't think Ill ever feel “ready” so I may go ahead and give it a shot tomorrow night. Thinking of doing becker test #2 since it is usually new questions/more challenging. Any thoughts, has anyone taken that one yet?

AUD - 73,91
FAR - 79 - Thank you God!
BEC - 73,79!!!!
REG - 92 whatttt??!

I used Becker review + flashcards, Ninja Audio, Ninja MCQ supplement on BEC and REG.

Done! Praise God!

[Anonymous]

Lauren, I just did this morning for Becker#2 since I already took Becker#1 in October.

I scored 58% today. Shame shame shame!

I didn't realize that's my final score on my first actual test.

[thelonewolf527]

Just took Becker's 2nd final exam

Only showed any improvement at all on one of the MC testlets but did better on the Sims I think. Except for one Sim that I got 0 questions right on. I'm taking the liberty of calling that one pretest and saying I got about a 68 on the entire practice exam, which considering how well I've been doing on the regular MCs in the software, really annoys the hell out of me

AUD - 08/04/14 - 83
FAR - 11/29/14 - 80
REG - 02/26/15 - 89
BEC - 05/30/15 - 86

DONE!

[FIFOisbetterthanLIFO]

Deep breaths – I'm serious! I think the most important part is staying calm during testing (whether practice or the actual exam) and recalling the information you've poured over the few weeks. You've seen 98% of the info at one point or another and we aren't studying rocket science. Just remember to chill out and fight the panic button which actually shuts down our brains and makes us forget key concepts and tricks!

FAR - Passed (82)
BEC - Passed (76)
AUD - Passed (89)
REG - Passed! (81)
AICPA Ethics

Licensed CPA

[WANNABE_CPA]

@AmorD, dont worry, you have few days right, just go over stuff you thought you were doubtful of during this test. Keep up your review, you will do great. I forgot when are you testing?

I am planning to take Becker #2 tomorrow morning. Almost through R8, feels little better with Blaw now, except Business structures, which will be part of final review starting tomorrow.

FAR : 68, 74, 83 Thank you God 🙂
BEC : 78 (8/27) 🙂
REG : 72 ,80 (2/25) 🙂
AUD : 69,67, 07/23

[Anonymous]

Thanks, Wannabe.

Hakuna Matata:)

Please anyone help!

Under the terms of a partnership agreement, Anna is entitled to a fixed annual payment of $10,000 without regard to the income of the partnership. Her distributive share of the partnership income is 10%. The partnership has $50,000 of ordinary income after deducting the guaranteed payment. Which of the following states the amount and character of Anna's income from the partnership?

A.

$15,000 of ordinary income

B.

$10,000 capital gain and $5,000 of ordinary income

C.

$15,000 of capital gain

D.

$10,000 of ordinary income and $5,000 capital gain

Correct Answer is A.

Explanation:

Guaranteed payments are included in income in the partner's tax year in which the partnership's year ends.

The calculation is:

10,000 GP

5,000 Distributive Share ($50,000 x 10%)

---

5,000

=====

Why is 5,000 NOT a capital gain?

[NJPRU]

@Amor – Income from the partnership is ordinary income to the partner based on their ownership %. It is only when there interest in the partnership is sold that they would recognize a capital gain or loss since the partnership interest is considered capital.

AUD: DONE
FAR: DONE
BEC: DONE
REG: DONE

IM GOING TO BE A CPA!!!!!

[lauren725]

thelonewolf – I am sure I will feel the same after mine but I think it is good practice and I know becker's 2nd test has usually been pretty difficult. I think I got a 64 on my BEC becker final 2 and then passed the real thing. Don't get too worried about it just try to see what you can learn from that one/ your weak spots to focus on!

AUD - 73,91
FAR - 79 - Thank you God!
BEC - 73,79!!!!
REG - 92 whatttt??!

I used Becker review + flashcards, Ninja Audio, Ninja MCQ supplement on BEC and REG.

Done! Praise God!

[Anonymous]

@Amor D, to answer your question about the partnership, i think it should be on 1065, this would be a book to tax adjustment and it will not flow onto K-1 since it is adjusted on the p'ship level.

[Author]

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