[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.

[Anonymous]

Is it $250 per disclosure up to a maximum of $10,000? I copied that from the long version of my notes.

[Anonymous]

Hi, I am planning to give reg in mid jan…this will be my first CPA paper..m lil worried…don't know how exam will be..IS Becker self study material enough…

[Anonymous]

Okay, thanks for your explanation. I will keep that note too for future reference.

What REG materials are you using? What chapter in the book is that topic if you're using Becker?

P.S.

Yes, your answer is correct, $250.00

[Anonymous]

@Canidhiajmera – I believe all review material have self-assessment feature. I would recommend that whenever you buy review materials you read how their program works. It's like buying something that in order to maximize the features available, you should read the manual. I don't use Becker but I hear good reviews about it.

@Amor I'm using Gleim. It's still part of the capital distribution topic.

[funtiks]

anyone used roger cram?

I'm thinking of getting it for the week coming up to the exam for final review

FAR - 76*, 73, 85
BEC - 69, 72, 78*, 80
AUD - 72, 71, 90
REG - 71, 74, 85

AFTER 3 YEARS I'M DONE!!!

[Anonymous]

@ Amor..check page 8 of reg 5 Becker material

@ cpaby15..appreciate your reply…but I already brought d material..

[blueberrycpa]

Mr. Brown transferred property, which had an adjusted basis to him of $40,000 and a fair market value of $50,000, to Corporation B in exchange for 100% of B’s only class of stock and $15,000 cash. At the time of the transfer, the stock had a fair market value of $35,000. What is the amount of gain to be recognized by Mr. Brown?

A. $15,000

B. $0

C. $25,000

D. $10,000

Anyone who has good notes to share on rules for contribution (formation) and distribution (liquidation) of properties in a corporation?

Ok so to the question asked before shouldn't the answer be 0? Because as per sec 351 no gain or loss is recog if one or more person transfer property to a coloration solely in exchange for stock if such person are in control of corp (i.e own at least 80% of the stock)??

FAR- TBD
BEC - 75
REG - 76
AUD- TBD

[Anonymous]

@kickass – there's exception to that rule. If there's a boot involve, the shareholder will recognize gain of lesser of boot received or realized gain.

[Anonymous]

Rose Corporation, a calendar-year corporation, had accumulated earnings and profits of $40,000 as of January 1, 2014. However, for the first 6 months of 2014, Rose Corporation had an operating loss of $36,000 and finished the year with a total net operating loss for tax year 2014 of $55,000. Rose Corporation distributed $15,000 to its shareholders on July 1, 2014. Which of the following is correct?

A. The part of the distribution which is taxable is $12,500.

B. The entire distribution is not taxable.

C. The entire distribution of $15,000 is taxable.

D. The part of the distribution which is taxable is $14,000.

Can anyone explain how to pro rate distribution(s) made during the year. Are the rules different if the current E&P is positive or negative? The above MCQ has negative E&P and I got SIM question with positive E&P and the distributions were pro rated differently.

[mtwst113]

What answer do they have listed for the above question? This stuff is still pretty fresh in my mind from my tax courses.

BEC | √
AUD| √
FAR| Spring 2015

[Anonymous]

A. please share your thoughts.

[mtwst113]

Here's something valuable I found from another thread:

-Current earnings are allocated to distributions on a pro rata basis (ratio of each distribution to total distributions).

-Accumulated earnings are allocated to distributions in chronological order.

All of the rules are not fresh in my mind, but in this problem, there is no mention of accumulated earnings, so any distribution would be pulled from current E&P. It seems strange that the problem doesn't mention whether it's a C or an S corp.

Anyone else have any insight?

BEC | √
AUD| √
FAR| Spring 2015

[terryharm]

Sharing of losses, if not specified in the agreements, I had one question where the losses were shared the same way profits were shared, I had another question were losses were shared as using the capital accounts. Whats the rule for sharing losses if not specified in the agreement, when do you use the profit % when do you use the capital accounts?

BEC: 81
FAR: 75
AUD: 81
REG: 85

PA license Pending..

[terryharm]

Berry, Drake, and Flanigan are partners in a general partnership. The partners made capital contributions as follows: Berry, $150,000; Drake, $100,000; and Flanigan, $50,000. Drake made a loan of $50,000 to the partnership. The partnership agreement specifies that Flanigan will receive a 50% share of profits, and Drake and Berry each will receive a 25% share of profits. Under the Revised Uniform Partnership Act and in the absence of any partnership agreement to the contrary, which of the following statements is correct regarding the sharing of losses?

A.

The partners will share equally in any partnership losses.

Incorrect B.

The partners will share in losses on a pro rata basis according to the capital contributions.

C.

The partners will share in losses on a pro rata basis according to the capital contributions and loans made to the partnership.

D.

The partners will share in losses according to the allocation of profits specified in the partnership agreement.

correct answer D… I can't find the other question but I will post so I can understand where the difference are.

BEC: 81
FAR: 75
AUD: 81
REG: 85

PA license Pending..

[terryharm]

Answer to my question: the partnership agreement specifies so losses are allocated as specified.

BEC: 81
FAR: 75
AUD: 81
REG: 85

PA license Pending..

[Author]

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