Audit Exam: Are ratio formulas provided?

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    Topic
  • #1765783
    Anonymous
    Inactive

    The AICPA practice exam has a Sim that provides the ratios.

    Trying to figure out how much time to put into memorizing all the formulas listed by Becker.

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  • #1765799
    Recked
    Participant

    I feel like they were on my exam.
    More important to know how to use them.

    #1765813
    Anonymous
    Inactive

    @Recked so the exam provided you the formulas to the best of your knowledge?

    #1765940
    Recked
    Participant

    I feel like there was one SIM that was formula intensive, and there was a sheet similar to the AICPA Sample test, same idea.
    Might have been on 2 of the SIMs actually.

    Then there was one that did not have the formulas, but I used my notes from the previous SIM, or I was in the same testlet and could cross reference the formulas with the other problem that did provide them. I had just taken FAR and spent quite a bit of time with the formulas so they were all still pretty fresh in my head.

    #1766281
    mandaland
    Participant

    Depending on the sim, ratios may be provided, however, I would still try to get an understanding of how the most common ratios work and how they may be useful in different circumstances. You don’t want to be blindsided on exam day.

    #1766486
    Tim
    Participant

    IMO it's worth learning all the ratio formulas since they are tested on FAR, BEC and AUD. Just do yourself a favor and learn them. Most of them make good logical sense so it's not like they are off-the-wall things that are difficult to memorize.

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