[lolo]

I plan to set for BEC by the end of this month and I am preparing for my WC, I would be so grateful to have some thoughts on my performance on this essay!

This is the topic: The president of your company, Dave smith, is concerned about the fluctuations in exchange rates on your import and export business. He asked how the company might protect itself against these risks. in a memorandum to the president, let him know your thoughts on how to reduce the risks of loss due to exchange rates fluctuations.

My answer is:

Thank you for allowing me to assist you with your inquiry regarding the risk of fluctuation in exchange rates. When analyzing the methods of protecting our company from the risk of fluctuation in exchange rates we should consider multiple options of the hedges and other types of contracts.

The fluctuation in exchange rates results from the demand and supply for currency in a country. There are multiple ways for managing the risk of exchange rates, starting with hedges which are instruments that can be used to protect our company against future fluctuation in exchange rates. For example, we can protect our company from the risk of fluctuation in the currency through the use of future contracts or options that will allow you to sell or buy currencies in the future based on predetermined prices.

We also can hedge against future fluctuations through long term contacts such as long term forward contracts and interest rates swaps which would be an effective method against the risk of future exchange rates fluctuations.

In conclusion, I recommend using the various instruments available to hedge against any future fluctuations. Synchronizing our parables with receivables would be considered the most effective method. However, lots of other options would be available such as money market hedges that would also serve as a great hedging method.

I appreciate the opportunity to assist you. Should you have any more questions as you review the risk of exchange rates in greater detail, please don’t hesitate to contact me.

Regards

My Nick name is sunshine, but the fact is I have not been in touch with it since I started this CPA exam! IT HURTS

AUD - ✔ Passed Becker self study!
BEC - ✔ Passed Becker self study!
FAR - ✔ Passed Becker self study!
REG - TBD

[lolo]

My Nick name is sunshine, but the fact is I have not been in touch with it since I started this CPA exam! IT HURTS

AUD - ✔ Passed Becker self study!
BEC - ✔ Passed Becker self study!
FAR - ✔ Passed Becker self study!
REG - TBD

[MaLoTu]

Your answer is good. Use that basic format and you should manage to get comparable/stronger on WC. You can restate the initial query in the conclusion, i.e., thank you for allowing me to explain XYZ with you, if you have any more questions about XYZ please dont hesitate to contact me. But I don't think that is make or break, more than anything vocabulary to help the computer know you stayed on topic! lol. Focus on MCQ as they are more important.

[PharmBoy]

Up front, let me say I don't know how the computer based scores are calculated. You may be fine for the test. However, from the perspective of a client or an English teacher, there's room for improvement.

(1) limit repetition of the same phrase where possible.
(2) avoid run on sentences.
(3) review/edit. (e.g. “parables with receivables”)

Best wishes on BEC.

[lolo]

@MaLoTu, Thanks for the insight!

@PharmBoy, Thanks I will take that into my consideration!

My Nick name is sunshine, but the fact is I have not been in touch with it since I started this CPA exam! IT HURTS

AUD - ✔ Passed Becker self study!
BEC - ✔ Passed Becker self study!
FAR - ✔ Passed Becker self study!
REG - TBD

[MaLoTu]

@PharmBoy – I think the test is heavily scored on format and grammatical accuracy. I honestly cannot see the technology used for this test being much more advanced than the applicant tracking system used for recruiting and we see how well that does! lol … Who knows with this exam!

[PharmBoy]

@MaLoTu – good insight.

In that case, avoiding run-on sentences and other grammar mistakes is probably important. If the MS Word review for spelling & grammar would flag it, best to avoid, even if it's a question of style rather than an actual error. For example, one sentence paragraphs. Sentence fragments too. 🙂

If the software relies heavily on key words, reviewing for typos like payables/parables is important. On the other hand, repeating phrases probably won't hurt, especially if those phrases include key words. I wonder if the memo has to make logical sense for a good computer grade. For example, if you were short on time, could you throw in song lyrics to bulk up the memo, as long as you also had the key words and phrases it wants?

[MaLoTu]

I swear that I wish I could remember who said that they wrote a recipe for one of the WC and still passed. It could have been the pretest, but who knows. I have literally told this story on 3 occasions here recently, lol.

[Anonymous]

Pharmboy: “If the MS Word review for spelling & grammar would flag it, best to avoid…”
That sounds like an excellent way to study. MS Word's spelling and grammar suggestions are a computer-automated grammar analysis; what better way to assess a computer's grammar review than to use a computer's grammar review tools? Perhaps a good way to practice for WCs, if you struggle with the grammar, would be to set MS Word to underline errors and use it to compose responses, so that you can get instant feedback about what is and isn't written correctly as you type (same concept as doing MCQs that give instant response). Then when you think you've got a good feel for how to write properly according to computer grading parameters, turn off the underlining, write the response, and then have MS Word check grammar after you've completed your essay, to make sure you're not becoming reliant on the underlining. Of course you don't want to do things that sound wrong to human eyes and ears just because it's better to a computer, since your essay may be graded by humans especially if you're on the bubble; however, using MS Word to find the combination of what works for humans and computers could be helpful.

[lolo]

So do you see any grammatical mistakes in my essay?

My Nick name is sunshine, but the fact is I have not been in touch with it since I started this CPA exam! IT HURTS

AUD - ✔ Passed Becker self study!
BEC - ✔ Passed Becker self study!
FAR - ✔ Passed Becker self study!
REG - TBD

[Anonymous]

[Anonymous]

Ok here's my 2 cents for what it's worth. I know there's a ton of posts on here about repeating the key words, but that can result in a lot of unneccessary repetition and very long sentences as the candidate tries to extend the sentence just to get the key words in.

I agree with the strategy that says get the key words in in the first and last paragraphs.

Opening: Thank you for your inquiry about (whatever). In this regard, there are multiple options you may consider, which are further discused below.

(I'm sorry I would cut and paste from above, but my computer isn't coperating).

The fluctuations in exchange rates, etc. The most common method of addressing this risk is through the use of Options contracts etc. You could tell him this is the least capital intensive option because of (whatever = here's where coming up with things on the fly comes in.). Usually the first paragraph after the intro. is the cheaper-faster-better option.

A second, and less commonly used method, is B. What is it and why is it good? Or you know, first. paragraph is stuff you can do now and second is stuff you can do later. Or first paragraph is something that is impacting the issue internally (not enough staff) or externally (shortage of available workers due to a skill deficit in the labor pool)

Not the third, you can come up with a third thing. Finally, blah, blah, blah. Or, if you're out of ideas, you can come up with some reasons that a combination of the last two paragraphs you wrote is just a fabulous idea (or considering both gives them the broadest, most useful analysis.)

I hope the above information has been helpful. If you have any further questions regarding (time for keywords again) please do not hesitate to contact me.

[Author]

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