[FastFalcon]

Hello NINJAs,

Wondering if anyone is feeling the same way as I am on yet another score release morning. I have taken 14 CPA exams to date. I learned this morning that I failed FAR for the 5th time and I’m at a loss. I have always struggled more with SIMS and I am very worried that on my next attempt the same thing might happen. I took FAR in April (70) and felt like both the MCQs and SIMs were manageable. I took it again in August (69) and thought the MCQs were manageable but the SIMS were a complete nightmare. I essentially got the same score but I think the crazy hard sims were my demise.
I have used Becker and NINJA but I’m so worried that my next attempt at FAR will be another failure because I cannot seem to prepare will enough for the SIMs. If you get unlucky and get crazy IFRS stuff (no guidance to help you) or other crazy questions (wholly owned equity method investment, wtf even is that?) it seems like you’re sunk.

Anyone else feel like the SIMS are the hardest thing to prepare for? The thing keeping them from passing? What do you do to prepare for something so complex and unpredictable?

[Iceman]

Consolidating the equity method is in Wiley FAR and its covered pretty well. 100% or wholly owned is easier than pro-rating an 80% ownership with minority interests.

You are just eliminating the intercompany items – sales from the parent to the child and vice versa, removing the excess inventory values that result from the profit in the intercompany sales, eliminated RE from the subsidiary, etc.

I remember seeing SIMS like this somewhere. When you are done with the eliminated adjustments, your assets have to equal your liabilities plus equity sections. That is your check sum.

[FastFalcon]

@Iceman. I got thrown off by that practice sim because isn't the point of the equity method that its 20-50% ownership and significant control is a factor whereas the point of a wholly owned subsidiary means it's consolidated? Maybe a moot point now, but the phrasing “wholly owned equity method” seemed very contradictory.

Apart from that. How do are people able to successfully prepare for FAR simulations given the breadth of topics you can get? I passed the other 3 with such less grief and I don't understand how FAR can feel so different?

[Madhav]

GLEIM TEST BANK have the hardest sims but it will make you prepare for the exam. I had similar experience like yours but with Audit. I bought GLEIM TEST BANK for the last try and give it my all before FAR was going to expire, however I luckily passed with 76. Improving sims is by practicing them and knowing how to look for the material that are asked in the question.

[Allsheneededwassome]

I will suggest that you only focus on cranking out mcqs and some SIMS and try to learn from what you’re getting wrong. Write your notes out on what Yorker getting wrong. People write here about it all the time as an effective way to approach retakes. Good luck and don’t lose hope! You got this

[Author]

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