So after reading some posts about Auditing sims requiring journal entries I am now freaking out. I am taking Audit next week and the only exam I have taken so far is Reg. I am using Becker and they had nothing on journal entries nor said anything about taking Far before Reg. I haven’t done a journal entry in forever. Is there a way I can prepare? I have my Far book from Becker, even though I haven’t opened it yet. Is there a specific section there that I can review to help me? Or should I use something else? Please help! I don’t want to fail Audit because of journal entries!
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KasiaS
offlineMemberDon't stress too much about the journal entries, there is a chance you won't see any entries. It's a bit luck of the draw. If you're looking to prepare, I just recommend that you review normal balances for all types of Accra so you know when a debit increases a balance and when it doesn't. Another thing to keep in mind that the Sims will most likely be asking for correcting entries, so think of how you'd normally book the entry and so the reverse to correct.
FAR 88 (07/15/11)
BEC 83 (08/31/11)
AUD 81 (10/15/11)
REG 83 (11/26/11)
Used NIU Correspondence CPA ReviewPosted 4 months ago # -
Yvonne570
offlineMemberWell, first off - Audit is it's own section. Very different from REG. It's good to have a "basic" foundation of FAR; however, only to understand correcting entries or to propose corrections to financial misstatements. This is only a small part of the audit process so focus on the key audit areas. Follow Becker - I did and passed.
AUD - Passed:)
FAR - Passed:)
REG - Retake TBD
BEC - Missed by 3 points Retake TBDPosted 4 months ago # -
bobkorz
offlineMemberThe hardest part about journal entries is remembering two big things
1) debits and credits.
2) the account sequence1) debits and credits.
I wrote down this and it helps me to figure out the debits and credits.
Assets = Liabilities + Equity + Revenue - Expenses
+ - === ....... - + ......... - + ....... - + ....... + -You'll notice the +'s and -'s underneath. This is how I remember the sequence.
Debits are on the left and credits are on the right. - means decreases the account, + means increases the accountI memorize one thing: Assets + on left - on right. This means a debit increases assets, a credit decreases assets.
ALMOST Everything on the other side of the = sign is the opposite of that. For example, Debits decrease equity and credits increase equity.Revenue and expenses increase and decrease equity so the +'s and -'s are opposite of each other. Revenue is just like the rest on that side.
Expenses are opposite (because they decrease equity) Same thing for dividends (they decrease equity)
2) Account sequence Debits first, then credits.
That requires some memorization. For example, how do you write off an account receivable?Allowance for doubtful accounts DR
Accounts Receivable CRSince you're writing off the account receivable, you are recognizing it is utterly worthless. So it goes down in value. That requires a credit since A/R is an asset. So the other account must be a debit. This would be the allowance.
There are about 10 or so frequent transactions that show up in CPA tests, so it is not that much to memorize.
Hope this helps!
√ FAR - 81 10/2011 √ AUD - 84 11/2011 √ BEC - 89 01/2012 √ REG - 82 02/2012
√ ethics - 90 10/2011 √ CPA Certificate √ CPA License certificate
REGISTERED LICENSED ILLINOIS CPA
PMP - Pass - 3P 2MPPosted 4 months ago # -
chakdey
offlineMember@MFCPA just to give ya update. I just took the AUD again today, and got 2 sims with basic JE. When i mean basic, i mean basic! lol Just know your difference between debits and credits.
That chart on this site helped me greatly when i was studying for FAR. Its like stuff we learned in high school, but you gotta know it.
http://accountinginfo.com/study/je/je-01.htm
FAR - Passed (Second Attempt)
AUD -
BEC -
REG -Posted 4 months ago # -
MFCPA
offlineMember@chakdey, thank you. I actually took Aud this morning, didn't have one JE sim. How did you feel about the exam? I have no idea how I do on these things. I put in the study time and pray to God to help me get over 75. It worked with Reg, I pray it works with Aud.
Posted 4 months ago # -
chakdey
offlineMemberIts always hard to guess who you did on these. Last time i thought i would have passed it and failed it. So this time im not even going to guess lol We'll find out how we did in a month. BEC is next, hopefully I can prepare to take it by end of FEB.
FAR - Passed (Second Attempt)
AUD -
BEC -
REG -Posted 4 months ago # -
mla1169
offlineMemberSingle BEST little memory aid I got (which helps for both FAR and AUD, if you do see journal entries) is that debits increase assets and expenses, credits increase liabilities and revenues. Remember that, and it should make any potential journal entries a piece of cake!
FAR- 77
AUD -49, 71, 84
REG -56,75!
BEC -75
If I can do this, YOU can do this! Hang in there :)Posted 4 months ago #
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