[lolo]

@marqzho, That's great mate! you do well with your exams, I wish you get another bombing score!

AUD - 95
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My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

Some rules to notice:
1.As you go to the left you get closer to actual, which means that you plan on the right and the actual result which is on the left will be compered to it.
2.sales are positive as they increase from right to left otherwise negative.
3.all other costs are positve as they increase from left to right otherwise negative.

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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!
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[lolo]

@Trying to pass, You need to think of it that way you have two choices and you wanna figure out the difference between them. The fist choice is to pay the amount in full (60,000*0.6=36000) and that's because there is risk of of being under-supplied or the second choice where you purchase (5,000*0.6=3000$) each month and eventually invest the rest, to calculates the opportunity cost for choosing to pay in full, he will lose the amount of interest on investment that he could have earned if he payed by installments (which will leave a room for investment with remaining amount), so to calculate the interest on investment of the remaining amount we do the following: 3,000$ has been spent in the first month then there is only 33,000$ to invest in this month and the second month I will have to pay 3,000$ which means that only 30,000$ will be available to invest that month and so on so forth …

33,000*1/12*0.08+30,000*1/12*0.08 and so on until 3000*1/12*0.08

For faster calculation using math: (33+30+27+24+21+18+15+12+9+6+3)*1000= 198,000 *1/12*0.08 = 1,320$

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

No way, no one would pass if thats the case, I think it depends on the number of right answers filled in each …

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

Have faith mate you are gonna make it …

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

@TheHoundThatRides, Thanks for the note! I was thinking about that too..

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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!
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[lolo]

Yea that's exactly what I mean, For example, an employee could neglect that eventhough the internal control detected such a material misstatement, then internal control would be great but it would not be fair to conclude a material weakness because negligence caused by an employee eventhough internal control has alerted for that.. I Could be wrong 🙂

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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!
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REG - TBD

[lolo]

the answer is A.June sales 25%*7,000 + July sales 75%*8,000 = 7,750, the trick in “Rolling Wheels purchases bicycle components in the month prior to assembling them into bicycles. Assembly is scheduled one month prior to budgeted sales”, the sales of July would result from purchases made in May and paid for by 75% in May and the sales of June would result from purchases made in April and was paid for by 25% in May (Which is the second month portion of payment). Hope this helps!

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

Ok in accordance to Becker definition of PCAOB prospective: ” A material weakness is a deficiency or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the company annual or interim financial statements will not be prevented OR detected on a timely bases. As you see in the definition “OR” which leaves a room that a material misstatement could occur and be detected but ignored, and therefore no material weakness!

Another evidence, go back to see the only 4 Indicators of material weakness, which the related to our topic point says: “Identification of the auditor of a material misstatement that would not have been detected by the entity's internal control”, Again it refers to the detection no matter was ignored or resolved, which clearly indicates that the matter is “detection”, so even it was detected but no action was taken then we cant imply that internal control has got a material weakness even if there is a clear indication of material misstatement!

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

@marqzho, do use becker?

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

@marqzho & @quamikazee, The existance of material misstatement in F/S is not a material Internal control weakness unless the the internal control was unable to identify and detect that….

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

@marqzho, thats right, I just explained it differently using the incremental revenues and costs concept. May be closer to our understanding …

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

@user2701, unfortunately I have no idea about Wiley.

@TheblackCPAseeker, I don't know whether there will be a difference since I didn't read 2014 Becker AUD!

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

Yea, as indicated in the question the joint cost would be allocated based on volume, accordingly 0.6*300,000=180,000 would joint cost will be allocated to the product + 90,000 additional processing costs = 270,000 to be divided by the number of units 270,000/60,000 = 4.5 allocated cost per unit. looking back before the further processing we notice that he had a margin of profit of 0.5 (0.6*300,000 = 180,000/60,000 = 3 compared to selling price of 3.5). Based on this analysis we would conclude that he should at least charge 5$ to cover the initial profit margin(4.5+0.5=5)! hope this helps.

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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]

@SONA, it will be only the RE of the parent company, and of course taking the effect of dividends into your consideration!

AUD - 95
BEC - 87
FAR - 93
REG - 87

My nick name is Sunshine but the fact is that I have never been in touch with it since I started studying for this CPA exam. I KNOW It HURTS!

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

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