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Welcome to the brand new CPA Review for Free! We’ve made a lot of changes to our study platform for both free and premium users. We now offer a subscription plan called [CPA REVIEW PLUS+](/upgrade). We are very excited about the features available in this plan. **DASHBOARD** There’s a brand new landing page when you enter the study platform. For PLUS+ subscribers this dashboard will give you a broad view of your performance, your recent study sessions, recent exams, and much more. **PRACTICE EXAMS (PLUS+)** They’re finally here! You can now take practice exams for AUD, BEC, REG, and FAR. These practice exams are virtually identical to the real AICPA exam and include all the tools and functionality offered in the real exam. **SIMULATIONS (PLUS+)** We now offer in-depth simulations within our practice exams. These simulations mirror the real exam simulations and better prepare you for all aspects of the test. We would love to hear your feedback on these new features, feel free to contact us or post right here in the community forums. Thanks CPA Review Support
Hi I am currently studying lease accounting and I came across a problem with the last year of the lease term for the operating Lease Assuming that : 1. The Lease Period is 5 years beginning January 2019 2. Rental Amount : 60,000/year payable annually except for the first payment which was made at the inception of the lease 3. No Residual Life Interest Rate (r) : 10% Present Value of the Lease 250,192 The Journal Entries were as following: 2019.1.1 Right of Use Asset 250,192 / Lease Payable 250,192 Lease Payable 60,000 / Cash 60,000 2019.12.31 Interest Expense 19,019 Lease Payable 40,981 /Cash 60,000 Amortization Expense 40,981 /Right of Use Asset 40,981 2020 12.31 Interest Expense 14,921 Lease Payable 45,079 /Cash 60,000 Amortization Expense 45,079 /Right of Use Asset 45,079 2021 12.31 Interest Expense 10,413 Lease Payable 49,587 / Cash 60,000 Amortization Expense 49,587 /Right of Use Asset 49,587 2022 12.31 Interest Expense 5454.5 Lease Payable 54545.5 /Cash 60,000 Amortization Expense 54545.5 /Right of Use Asset 54545.5 Question : At the last year (2023), should the journal entry be Amortization Expense 60,000 /Right of Use Asset 60,000 To take into account of the amortization expense that was not accounted for in the first year?
The answer states that her available 179 deduction is $9,000, however, it is indicated as being an incorrect answer. The answer further states that only the portion of the new property's basis paid by cash ($10,000) qualifies for the 179 deduction (which is similar to question 24). Why is the $9,000, which represents that business use portion incorrect?
So I am clear, if I were to contribute property and cash to an already formed corporation and received more than 80% of the stock in the corporation as a result of the contribution, this exchange is not taxable. If my partner and I made contributions of 50% each to form a corporation, that is also a non-taxable event. Am I understanding this concept correctly?
Does anyone have some advice they would like to share for candidates who failed the exam once or more? What are some good tips to overcome exam failure?