Cpa bec Study guides, Class notes & Summaries

CPA BEC Formulas Exam Questions & Answers 2023/2024 Weighted Average Cost of Capital - ANSWER-(Cost of Equity x % Equity in Cap Structure) + (Weighted Average Cost of Debt x % of Debt in Cap Structure) Weighted Average Cost of Debt - ANSWER-Effective Annual Interest Payments / Debt Outstanding After Tax Cost of Debt - ANSWER-Pretax Cost of Debt x (1 - Tax Rate) Cost of Preferred Stock - ANSWER-Preferred Stock Dividends / Net Proceeds of Preferred Stock CAPM (Cost of Retained Earni...

COBIT Model Provides framework for the implementation of information technology into the control system of an organization, so the organization understands the risks involved in doing so. Basic COBIT Framework is aimed at figuring out 3 main things: 1. What are the business requirements of an IT system for our business? 2. What IT resources would be necessary to implement such a system? 3. What IT processes do we need to figure out to implement such a system?

Internal controls Process that is designed and implemented by an organization's management , board of directors and other employees to provide reasonable assurance that it will achieve its compliance, operating, and reporting objectives Cost Estimation Method: Parametric Estimating A cost estimation method that relies on a statistical relationship between historical costs and other variables, such as square footage. Cost Estimation Method: Analogous estimating A cost estimation method t...

CPA BEC FORMULAS

CPA BEC EXAM Demand Elastic means - ANSWER-large ∆ in demand when there is a small ∆ in price Price Elasticity of Demand Formula - ANSWER-%∆in quantity demanded / %∆in Price Demand becomes _________ elastic over time - ANSWER-more Goverment actions that affect market equilibrium - ANSWER-price ceiling cost floor (cause qty supplied to exceed qty demanded) a demand curve shifts _________ whereas a supply curve shifts ______ - ANSWER-up/down outward/inward diseconomies ...

CPA BEC Test 1 B - ANSWER-When calculating the cost of capital, the cost assigned to retained earnings should be A. Zero. B. Lower than the cost of external common equity. C. Equal to the cost of external common equity. D. Higher than the cost of external common equity. D - ANSWER-Which of the following is the most expensive form of additional capital? A. New debt. B. New preferred stock. C. Retained earnings. D. New common stock. B - ANSWER-Which of the following is not a com...

how often does an internal audit activity need to be assessed externally? every five years. what are the primary themes associated with internal audit attribute standards (1) Purpose, Authority, and Responsibility; (2) Independence and Objectivity; (3) Proficiency and Due Professional Care; and (4) Quality Assurance and Improvement Program. the 7 primary themes of the performance standards: (1) Managing the Internal Audit Activity; (2) Nature of Work; (3) Engagement Planning; (4) Perfo...

CPA BEC Formulas

BEC CPA Exam Review questions with complete solutions

WILEY CPA BEC| 250 Queestions| With Complete Solutions