Cpa bec - Study guides, Class notes & Summaries

CPA BEC Formulas

BEC CPA Exam Review UPDATED Exam Questions and CORRECT Answers Demand Curve Shift Upward (direct relationship-positive shift) - CORRECT ANSWER- The price of subsitute goods, expectations of price changes, income for normal goods, and extent of market Demand Curve Shift Downward (inverse relationship-neg. shift) - CORRECT ANSWERThe price of complement good, income for inferior goods, and consumer boycotts SWOT analysis - CORRECT ANSWER- strengths, weaknesses, opportunities, threats Thr...

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Define general controls correct answer: Controls over the environment as a whole. Apply to all functions, not just specific accounting applications. General controls help ensure that data integrity is maintained. Define feed forward control correct answer: A process in which futures results are projected based on current and past information and, if the future results are undesirable, the inputs to the system are changed to avoid the projected outcome. Many inventory ordering systems are es...

CPA BEC Formulas 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 Earnings) - ANSWER-Risk-Free Rate + (B...

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