Tennessee CPA Journal Self-Study CPE Exam

Sponsored by the Educational & Memorial Foundation of the Tennessee Society of CPAs
Recommended CPE Credit: 1 hour

Issue Date: April 2008
Exam valid through November 1, 2008.
Must be postmarked on or
before November 1, 2008.

If you are not a member of TSCPA, please send a check for $20 payable to the Educational & Memorial Foundation of TSCPA.

If you have not taken this exam before or have questions, please read the Instructions.

This form will be sent to TSCPA electronically and you will receive your graded exam via e-mail. Please click here if you intend to mail or fax the exam to TSCPA. Click here for help.

True

False

From “Financial Statement Restatements”

1. Revenue recognition was found to be the most common type of error in 2006.
2. Some of the methods used to understate expenses are failure to record expenses or losses,
overstating ending inventory values, understating bad debts or loan losses and failure to record
asset impairments.
3. Studies have shown that restatements are related to a decline in fi rm value, a decrease in future
earnings prospects and an increase in the cost of capital.
From "Need a Better Way to Save for Your Returement? Consider the Solo 401(k)"

4. You may defer up to 100 percent of your income through salary deferral on a pretax basis, as long as
you do not exceed $20,000 in 2008.
5. The greatest benefi t of the Solo 401(k) is the ability to save more in a tax-advantaged method.
From “Branching Out into Peer Review”    

6. Peer review is a service for which firms are compensated and can become a very profitable part of
your business.
7. Although the review of a firms quality control system is a reviewer’s priority, seeing how other
firms perform certain tasks and taking those ideas back to the reviewer’s practice is prohibited.

Name

Address

City, State Zip

Email

Are you a TSCPA member?    Yes     No

What topics would you like to see in the Tennessee CPA Journal? (optional)

I certify that I have read the April 2008 Tennessee CPA Journal, from which these questions were taken.

Instructions

Members may earn free CPE by reading the Tennessee CPA Journal. To be eligible for continuing professional education credit, you should spend approximately one to two hours reading the material in the current issue of the Tennessee CPA Journal. Then answer the following questions by darkening the circle which represents the best answer. Certify that you have completed the reading requirement for this exam by signing below. You must answer five of the seven questions correctly to receive credit. You should receive a copy of your graded test within four weeks of the date of submission. If you have not received a response within this time, please call TSCPA at 615/377-3825 or toll-free 1-800/762-0272. This program has been approved by the Tennessee State Board of Accountancy. This exam qualifies for credit under the reporting sub-category “Other - Code 10. ” CPAs licensed to practice in Tennessee may earn up to 20 percent of their total CPE requirements through this type of examination.