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It's Not Too Early to Begin Your Studies Now!


(SmartPros) The next CPA Exam is only five months away. Is it too early to begin your studies? Absolutely not! Candidates fear that come November they won't be able to recall concepts learned in June. Think again.



[Editor's Note: this article is in reference to the old paper-based exam, not the computer-based exam that is now in use.]
 
It's not the time period that makes recall difficult. It's the method of study. If you attempt to learn by reading, chances are you will forget a great deal of the material. However, if you change your study method to a "doing" approach you will greatly increase your chances of not only remembering the concepts but also being able to apply the knowledge. What does a "doing" approach entail?

You Can Pass the CPA Exam: Get Motivated: Knowledge and Confidence-Building Techniques
You Can Pass the CPA Exam: Get Motivated: Knowledge and Confidence-Building Techniques

Learning by doing means that instead of spending valuable time reading about a topic, you will instead learn by practicing the concepts. For example, take the formula for computing the amount of coinsurance loss incurred. This question is always asked on the Business Law and Professional Responsibilities section. If you read about the concepts you will note that the coinsurance clause involves maintaining insurance equal to a specified percentage of the value of the property you own. When a loss occurs, the insurer will pay you a proportionate share according to the following formula:

Total recovery =
Actual loss times Amount of insurance
Coinsurance % times the Fair market value of the property

How is a person expected to remember this formula? The "doing" approach involves writing out the formula sometimes over and over again. As you drive, jog, or walk to work, recite the formula out loud. Let your voice hear you say the formula. Tape the formula to your bathroom mirror. Every morning as you brush your teeth, recite it. Then, using your review manuals, work questions to apply the formula. Note the special exceptions. For example, common sense tells you that a person can never recover more from an insurance policy than the total value of the policy. Study now. Review as you go along by working questions to test your long-term memory. If you practice your concepts and do the work, you will remember. If you simply read about the material, chances are you will forget.

All SmartPros CPA Exam Tips

2000, Smartpros Ltd. All Rights Reserved.

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