CPA BAR case studies
CPA BAR · Put your knowledge to work in context.
The CPA Business Analysis and Reporting (BAR) exam is one of the discipline sections a candidate selects within the Uniform CPA Examination, which is developed and maintained by the American Institute of Certified Public Accountants (AICPA). BAR is aimed at candidates who want to demonstrate depth in analytical and financial reporting skills rather than in the other discipline options, and it is typically taken alongside the three core sections. The CPA BAR case studies are 5 cases and about 3,139 words.
1Segment Profitability Under Shared Capacity Constraint
Ridgeline Components operates three product lines in one plant: Alpha, Beta, Gamma. Monthly capacity is 10,000 machine hours.
610 words, about 3 min2Revenue Recognition Timing on a Multi-Element Contract
On January 1, Year 1, Cobalt Systems signs a 1,200,000 contract with a customer to deliver a software license, install it, and provide three years of support. Standalone selling prices: license 900,000; installation 200,000; support 300,000 (total 1,400,000).
640 words, about 3 min3Lease Classification and Measurement With a Purchase Option
On January 1, Year 1, Harbor Freight Logistics (lessee) enters a 5-year lease for a warehouse. Payments are 100,000 per year, due at the beginning of each year.
565 words, about 3 min4Modified Accrual Recognition of Property Tax Revenue
The City of Fairview adopts its fiscal Year 2 budget and must record property tax activity for the year ended December 31, Year 2. The levy of 50,000,000 was assessed on January 1, Year 2, and bills were mailed.
639 words, about 3 min5Fund Balance Classification After a Budget Shortfall
The City of Northgate's General Fund has the following at December 31, Year 2, before any closing entries: cash and investments 9,000,000; property taxes receivable (net) 2,000,000; vouchers payable 3,000,000; and a 1,500,000 note payable due in 18 months. The city council has committed 2,000,000 for a future fire station by formal resolution; the resolution can be rescinded by a simple majority.
685 words, about 3 min