Net UEP on Battlecard - 2016 Spring #15

Hi,

I'm a little confused about how the net UEP is presented on the battlecard for this question.

We're told to only add the liability associated with CY/AY net UEP, but in the case of a non-zero Net UEP associated with CY/AY-1, why would this not be added? It's still a liability at CY year-end despite it being for the previous AY.

The way the exam problem presents the question is purely the Net UEP from B/S (presumably B/S since it's a single "at year end" figure) and Schedule P doesn't present a UEP by AY anyways.

Comments

  • I'm afraid I don't understand your question. The battlecard for the question links to the CAS examiner's answer. The question gives a single, yearend UEP balance. The answer duly puts this balance in with the other liabilities. I don;t find an explanation that splits this UEP into current vs prior years.

  • It seems they are referencing the Web based Problem to Calculate the SAP Liabilities (BattleCard 31 in the Full BattleQuiz). This was modeled off of 2016 Spring #15. There are a few other threads also discussing this but I think it is still confusing how it is presented. It seems incorrect to exclude the CY/AY-1 Net UEP in the final calculation. I feel like a note should be added to the web problem explaining why it should be excluded or the value for CY/AY-1 should be removed from the problem.

  • See my answer to the same question here:

    https://battleacts6us.ca/vanillaforum6us/discussion/224/spring-2016-15#latest

    Let me know if it is not satisfactory to you.

Sign In or Register to comment.