2011 mock, am session, #39

CFA Level II
#1

WHich of the following accounting policies had the largest effect on increase in EBIT? A interest costs B deferred revenue C software development costs According to cfa, the answer was A. But interest expense comes after EBIT. Why then could this be correct?

#2

http://www.analystforum.com/phorums/read.php?12,1263715 AF consensus has decided that this is errata :slight_smile:

#3

Thanks. Too much in that mock fooked with my head.

#4

correct answer was C. here is how they screwed up the answer/question: http://www.analystforum.com/phorums/read.php?12,1263715,1266053#msg-1266053