A few random questions

CFA Level II
#1
  1. how do you adjust a company’s statements for the bad payment account in current assets? how would it be asked on an exam question? i need examples 2) can someone explain how statements are adjusted for operating to capitalized leases (including on the IS). edit: 3) which CFAI sample exam is the best one to take? i’d like to hear from anyone who took it but especially repeaters like me
#2

If they reduce there bad payments, that means they increase A/R. Just reverse it. Operating to capitalized —> NI initially is depressed because of the sum of interest and depreciation cost, but eventually you will have higher NI. Edit: I didn’t see adjusted. I think you just remove lease expense and then you have a depreciation charge and interest charge.

#3

the capitalized lease adjustment has a few components through out the IS

#4

Yea I didn’t read your post right. I am not too sure on that then, but I edited what I initially wrote.

#5

thanks nib can someone answer #3?