p. 31 “ANALYTICS. If a CFA charterholder sits before you, she or he can evaluate undervalued and overvalued securities, calculate the values of callable bonds and puttable bonds, calculate alpha, calculate financial ratios used by credit analysts, analyze derivatives, alternative investments, taxes, pensions, inventories, and inter-corporate investments. This list is by no means comprehensive. But its meaning is clear. The designation of CFA represents a reservoir of tremendous analytical skills. And if you don’t know, well then you better axe somebody. Chuuuch.” It didn’t really hook me until right at the very end.

hahaha… it’s like a little snoop dogg thing at the end

The last two sentences were not in there. I tend to geek when I take my little breaks from reading. They have been buying a lot of ads recently promoting the designation, kind of selling it to the world really. I read that article and thought an urban twist would be funny, sad how things like that make me laugh. I used to be cool… I’m losing my mind right now adjusting COGS to LIFO COGS. I was doing so well up until this point. It’s just not sticking.

It is way simpler than you think. COGS and INV are inversely related. CFAi made it HORRIBLY complicated. COGS FIFO = COGS LIFO - change in LIFO reserve.

amberpower Wrote: ------------------------------------------------------- > COGS FIFO = COGS LIFO - change in LIFO reserve. I get that equation, it’s p. 318, exhibit 4 in the FSA book, SS9 that has me utterly confused. Knowing when to estimate “r” from the change in the LIFO reserve, and at 80% of opening inventory. I see the calculations, I can comprehend the reading itself, but the logistics of it aren’t explained. I’m beginning to see how the authors didn’t go the distance by adding the “In other words…” explanation to some of these examples.

Ya know, I stared at that equation forever and gave up, never to have seen it again on anything.

To which equation are you referring?

estimating “r” or anything with “r”

Thanks amber I feel better knowing I’m not alone on this. I’ll ask an accounting buddy of mine sometime, bc that explanation was awful.