Argh! Principles of Finace DANTES

[MCunningham]

You guys, I need help! I am having a great deal of difficulty studying for this test! (And the title should read "Finance" not "Finace"-- see, I'm stressed!) I can't seem to absorb any of the concepts, and I hate it so much that I am constantly looking for ways to avoid studying.

I have checked the Specific Feedback section for this, and I'm using many of the aids that previous passers have cited. I'm using the online Block & Hirt book "Foundations of Financial Management" (which I paid $65 to get access to) and the Groppelli/Nikbakht book "Barron's Finance". I've also been using my old accounting book (from when I took it in 2003!) to refresh myself on many of the terms. I even tried the Standard Deviants Finance DVDs (which I think are utterly and completely useless, not to mention ridiculous and boring).

I've already wasted 18 days trying to grasp concepts that are not sticking. The formulas aren't sticking, the terms are not sticking... I'm completely bummed out and freaking out because this is a required class/test for my degree, and I've never had this much trouble making anything stick.

Plus, it seems like there is so much in this test to study, and I'm overloaded and suffering a major case of "where do I begin?"

I only have three tests left (DSST Finance, Macro CLEP, and Micro CLEP). I'm contemplating just starting on Macro and Micro and leaving Finance to the end, but I'm afraid what little I've absorbed will be lost if I do that.

I guess I'm wondering, is there a better way of learning this stuff? (i.e. a better outline, a different book or resource) I'd really like to not have to take this as a class...

If not, do you guys think I should just put this to the side and do Macro and Micro instead for now? Although I'm not sure this would fix my issue, since I've been told that these two are also difficult tests.

I'm just feeling very stressed out and discouraged. Any words of advice?

MC

[motuterry]

What generally worked for me when I faced similar difficulties was to continue to study the subject while moving ahead with another exam. It kept me from feeling as though I was losing ground while also giving me more time to allow material to sink in.

I can't say this would be the best choice for you, as we all learn differently, however it was effective for me.

Good luck to you!

[MISin08]

I always try to take advantage of the natural progression of the curriculum. The two Economics tests offer fundamentals that would be useful in the Finance study. I am taking them before attempting Finance. While doing that, I'll keep the Finance outline handy and review the basic Finance concepts periodically in plain-language terms to help me cue in on helpful stuff (Ec touches on time value of money, for example). The Finance DSST corresponds to an upper-level course, so while there are doubtlessly people in the feedback section who smoked it with minimal study, it's not reasonable to think most people will. If you are looking for an A or B, then you're signing up for more time still. As hard as it is this close to the end, I say give yourself the time. Good luck.

[Gary]

Original post from Barcotta from Jan 2009
I have attached the feedback I provided for the DSST Principles of Finance exam which I took about seven months ago. This feedback may also be found in the "Specific Exam Feedback" section of this forum. That section is now only available to InstantCert subscribers. If you are preparing to take CLEP, DSST, ECE or TECEP exams and are not a subscriber--you should be! In addition to instantly obtaining study materials for dozens of exams--you will also have access to valuable feedback from people like me who have recently taken the exams. Below is just a sample of what you will find once you have access to the "Specific Exam Feedback" section.

Principles of Finance - May 2008

Preparation: I spent approximately two weeks preparing for this exam. On a good day I would put in 2-3 hours. Other days around one hour. I prepared for this exam differently then I prepared for any of my past exams. I knew that it was not going to be easy to prepare in two weeks, so instead of starting by running the IC cards, I started with the available Specific Exam Feedback. I consolidated and ranked all the feedback and began learning the material using the Block and Hirt "Foundations of Financial Management" text. I purchased an old version for around $8 and it worked just fine for most things. When I bought it, I thought I was getting the "primary" recommended text—but when I looked back at the fact sheet I realized that it just happened to be the first text they listed because "Block" comes first in alphabetical order. I probably learned 80% of what I ultimately knew from that method.

Once I had (almost) exhausted my list from the Specific Feedback, I looked at IC and used the practice problems. IC demonstrates an unusual method for Future Value of an Annuity that requires a two-step process that only works with the table IC provides. The table provided by DSST is different so you should get your hands on that and learn to solve problems using the tables you'll use on the exam. By the way, there was no need to know any of the (1+I)^n formulas so don't worry about learning that. You just need to know the four formulas, using the tables, to solve present and future values of $1 and present and future values of an annuity. You will also have to solve for a recurring annuity payment. Know that well and you'll be a quarter of the way to passing this exam. Also, I didn't have any questions regarding calculating future payments on a loan like you'll see in the IC practice problems.

I STRONGLY advise anyone who is taking this exam that also needs to take Financial and Managerial Accounting to take Managerial Accounting first. That DEFINITELY helped me and if I had it to do again, I would have been preparing for DSST Finance while studying Managerial Accounting. There is a LOT of overlap. PV, FV, all them ratios, payback period, IRR, net present value—I had to relearn it all a year later. I probably could have been ready in one week if I had taken this exam right after Managerial Accounting! I already had all the formulas memorized. Now they'll probably clog up my brain for life—or at least a week or two.

I never got around to using any of the on-line study aids listed in the Specific Exam thread—although I did get some notes from someone who had compiled them from the internet and they turned out to be very helpful in filling in some holes and solidifying some concepts. So, prep for this test was a combination of my memory of Managerial Accounting along with some of the materials from that course, the recommended text, a few notes from the internet and IC.

I decided to take the test without a financial calculator since their use was so controversial and I figured my feedback would be most helpful if I took the test the same way that most others would likely have to take it in the future. That being said, I'm certain I could have used a financial calculator at my testing center but, having never learned to use one, I didn't miss it.

Prior to the test I called my testing center 2X to make sure the PV and FV tables would be available. When I arrived, the clerk and her boss were discussing the fact that the clerk should have taken care of this before today. Fortunately, I had contacted the DSST people the day prior to have them fax a copy to me. Of course, I had called DSST in the morning and they said they would fax and email them to me. Six hours later I called again. They had clearly forgotten. Ten minutes later I received a fax. That was nice—except the quality was pretty bad and the numbers representing the time periods down the left side were missing on three of the four sheets—and the quality in the middle of some of the sheets was bad enough that I couldn't read the numbers. So, I sat there for about 10 minutes and filled in all the numbers the best I could. I'm glad I did—because those were the sheets I had to use.

I also discussed the calculator problem with Cheryl in DSST customer service. Not to be too insulting, but I'm pretty sure that Cheryl did not come from the world of academia. She explained that you had to use "just a simple" calculator. I explained to her that the DSST Candidate Bulletin contains contradictions and, in one place, requires a four-function calculator—which does not exist. Her response was that it has to be just a simple calculator. She clearly is not losing any sleep over the fact that their materials are contradictory and inaccurate.

The Exam: It took the folks at the testing center about 30 minutes to get my test to come up. Apparently they have been "fudging" something for the last year or so and they theorized that something must have changed on May 1st. At one point, they asked me if I HAD to take the test today. I told them that it was my last exam and I would wait as long as I had to for them to make it work. In the meantime, I wrote out all the formulas I had memorized. They totaled about 35. There were a handful of formulas, I would say about six or so, that I had not memorized because they looked insignificant and no one had mentioned them in the Specific Feedback—or I came upon them too late in my studies. Amazingly, of those six, three were on the exam. I started laughing when I got to the third one. If I didn't know better, I would swear the DSST gods were looking over my shoulder when I was studying. If anyone currently studying for Statistics would like a practice problem, it would be interesting to know what the chances are that three of the six formulas I chose not to study would appear on the test for which I had memorized 35 formulas. Maybe a good one for cookderosa and son? If it wasn't for bad luck…

Moral of the story—the more insignificant the formula appears, the more likely you'll see it on the exam.

Of the 88 questions on the exam, I knew the answer to 46, had a 50/50 shot at 24 and had to guess on 18. That got me a 63. I needed a 46 for a pass and a 56 for an "A" at Excelsior. Of the 88 questions on the exam, 31 required calculations requiring knowledge of formulas—and probably close to half of those were present and future value calculations.

I was certain that time was going to be a problem—particularly because I was not using a financial calculator—but I ended up with 24 minutes left over. I went back and looked at seven problems I had marked and then went back through the whole test to make my tallies (I had forgotten to tally while I was taking the test and was concerned that I would run out of time anyway).

Well, for anyone who has made it this far, that about sums up my experience. I've attached a document which includes my feedback regarding which topics were and were not covered on my exam--for everyone who doesn't really care about all that other stuff anyway. Hopefully some of it will be helpful to future test-takers.

http://www.degreeforum.net/attachments/g...edback.doc
http://www.degreeforum.net/attachments/g...k-text.txt

Maybe this helps...

[brothermike]

I too had difficulty with this one and have moved on to other exams and will come back to Finance later this week or next. TESC has a backup option as a TECEP so that should take a little bit of pressure off. It did for me.

[cbrchris]

You can also have a backup of Penn Foster courses for Finance. The course is ACE approved. Along with Macro and Micro as long as your school will accept ACE credits.

[MCunningham]

Can you just take one course at Penn Foster? I looked at the site and it looked like you kind of had to be in a degree program. Yeah, my school takes pretty much any ACE credit, but I'd have to verify if this would fulfill the requirement. I'd still like to try the DANTES, but if this PF thing would work, it's a nice back-up plan to have ready.

Thanks, all!!

MC

[skyfall123]

Can you just take one course at Penn Foster?

Yes, you can enroll in a single PF course. I went with PF for the Finance course. It worked for me. There were about 6 self paced modules, and a final exam that required a 70% or more to pass. If you fail the final, you have one opportunity to retake. A forum search on "Penn Foster Financial Management "should turn up some good feedback like this http://www.degreeforum.net/general-educa...management

The book was thorough and light on fluff. The PF course is a solid backup plan if the DSST doesn't work out. The course can be completed within a month, with little problem.

[MCunningham]

Well, FYI, apparently my school will not accept Penn Foster's Principles of Finance course to fulfill my Finance requirement. My school (American Military University) wrote me back today and said they'd only accept the course as an elective.

That stinks... I guess I'll just have to take this break and then get right back on the horse with the Principles of Finance DSST exam...

MC

[nick94]

Well, FYI, apparently my school will not accept Penn Foster's Principles of Finance course to fulfill my Finance requirement. My school (American Military University) wrote me back today and said they'd only accept the course as an elective.

That stinks... I guess I'll just have to take this break and then get right back on the horse with the Principles of Finance DSST exam...

MC

Good luck to ya!