A parent/subsidiary controlled group takes into account ownership of one entity (corporations, partnerships, and sole proprietorships) by another. Basically, if one entity owns at least 80% of the outstanding voting stock of the other, they form a parent/subsidiary controlled group. For Plan Years beginning after 2013, the Plan is intended to operate with the following individual qualified separate lines of business: the KA Steel QSLOB and Olin QSLOB; provided however, that on and after October 1, 2015, the Plan is intended to operate with the following individual qualified separate lines of business: the KA Steel QSLOB.How should I study for EA-2L (before I get to the seminar)?
Some students don't prepare at all before attending the seminar. I don't think this is a good idea - there is simply too much to absorb at one time.
The EA-2F exam covers IRC Sections 404 and 412, plus cost methods. EA-2L is much harder to study for than EA-2F, since it includes everything ELSE.The syllabus is VERY large. It includes a few sections of the Internal Revenue Code, but ALL of ERISA. Due to its size, I think it is impossible for most students to have a good handle on the entire syllabus. In addition, you MUST have several years of pension experience to have enough knowledge to pass the exam.
The syllabus says IRC Section 401 includes everything except for subsections (f),(g),(i),(m),(n),(o). You are expected to know lots of 'general knowledge' items that are in the code as well as ERISA.
Most of the seminar overheads focus on items that are calculation oriented, or that have been routinely tested on the exam. The 'Obsolete Overheads' pages have been removed becausethey are no longer applicable. The 'Obscure Overheads' pages are really obscure topics thathave never been tested.
In my 'Cover letter' with the study materials, I suggest that you read the code, and ALL the revenue rulings, revenue procedures, study notes, etc. Many students disagree, since the source material is often contradictory and confusing.
At the seminar, I will go through all the overheads in detail, and make additional comments on them. I will try to clear up all the contradictory and confusing stuff. Most of the seminar overheads focus on items that are calculation oriented, or that have been routinely tested on the exam. I will not spend time discussing items that are strictly memorization.
There are many areas in the regulations that are interpreted differently by practicing actuaries. Anything like this is unlikely to be tested on EA-2L. The reason is that the JBEA hates to give credit for more than one answer on the exam. They have to test simplified situations that are NOT subject to interpretation.
Some students wait until after the seminar to work the older exams. You need a good grasp of the material before you are ready for many of the exam questions. I add new practice problems each year, which are updated versions of some of the older exam problems.
Each year, there are new areas that are tested on the exam. Don't worry - these are usually 2 or 3 point questions, and they aren't very hard. It is just random luck if you happen to be familiar with those topics.