ACCA F5 lectures Download OpenTuition F5 notes

### Comments

### Leave a Reply

You must be logged in to post a comment.

OpenTuition.com Free resources for accountancy students

Free ACCA lectures and course notes | ACCA AAT FIA resources and forums | ACCA Global Community

accakeisha says

Learning made easy…..where were you all my life??????took to long to discover

John Moffat says

Thanks for the comment ๐

Righan says

Dear sir, thanks for your excellent lecture. What if I wanna know the time for the rest 1millon units, is there a shortcut to calculate the figure since the way in the lecture must take a long time. In addition, will this curve become meaningless because the time become a infinitesimal figure? many thanks!

John Moffat says

As I say in the lecture, there will come a time when learning ceases and when they cannot work any faster (and you will be told when this happens in the exam).

As regards calculation the times – there are not other ways other than the doubling rule and the formula. With a decent calculator, using the formula should in fact be very quick.

yakim21 says

Dear sir,

Thank you so much for the awesome lectures! And I have a question for learning curve -example 2.

I don’t understand why the average time for 8 is 42.1875 as below.

total time for 8 = 8 * 42.1875 (average time)=337.5

I understand that it takes 42.1875 hours when they make 8th unit, but when they make 5th, 6th or 7th units, it will take longer hours than that. So my understanding for average hours to make 8 units should be

1*100+ 1*75 + 1*56.25 +…… + 1*42.1875/8

please forgive me if my question sounds silly.

Thank you!

John Moffat says

42.1875 is not the time for the 8th unit.

It is the average time per unit if they make 8 units. So multiplying it by 8 gives the total time for 8 units.

Paula says

This 20 minutes lecture gave me more knowledge about learning curve rather than 2 hours of boring lecture in University. Thank you very much Sir.

John Moffat says

You are welcome ๐

noor says

Hello Sir!

I just wanna know that are those moving averages caculations gonna come in exam?

Cause I just went through example 4 and 5, and I’m completely blank. I’m struggling so hard to get the same answers like the ones given in notes. I completely forgot how to calculate the moving averages. Please help me out.

John Moffat says

There are no examples 4 and 5 in the Lecture Notes. I can only think that you are using an old copy of the notes – we update our notes every six months.

Also, if you read the introduction to the chapter, then it states in bold that you cannot be asked for calculations on time series or on regression analysis in Paper F5.

nanaleebanto says

thank u for having ur videos in vimeo…helped me out alot…was able to u on my smart tv!! blessings

John Moffat says

Great ๐

umer says

Great Lecture for revision as only relevant bits for exam are covered.. Really helped me to understand the concept instead of just putting numbers in the formula.

Thank you Sir

John Moffat says

You are welcome ๐

Bhagat says

Sir your 19-minute lecture made me understand much faster and more in-depth than my 2-hour lecture at college. Thanks!!

John Moffat says

Thank you ๐

utkurjon says

Hi,

I would like to thank you and Open Tuition for the great lectures which helps my studies to be a lot easier.

However, I came to a question where I have a little problem. Would you be kind to help me how to deal with it please.

The question is from ACCA Global and it is as follows:

Example 2

The first batch of a new product took six hours to make and the total time for the first 16 units was 42.8 hours, at which point the learning effect came to an end.

Calculate the rate of learning.

ACCA Global suggested using equation but not the learning curve formula.

42.8=16x(6xr4)

2.675=(6xr4)

0.4458333=r4

the final step to get the answer, it tells to take the fourth root of each side that involves using the calculator button r4 or calculator button x1/y to find the forth root of a number. However, both my calculators do not have these buttons and even looked my calculator guides but there is nothing mentioned about theses buttons.

Could you suggest how to take the forth root or any alternative approach to the question.

Many thanks in advance.

John Moffat says

Easiest is just to press the square root button twice ๐

utkurjon says

I have just got a notification of your reply. Technology ๐

Now I am able to work out the final answer ๐

Thank you so much ๐

Aley says

Dear John,

In example 6 by formula ,if we calculate total time of 8 units answer verify the doubling rule no need to find total time for 9 units and then subtract 1st unit time ,it means we can calculate total time for n units,But why it is not verifying answer for 7 units why we should find 8 then subtract first unit time.

Prompt reply is highly appreciated.

John Moffat says

Whether using the formula or using the doubling rule, you can only get the time for the first number to be made (i.e. you can calculate the time for the first 4, or the first 5 or the first 6 and so on). If you have made some units already, then you cannot work out directly the time for another 4, or another 5, or another 6 etc..

The only way you can do it is the way in the lecture.

amg says

thank you for your great lectures!

Bertrand says

Thanks John Moffat for the lecture, is well explained. However, I have one small problem, I wish to know the difference between total time for the next 7 and total time for 7. In example 6 you calculated total time for the next 7 and got 237.5 and I tried to calculate total time for 7 using the formular I got 312.22 . I was hoping to get 237.5. So i was wondering if they don’t mean thesame thing.

John Moffat says

When it says the next 7 it means another 7 after the one already produced – so it bring the total up to 8.

So to get the time for the next 7 you need to calculate the total time for 8 and then subtract the time it took for the first one.

Bertrand says

Dear John,

Thanks for the prompt reply to my question. It is now understood.Thanks once more for the excellent lectures you are giving in this site.

Jonathan says

In the last part of the question where the total time for the 30 batches was calculated, why was the average time of 90.80 multiplied by 30 to get 2,724?

I thought the average time of 90.08 which was calculated for the 30 batches would have been used.

Jonathan says

It was corrected later in the video.

Yosef says

Very well explained but still in the mire with two months to exam

Ehsan says

Hi John,

Do we also have to know, how to calculate learning RATE? Because in BPP text it’s shown how too.

Thanks.

John Moffat says

Yes you do, and I explain how in the lecture.

Ehsan says

Sir, I was referring on how to calculate that 80% rate or 90%. (not log *0.8/log2)

John Moffat says

Sorry – but yes, you can be asked to calculate the learning rate.

However only by working backwards using the doubling rule (not by using the log formula backwards – that cannot be asked)

Ehsan says

Thanks a lot.

Yeah formula one is bit complex though.

Thanks again.

eduardoneves44 says

Thanks john by providing chapter 12 quantitative analysis in budgeting, it was so wonderful.

tendai says

at first i thought we need to calulate the total time for the 30th batch and then 31th batch

tendai says

thanks a lot i really benefited from the lecture

emma1988 says

Thank you for the useful lecture. I was just wondering if u can help me with working it out on the calculator as I can’t seem to find the symbol Xy and +/y to work out the answer for Example 7?

Many Thanks

John Moffat says

I can’t really help, because there are different types of calculator with different ‘logics’ which affects the order in which you press the keys.

Sorry, but you are going to have to search in the manual that came with the calculator ๐

emma1988 says

I thought you might say that ๐ I have found how to do the Xy symbol but not the +/- but I’ll have a look at the manual again. Thanks again for the lecture!

Ernest says

Hello Sir, thanks for the great work. I need a clarification. Why is it that when learning rate increases, average time also increases. I thought as learning rate increases which means people learn faster, then average time taken to produce the product should reduce. For example when first unit takes 200hrs and learning rate is 60% then average time is 120hrs for second unit, if the rate increases to 70%, the average time rather increases to 140hrs which confuses if compared to real life.

John Moffat says

I realise that in other contexts we tend to think of it as the higher a percentage it then the better, but in the case of learning rates this is not the case.

The lower the learning rate the faster they are learning. We would want the learning rate to be as low as possible. A learning rate of 70% is better than a learning rate of only 90% – the 70% people are learning faster.

Ernest says

Thanks for the quick response but still not very clear. What does the percentage really mean then? I take it as it means the rate at which the workers are learning and if so then the faster the better so the higher the rate the better. That’s why am thinking that way. Probably it means something different. I will be clear if u can help me with that thing.

John Moffat says

Don’t look for a meaning! All it means is that the average time falls to that percentage of the previous average time.

It is a measure for us to find how fast they are learning, but not in the way that you are trying to interpret it. Too many think that way without understanding how it is working (which is why the examiner once asked as a small part of a question – which is better, a learning rate of 80% or a leaning rate of 90%. The answer is 80%).

(Higher percentages are not always better. If I told you that my company wastes 10% of my raw material and another company wastes 5% of its material, it certainly does not mean that my company is doing better ๐ )

Ernest says

I got it. Thanks very much. It means For example, an 80 percent

learning curve means the per unit average

cumulative cost (in hours or dollars) falls to 80

percent of the previous per unit average

cumulative cost as the cumulative output

doubles. Therefore the lower it falls the better.

Thanks very much for your reply.

Mohammed says

Hi John,

Just a note that “r” is defined incorrectly in the notes. It should be “…expressed as a decimal” as opposed to a “…%”.

Thank you for a great lecture as always!

emmanuel says

Sir, how can i determine the learning rate in a learning curve question if it was not given in the question?

John Moffat says

The learning rate will be given in parts of questions where you need it.

As a separate part of a question you could be told how long each of the first and second units/batches take, and then you can work out the learning rate ‘backwards’ using the doubling rule.

emmanuel says

Thank you sir

sunday says

Thanks alot. I got it right in Nigeria with your lecture

wwswidusha says

nice lecture