Comments

  1. avatar says

    Sir, i have a question for example 5, why don’t you include dividend payable in W3b? In other example, when calculate retained earning, you always include both div rble and div pble, but not for this example 5. I feel a little confused.

      • avatar says

        Thank you, sir. Now i understand the answer, because the dividend has already been paid, so i don’t have to include it in working 3b.
        Can i ask you a question about example 5 again? Why impaired goodwill is included in Cost of sale when preparing the CS of Comprehensive Income?

      • Profile photo of MikeLittle says

        Sometimes (mostly) the examiner will state “any depreciation and goodwill impairment should be included in cost of sales”

        Is that not the case in this question?

        If there is no direction for where to include the goodwill impairment, then cost of sales is as good a place as any.

        I imagine that, if there is no specific direction, then to include as a separately identified expense within the Statement of Profit or Loss would be just as acceptable

  2. Profile photo of Sirina says

    Hi there,

    First of all, thank you so much for your videos and thanks to all the people behind this website – great stuff and it helps me save a lot of money from day release courses! :)

    Anyway, example 4 on page 62 (Dec 2014 version) states that Viktorija had sold two thirds of these goods so does this mean pup should be £5400 and not £2700? I looked at the answers at the back and it still says £2700 – I am confused.

    Please help
    Thank you in advance ^_^

  3. Profile photo of Swati says

    Sir,

    Is the ‘retained earnings brought forward’ question (Example 5, Ch 10 on Pg 63 F7 notes – is this a part of DipIfr exam December 2014? Because this particular topic was not given in the BPP book.

    regards,

    Swati

    • Profile photo of MikeLittle says

      Surely you will use it where a question asks for a statement of changes in equity – a quote from the syllabus

      “Prepare a consolidated statement of profit or loss, statement of profit or loss and other comprehensive income and statement of changes in equity for a simple group, including an example where an acquisition occurs during the year where there is a non-controlling interest.”

      OK?

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