Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › sitika co. M/J 2021 seperate financial staments
- This topic has 1 reply, 2 voices, and was last updated 2 years ago by Stephen Widberg.
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- August 4, 2021 at 4:08 am #630326
sir i wanted ot understand why the examiner has used this method to find gain on disposal: 10+ 3.5-12=1.5, not that i don’t understand this method, i completely do get this method. but my bone of contention is that profit/loss figure we get hence, is used for inclusion in CONSOLIDATED SPL.
and so instead of that we should, have used disposal proceeds less cost or carrying amount of investment(i.e. $10-12×45/60=$1m gain) , the precise method we use to calculate gain/loss for inclusion in INDIVIDUAL OR SEPERATE FINANCIAL STATEMENTS
August 4, 2021 at 6:37 pm #630406Please refer to the examiner’s answer where the logic is explained……………..because the remaining interest must be measured at FV.
Never seen that point examined – and I suspect it will be another 35 years before is is examined again.
In SBR they seek to see how students react to a situation that they have never seen before- very few candidates would have thought of that – it’s certainly not a pass or fail point.
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