ACCA F5 revision lectures Download ACCA Exam Questions
ACCA F5 Question 3 March June 2016 hybrid exam
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how did we get to the expected profit of 34300 dont see it mentioned in the scenario
The expected profit is not 34,300. It is the revenue that is 34,300 and the calculation of it is the very first thing that I do in this lecture !!!!
sir if the lawyer is a permanent employee then the salary cost should occur in year two as well. why haven’t we included that for year 2? I got it why we are including it in year 1.
We aren’t simply including it in year 1. We are calculating the total cost over the 2 year period, and the patent application (and therefore the lawyer cost) is only incurred once. (The patent renewal is every year, but the application is only once)
wow what a solve 馃檪
馃檪
I have understanded clearly. Thank you very much!
You are welcome 馃檪
Dear sir,
There are no any mention on ten-year patent?
Thank you
Do you mean no mention in the question or in my answer?
If you mean the question, then read the first sentence of the third paragraph of the question 馃檪
If you mean my answer, then you need to watch the lecture again because I certainly mention and deal with it!
I mean that the patent application costs should be divide 10 years and multi 2 (500/10 yearsx2 years). Sorry that I still not yet understanding
But this is lifecycle costing – we are not doing financial accounts!
The application cost of 500,000 was payable whether we produce for 10 years (or as is the case here – produce for 2 years).