[cgreg]

If you’re a wordy person I’d try P5. I couldn’t pass it so changed direction and did P4 which I passed first time. I’d also passed P6 so I’m more suited to calculations.
P5 is easy to learn but hard to apply. You need good exam technique.The thing I found was that as P5 was 100% discursive the answer is all about your interpretation. P4 is 50/50 calculative and discursive so even if your written answer misses the point you know with certainty that you’ll pick up marks for the calculations if you get them right.

[cgreg]

a) Was dividend capacity calculation and how much they would need from subsidiary
b) Financial benefit to company of taking dividend from sub and potential problems
c) What agency problems would be caused and how could they be avoided.

I know b) and c) were five and six marks as I was running out of time.

[cgreg]

Anybody know what was meant by the Chief Finance Officer’s comments. I know what opportunity cost is – wasn’t sure what it was in this context, nothing in the text book. Also a comment about using cost of debt as discount rate?

[cgreg]

Thanks for your reply. Haven’t heard of 1.25 pages per 10 marks before. I’m leaning towards trying something else. Managed to pass Advanced Tax first time.

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