[charlotte499]

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[charlotte499]

Analytical review – used the calculations here which i had prepared for q1!!

Calculations i did – then just put a sentence as to why it could affect GC
– Trade Payables days e.g Suppliers may stopping trading with them/ provide inventory
– ROCE
– Operating Profit Margin
– Gross Profit Margin
– Current Ratio
– Interest Cover – e.g ability to pay the interest on the loan

[charlotte499]

I didnt do any numbers from Q1 (Apart from maybe the level of materiality for RoMM) No sign from what i could see for ed540/the new technical article.

[charlotte499]

Unless i misread that question too, i thought it was related to what evidence you’d expect to find as part of the cash flow forecast – in relation to analysing the going concern? Also wrote about the competency of the person conducting it, how accurate management have been in preparing prior forecasts etc.

Youve got a very good memory though – worried i miss read it now!

Despite learning ED540 / the technical article, i couldnt see find that anywhere in the paper. One for the March sitting maybe?

[charlotte499]

looks like i might of done this wrong… i put £1.2m wasnt material to the PBT because it represented 5% (thoughts the PBT was £22m… probably read that bit wrong) therefore would give a qualified opinion as its unlikely to be pervasive to all the financial statements ??? .. ops! going with everyones previous comments looks like ive done it wrong!

[charlotte499]

what a terrible paper – i sat the UK version where the breakdown of marks isnt provided for question 1 – i dont suppose anyone could help me out with the split at all please?

Thanks alot!

[charlotte499]

For professional scepticism, I wrote about the management judgement for the forecast information about the new systems- might be bias/ over optimisic and how the 10 years for the royalty part wasn’t based on anything? Might be completely wrong???

[charlotte499]

@arvind111 said:
Wasn’t really disclosed, but they gave 8 marks for part C in total, therefore it’s likley it was worth 4 marks.

Did you calculate the currency to dollars and then say if it was above or below 15% threshold or not, ie significant component

Ah ok, thank you!
Nope, just remember converting it and then working out the percentage compared to total group assets. Didn’t say a lot for it as I wasn’t 100% what it was.

[charlotte499]

Thanks. What was the ‘significant component’ part worth for marks?

[charlotte499]

Hey! I did the Uk variant of the paper-unfortunately you don’t get the mark scheme. Can anyone remember the breakdown for question 1 please? Thank you!!

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