Forum Replies Created
- Posts
63% and that’s me done! Well done to all who passed – commiseration to those who didn’t quite make it this time. Keep going, the feeling of being fully qualified is right up there with the birth of my first child 😀
COME AT ME FINANCE WORLD!
Yup that question was a toughy…and I use IFRS 16 in my day job!
I literally talked about how IFRS 16 allows you to capitalise the assets whereas FRS 102 requires the rental payments to be expensed…Essentially IFRS 16 improves EBITDA due to depreciation and interest rather than additional overheads.
I was literally talking out of my back side for 25 minutes…
I felt I was quite fortunate with the paper I was given – there were minimal calculations to do in section 1. I’d say 80% of the exam was discursive…pretty much every standard came up, even share based payments!
Hi,
I believe the questions stated 2 thirds were in-store sales a 1 third online, so the answer should have been $2.25M?
Hi Graham
I had the same as you! Oh boy did I answer it differently…I was under the impression that preference shares aren’t tax deductible? I took it as Interest/MV, although as the nominal value was less than 1 I did roughly the following: 6*nominal rate/market value. Uh oh!
Hi Roby
I did the same as you. Buying was cheaper by about $600k give (roughly). For the written question, I did agreed that the deduction in the tax liability was financially more desirable. Depending on their risk appetite, they may prefer the lease option due to the ability to cancel the contract in the event of being obsolete 🙂
Hey, I had that question!
They gave you an interest rate of 8.6% which needed to be tax adjusted (30% corp tax rate), i.e. 8.6% * 0.7 = 6% 🙂
@kb15520 said:
There was this NPV question in section C where we had to inflate the flows: revenue(6%) ,variable costs(6%)and fixed costs(10%). The revenue and other costs were given in year 1 price terms, so we had to inflate from year (t)2 onwards ??Correct, I believe they will give you full marks if you inflated the ‘per item’ cost/price rather than the total for each year but it sounds like you did the right thing.
@leandraac said:
A & B had quite a few questions testing theory rather than calculations so i’m not sure how that went. C I got the NPV nominal and real then the WACC question. I calculated the NPV over 4 years based on the directors policy with no tax allowable depreciation balancing figure. WACC I got 12.5%.Did you use the general inflation rate for the real rate NPV 5 marker?
Hey, I had the same section C as you. I believe in the question it gave you a nominal WACC and a real rate WACC? The first 9 marker, I used the nominal WACC (10% i think?) and then the second 5 marker I used real rate (6%?). It also stated general inflation was 4% – which I used for the real rate calculation but it wasn’t overly clear!!
Passed 1st time with 57%. I think I lost 12 marks on basic Inheritance Tax questions (Marriage Allowance, what allowances you use up first etc). Very grateful for the Open tuition lectures – on to FR! Finally there is a test centre in Milton Keynes…
Passed first time with 58! I couldn’t attempt one of the C questions so I spent the remaining 20 – 25 minutes going through section A & B again – must of worked!
@claudia123 said:
Hi guys,Well…I’ve been trying to do a post-mortem on the exam this morning, I literally have no idea how I feel about it! Section C for me was expected values and transfer pricing – normally I’m good with EV but found this part hard, normally I’m rubbish with TP but found this ok!
Sections A/ B are a mystery to me…there were some multiple true/ false ones where I knew 3 for sure but wasn’t sure on 1, kind of annoying that it could negate the other 3! There was a question on throughput (for North factory?) that I just couldn’t work out, and normally I’m good with throughput…similarly the rolling budget figure for cost of sales got me, which is annoying!
We’ll see anyway. This is my first ACCA exam, I’m wondering if they will all be this difficult/ intense…
I had the exact same exam…I completely agree with you. There were too many options to the ‘wordy’ multiple choice questions within section A. Section B wasn’t too bad, albeit the throughput one a little tricky…
Section C I had a mare on the expected values – not something I even considered could be so in depth…I thought the transfer pricing went incredibly well. It’s going to be tight for me but I think i’ve just fallen short.
Scraped a pass for F4 in January 18. Spent two months studying via the lectures & notes on here, as well as the BPP Practice Test book.
All the practice tests I completed, I was achieving well over 70% but the exam itself I scraped 53% – my advice is do not get complacent like I did.
The exam itself is relatively straight forward, with a lot of the first 45 questions requiring basic knowledge on Tort, Agency Law, Insolvency Law etc. As long as you take your time it shouldn’t be a problem.
