[kanchandhankar]

umaransari wrote:First question:
Group relief in roll over aspect<br>new client<br>permanent establishment vs subsidiary<br>vat group implications

Did you give Atx uk? My 3rd and 4th questions were different than yours.

[kanchandhankar]

Hi all
Anyone sat ATX uk today?
I sat it for 2nd time.
I found exam was okay but very lengthy and I am always pushed for time. 2 questions had to rush.
Hope I get a pass.

[kanchandhankar]

SandraaB wrote:IHT question re sending to sister £1,500- it would have been out of income, but he has taken employment initially for 4 month , so then if job ceases, that would eat into his capital ?

Intial 4 year contract for overseas job

[kanchandhankar]

SandraaB wrote:Did you do UK ATX, i did not have this question

Same I didn’t get question either

[kanchandhankar]

elisuper wrote:Omg i had no idea what to do with the basis periods.. the first period was 20/21 and the other period was 22/23 so I just did 6 Apr 21 – 5 Apr 22?? And deducted the original overlaps?

Same not good with basis periods!

[kanchandhankar]

Vat implications of selling business premises and only asset?
Anyone remember this question?

[kanchandhankar]

Corporation tax refund in respect of ye2017-
I wrote it might be due to selling shares to finance research project? B ltd was small /medium enterprises for research?
What did you guys write?

[kanchandhankar]

This is my last ACCA exam too. First attempt at ATX though. And remote first time too.
I did find it convenient to give remote exams .

Amount to sister I mentioned normal expenditure out of income. Will not be charge to I HT.
Overseas employment was 4 yr contract i mentioned if contract wasn’t extended and she comes back it will temporary move. So she will be liable to UK tax.

Gift with reservation was needed to include in death estate and 40% added to given iht due payable from the estate.

[kanchandhankar]

Hi all
I have given ATX UK .
Anyone else experienced closing down of the exam browser unexpected at around 11AM BST ?

[kanchandhankar]

Passed with 56%. Previous attempt was 46%.
Happy to progress to my last exam Of Advanced Taxation.

[kanchandhankar]

@julieg said:
Did anyone recalculate the NPV and payback for the investment appraisal? The cash flows before tax didn’t include the sales figure so totally changed the NPV and payback period. Just wondering if I did this and possibly didn’t need to. Ran out of time as usual I really struggle with time in these exams.

I didn’t recalculate anything. Didnt have time to.
I mentioned first of all newly joined assistant making investment appraisal and FD didnt even review it before presenting it to CEO.
Discount rate should take into account risk associated with this project.
For 5-10 simply multiplying it to 6 is not the right approach

[kanchandhankar]

@chicc7 said:
from what I understood, I summarised my points in my conclusion but didn’t recommend which option to go for and said TT4U would need to consider costs vs benefits of each option because we weren’t given any financial info to consider profitability.

my answer was on similar points

[kanchandhankar]

@S.tirmizi said:
I chose IOT approach as a viable option as for government, I discuss it uses but it would mean the co. would likely change to new strategy and not retaining old clients. As for 1 example.

Were we needed to recommend one strategy?
I thought we just needed to evaluate?

[kanchandhankar]

@nataly1986 said:
Now I think in question 3 -advise CEO – Balogun and Hope model could have been used. Was quite difficult to make links to the case due too lack of information

It came to my mind during exam but didn’t had much information to put into it.
I answered something like ..
Ceo has power n control to make this change.
Need to communicate to employees so they dont resist the change.
Need to unfreeze the current structure and apply change and refreeze.
Need to change functional structure to matrix
Decide on what’s needed to preserve

[kanchandhankar]

For Q3 I was short of words. Didn’t know what to write and from where . Not enough information given. This was first attempt at SBL. I was not prepared and I was sick. Don’t know what to expect 😀

[kanchandhankar]

For Q1 for slide 1 I just put presentation purpose as notes

[kanchandhankar]

I recommend fulfilling Order E fully and Order Bb partially. I didn’t read anywhere that you can partially fill order on the basis of Boxes. Box A surely has maximum contribution . But q mentioned prioritising order not product.

[kanchandhankar]

I did 3 slides . Each slide for each part of question

[kanchandhankar]

@tinolo1988 said:
I think it is an associate based on the following example:

C holds 45% of the voting rights of D. The other 55% of D is held by two shareholders (each holds 26%), with the remaining 3% held by three other shareholders, each holding 1%.
C does not have power over D, because the two other significant shareholders (i.e., a relatively small number) could easily cooperate to outvote C. The size of C’s holding, and size of that holding relative to other shareholders, would not give it power.

I don’t know if it is correct, but that’s what the thing was in my mind during the exam….

The other shareholders relationship with each other is to consider too. Was there any mention of them relating to each other. I dont remember there was any.

[kanchandhankar]

@mari15 said:
Same result here for goodwill but then it was supposed to be translated in dollars with Sep 20×6 rate

Yes I translated it at sep 20×6 for goodwill just before disposal .
We needed to calculate exch diff as well.
I did translate at dec 2×15 rate and calculated the exch diff.

[kanchandhankar]

@badare said:
Who else found confusing on the dates in question one regarding disposal?
there was rate closing rate on September 20×6 right?
there was no net assets or profits on september 20×6
all dates were either January 20×6 or December 210×5 exept two dates
and the question asked to calculate disposal on september 20×6

how was this possible?
anyone remember the mark allocation on this particular question
I got confused and left it there

I remember reporting date was 31 dec 20×6 but date of disposal of subsidiary was 31 sep 20×6

I assumed goodwill and assets needs to be retranslated before the disposal as sales proceeds was in dollar.

There was some impairment in year ended 20×5

If I remember correctly My goodwill was 42m Dinars and after impairment it was 36 ?
Functional currency q marks was 7 marks
Calculation of goodwill on acq and just before disposal and exch diff was 5 marks
Discuss goodwill calculation and exch diff was 5
Calculation of profit or loss on disposal 3 marks (I remember mine was profit)

[kanchandhankar]

Passed 50% second attempt
I had Failed with 44% at first attempt.

I dont believe marks have been inflated.
I have failed an exam at 49% too.

[kanchandhankar]

@skyisthelimit said:
Estimated lock in rate by calculating unexpired basis and for option I got a perfect hedge of the full amount, hence no need to calculate under/above hedging…? And the way you did it?

I did calculate the receipt using futures and options but unable to compare those with estimated spot price so failed to calculate profit/ loss which will give net receipt so all in all I left it unfinished due to time issue.

[kanchandhankar]

@anhbao0123 said:
The total value of acquiring company’share is 50 mil ( with 0.5$/ share ) so the total share is 100m shares, bro. The remaining of your answer i think were correct.

It was 50 Millions share at 50 cents
Number of shares were given not the value of share.

[kanchandhankar]

@yogeniem23 said:
In the Q3a
I think it should go like:
Value of acquiring co.= 50m shares × 6.5 = $325m
Fcfe of acquiring co.= $325m/8=$40.63m

Value of victim co. = 7(1+0.03)/(0.15-0.03) = $60m (using gordon growth model)
Fcfe of victim=$7m which is given

Value of combined =(40.63+7+5)*8=$421m

Gain in value = $421-(325+60)= 36m

Offer of 5 shares for 1 of victim gives 10m shares to victim.

Share value of new combined company= $421/(50+10) = $7.02

Gain by victim= $7.02*10m shares – $60m = $10.2m (17% gain)

Gain by acquirer=$7.02*50m shares – $325m = $26m (8% gain)

Anyone dome this.
Correct me if i m wrong.
Let me know if anyone has done it this way.

I did the below part same as you and after that messed it up ..

Value of acquiring co.= 50m shares × 6.5 = $325m
Fcfe of acquiring co.= $325m/8=$40.63m

Value of victim co. = 7(1+0.03)/(0.15-0.03) = $60m (using gordon growth model)
Fcfe of victim=$7m which is given

What do you think how much marks will I get for getting above right?

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