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Section A: I found section A very theory heavy. Something I am never quite comfortable with especially that the questions and answers are often unclear.
Section B: Was generally ok for me, I managed to match most of my answers to the suggested multiple choices but I wouldn’t say I am 100% confident
Section C: Absolute disaster.
NPV question was ok however when calculating the PV of working capital investment I forgot it was going to be released in the final year! Silly mistake really as I knew it had to be done. I might have used the wrong discount rate on that too as I used 13% WACC.
My reasoning for using WACC in the first part of NPV was that the project was an extension to existing business therefore the financial and business risk remained unchanged.
Profitability Index question was odd. I answered by saying what PI was and that it can be used for divisible projects.The ratio question was very confusing. I wrote few sentences which I might score marks for but I realised later on that the ratios given at the bottom of the scenario were for the industry and not present ratios and I was referring to them as present ratios instead. I really hope that won’t take a lot of marks away. I just went into autopilot as I was running out of time…
Oh well, good luck with the results everyone x
@sapphire16 said:
Yes I got these 3! I also think the 3rd one was called Labrador?I had to totally rush that last question but managed to put in 3 ratios and a few audit risks but not all.
Which ratios did you use? Also do you remember any of the deficiencies/recommendations that you put for Zulu?
Looks like a had the same set of questions in section B:
Deficiencies for Zulu:
Purchase orders not sequentially numbered, copy of purchase order not retained by purchasing department, stock count performed using manual stock sheets, poor stock cut off, no segregation of duties in the warehouse, purchase invoices for stock only processed once a month, stock not checked againts original order while receipted by warehouse staff.
That’s all I can remember.
With regards to the exam overall, totally agree it was a disaster!
I didn’t study much for my first try and got 44 marks, I studied quite a lot this time (attempted 90% of questions from the exam kit) and I am well anxious about my results in January! not fair 🙁
