Forum Replies Created
June 10, 2014 at 5:59 pm #175774
what a paper!
q1) Question one was an p & l consolidation..
Am not sure about the goodwill… it was 15 then reduced by 3 (impairment) to 12 then revalued to “2 above the original value”
what was supposed to be done in this? I reversed the impairment previously realised.. got end goodwill figure of 17
q1b) to do with fair value.. i described the whole ifrs about what it says and explained that IFRS do not actually advovate for the use of fair value and gave an example of ias 38 in which intangible are not to be valued under FV if there have no active market.. hope to get some marks out of 9
q1c) ethics.. why hiding of finance lease is wrong..
q2a) asked about functional currency.. now facts first:-
– subsidiary was not independant
– profits were held by th parent (parents functional currency was dollars)
– the little expense it has was paid in dollars
true its capital was in dinars.. but i chose dollars as its functional currency. Is this right?
q2b to d) had other issues to do with foreign goodwill and foreign loan etc.. hope i got some marks
q3) overall was a proper killer..
a) to do with a property developer.. had some houses which he sells th rights to own to the general public.. I discussed IAS 16 IAS 40 and IAS 2. concluded should be treated as IAS 2 inventory since this is what the co deals with… God knows if I am right..
there was a revenue recognition aspect as well..
I felt really time pressured in this paper
Hope what i did will help me get a 50! Hope WE ALL PASS!
Now p1 tomorrow.. best of luck everyone!!!
February 8, 2014 at 8:04 pm #157050
very glad 🙂
June 6, 2014 at 12:48 pm #174622
I know this is a really late reply! I have come across trouble in this question as well and before asking I searched if it was already asked and found this thread..
The question is in the June 2006 paper