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When I lasted email ACCA to ask about my case, I haven’t received auto response indicating a number of days in which ACCA would aim to respond. How long should I wait before I would ask ACCA again?

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So to score full mark for KPI I should devise the KPI that capture outputs in this question?

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Actually I quote from APM BPP workbook. The extracts from this book are as followed: “Managers have no incentive to reduce environment-related costs if they are not even aware of them.EMA allows an organisation to identify environment-related costs and take steps to control them. Such costs are often categorised into conventional costs, contingent costs and reputation costs.”. I want to ask why hidden cost are not included in environment-related costs?

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can you state more information about question 4. I have the same set of questions as you from question number 1 to 3 but fore question 4, i am unsure and I cannot remember.?

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I have 3 question like @addieboo123 but question 4 is the climate change and impairment and provision but I can not remember clearly. Anyone can help me state the content of this question @hotteto?

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you mean that Land and buildings held under operating lease are investment properties; meanwhile Plants held under operating lease etc are PPE?

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I wonder why 27 is added to arrive at 298 ( free cash flow)? It is contradictory with the information given in the scenario

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I want to ask why non-current liabilities of adjusted SOFP at 31 may 20X3 do not incease by $2m due to contingent consideration? May be some errors in this amended problem?

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I forget to give another information that on 31May 20X7, the share price of leigh is $3, therefore 1.3m share is equivalent to current value of $3.9m

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What I ask here is the meaning of the sentence: “On the other hand, if changes in the fair value attributable to the credit risk of the liability create or enlarge an accounting mismatch in profit or loss, then all fair value movements are recognised in profit or loss”. Whether : “all fair value movements ” means “this liability together with some other assets or liabilities on a fair value basis”?

Taking account into the scenario, does this sentence mean that :“If an entity manages and evaluates the performance of a particular liability together with some other assets or liabilities on a fair value basis, recognizing changes in fair value due to credit risk in OCI could distort the entity’s financial performance. In such cases, recognizing all fair value changes in P/L provides a more accurate reflection of the entity’s financial performance” ?

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I don’t understand your answer. In this case, there is 2 options, 1.5m share means potentially $6m in 6 months. Mean while a cash payment in three months’ time equivalent to the market value of 1.3 million shares means only $ 3.9m in 3 months. So why the model answer only refer to the case the case of cash settlement in three months, therefore, there is a liability of $3.9m and $0.1m of equity, not the case 1.5m shares. How to choose between 2 options?

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“DT on lease
Lease payment is used to calculate taxable income. Depreciation is not.
DT = tax rate x (CA of R of U asset minus CA of lease liability)”
I know that formula, but I do not know how you can derive that formula: “DT = tax rate x (CA of R of U asset minus CA of lease liability)”. Can you help me to explain that?

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part (2) of the question give the scenario as followed: Lupin is leasing plant over a five-year period. A right-of-use asset was recorded at the present value of future lease payments of $12 million at the commencement of the lease which was 1 November 20Xl k The right-of-use asset is depreciated on a straight-line basis over the five years. The annual lease payments are $3 million payable in arrears on 31 October and the effective interest rate is 8% per annum. The directors have not leased an asset before and are unsure as to the treatment of leases for deferred taxation. The company can claim a tax deduction for the annual lease payments. (You should assume that the IAS 12 recognition exemption for assets and liabilities does not apply in this situation.)

I want to ask: How asset (ROU asset) and lease liability related to the lease can be offset to calculate temporary difference for tax purpose when depreciation and lease payment are both deducted to calcualte taxble income? Please advise me how to calculate taxable profit in this case?

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In the answer to part b (ii): “Using exhibit 2, discuss why Stem Co’s investment in EmphasisCo should be classified as a joint venture and how Stem Co should account for its interest at 1 January 20X7 in accordance with IAS28 Investments in Associates and Joint Ventures.”, I see that the model answer firstly gives definition for a joint venture, and then the way of accounting for the investment under IAS 28, and then applies to the situation of Stem Co’s investment in EmphasisCo.
I want to ask whether this is the standard way to present an answer in SBR: firstly give the theories related to the question and then apply to the scenario?

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i have some more questions about the problems (toobasco co sep 2018):
1. The following detail included in the contents of problem: “During the year to 31 August 20X8, Toobasco made exceptional contributions to the pensionmplan assets of $33 million but the statement of cash flows”
Why in adjustment of net cash generated from operating activities for errors in the statement, why there is no deduction for contribution to pension assets plan?
2. Why the profit from associate of $4m was deducted to calculate initial cash generated from operating activites in problem, but $4m is still deducted to calculate the net cash generated from operating activities for errors in the statement?
3. Why income taxes paid of $21m is not deducted to calculate the net cash generated from operating activities for errors in the statement?

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I want to ask more about this question. In part c) Explain any ethical issues which may arise for the managing director and the accountant from each of the scenarios. (7 marks) I see that the model answer include advices for the accountant in this scenario. :” The accountant must not be influenced by the behaviour of the managing director and should produce financial statements which are transparent and free from bias. Instead, the managing director should be reminded of their ethical responsibilities. The accountant may need to consider professional advice should the managing director refuse to correct the financial statements” despite the fact that the requirement is only ” Explain any ethical issues …”. So I want to ask: Is it compulsory to include these advices in the answer to maximum score? Or it is only included in model answer for education purpose?

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I remember problem 2 which ask to calculate the price for acquisition of a company with SPAC. SPAC will buy 60% of the company. In this case I donot remember are there debts attached to that company when megers with the SPAC. Anyone can help me?

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“It means that the 60m (if I recall) of the investment was to be deducted as TAD in the first year, and not over the x years of the project. The impact was that taxable profit was heavily negative in the first year, but this loss could be carried forward in the following years, and so would reduce taxable profit in those year. Cumulative taxable profit over the life of the project would be the same as with, say, straight-line depreciation over the life of the project, but timing of those profits would be different, and so would the discounted value of each year’s cash flows.”
I know there is some chance that I have full score if i understand differently the exihibit content, for example if inflation from year 2 but i put the inflation from year 1. In this case due to time pressure, I put 100% of the depreciation in year 4. Is there any chance that I can score fully?

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I remember question 2, to calculate NPV, a company can claim 100% tax allowable depreciation of non-current assets. But I donot understand it. What does it mean that the 100% of depreciation in the first year of project?. I remember that the relisable value is 5m

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what i really want to ask is that how Lahla Co can SIMULTANEOUSLY raise equity finance and also enable Kawa Co’s shareholders to trade their shares through a partial listing? Because I think that Lahla Co can firstly enable Kawa Co’s shareholders to trade their shares through a partial listing . After that, Lahla Co will issue equity to raise finance. But Lahla Co cannot SIMULTANEOUSLY do these 2 things

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I have one more question. For this problem 1 (Lirio Co) March/June 2016 from the following link:
https://www.accaglobal.com/content/dam/ACCA_Global/Students/prof/p4/Exam%20docs/mj16_hybrid_p4_q.pdf
For answer to part b(ii) Advises Lirio Co on, and recommends, an appropriate hedging strategy for the Euro (€) receipt it is due to receive in three months’ time from the sale of the equity investment:
If i present a paragraph of recommendation in spreadsheet in answer to this part for convenience as it follows the calculation in the spreadsheet , will this answer will be marked? Will my professional marks for this question be reduced?

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in the answer for part b) of this problem: eview co (sep/dec 2017) states that: “The lower WACC will be brought about by a fall in the cost of equity as well as the fall in the cost of debt”. But in this problem, the sale of ev clubs will make Ve/(Ve+Vd) higher and Vd/(Vd+Ve) lower than before, and the cost of equity is more expensive than the cost of debt. So why WACC will be lower than before in this problem?

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I have a question for this problems. For this question, i see that in the answer, to calculate profit from sale of children’s shoe division, the total non-current & current assets, but the liabilities of the division are not referred to, is deducted from NPV of free cash flow . I want to ask, why the sale of a division of a company, only assets not liabilities of the division are taken as cost of that division? Is it usually assumed in AFM exam that if profit from sale of a division of a company is asked, is it equal to the total value of assets of the division subtracted from the present value of free cash flow (or other way of valuation of that division)?

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Additionally, I want to ask why Total value of project = NPV without option to delay+ The call option value of the option to delay? (that is 9.53m-2.98m=6.55m)

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Moreover, I want to ask why Total value of project = NPV without option to delay+ The call option value of the option to delay? (that is 9.53m-2.98m=6.55m)

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