[seista]

i got the result

[seista]

will any of you be posting your results here ?

[seista]

how long to wait. is there an exact time of publish ?

[seista]

maybe i should just get some sleep so i dont have to wait for the results lol

[seista]

goodluck all. waiting for afm result.

[seista]

My doubt is clear

[seista]

Sorry its not divided by 2 ..its one out of 2 years i got the solution.

[seista]

Please do ignore part 2 of my doubt .. i am not able to edit my post
Thankyou for your time

[seista]

On 1st April 2017, Fino increased the operating capacity of its plant. Due to a lack of liquid funds it was unable to buy the required plant which had a cost of $350,000. On the recommendation of the finance director, Fino entered into an agreement to lease the plant from the manufacturer. The lease required four annual payments in advance of $100,000 each commencing in 1 April 2017. The rate of interest implicit in the lease is 10%. The plant would have a useful life of four years and would be scrapped at the end of this period. The finance director believes the lease to be an operating lease.
What is the amount that should be shown under the non- current liabilities at 30 September 2017 in respect of this plant ?

a) $ 175,000
b) $ 262,500
c) $ 250,000
d) $ 100,000

answer $
Cost 1.4*7 350,000
1.4*7 payment. 100,000
Balance 1.4*7 250,000

Interest to
30.9*7 (250,000*10%*6/12). 12,500
Balance 30.9*7. 262,500

Interest to
1.4*8 (250,000*10%*6/12). 12,500
1.4* 8 payment 100,000
Capital balance due 30.9*8. 175,000

My doubt.
The question asks for non current liabilities at 30 sep 2017.
The lease was entered into at april 2017 and the question asks for non current liabilities at 30 sep 2017 ie 6 months.. but if the question asked for non current liabilities at 1.4.2018.. the answer would still be 175000? Why dont we deduct interest from 1.4.2018 to 30.9.2018?

[seista]

Thanks alot sir
Can u please also explain how to arrive at 290.75 change in fv of calves in the same question..
Why is that we consider onky 3 year old cows as matured and not 2 year olds ?

[seista]

Im sorry to be asking this but do we have to memorise the contents of ias ?for eg in the course notes it is given Ias 10 explains control .
Do we just have to know them or memorise it ?
Sir as u said we dont have to memorise titles but is there any possiblity of having to explain any ias in exam ?

[Author]

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