FMACCA FM exam was – September 2021 Exam – Instant Poll and comments

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Mcqs tricky as always -.-

Did anyone get a lease vs borrowing question in part c. I found that tricky

MCQS I wonder what examiner thinks before making them ??

I got that question. Yes it was tricky. I chose the lease option. Not sure if it is correct

I had Boumal Model and Miller Orr Model for the first time in Section B. And yeah I was surprised to see them!!!

I did and I did everything wrong.....what was I thinking applying tax on interest, emissions and rentals .......why did I mess it up so bad. Exam pressure.....as soon as I was out of the exam I realised my mistakes ......I did get lease as favourable option though after all the mess.

I had the boumal and miller section b too. Surprised too. Alot of questions on the stock market for the theory questions. A bit defeated. Did anyone have the letter of issuance or something i dont think i ever saw that before?

Mcqs were quiet tricky… Though Section C was easy. Got investment appraisal question with ROCE and Working Capital Question with receivable and factor management..!!

Anyone got MV from WACC in section C?

Did anyone have the Purchase Vs Lease question? I almost missed the "Lessor pays for the Emissions tax"

I didnt include tax for the lease one did u. It was soo hard. Im sure it was wrong

MCQ's very tricky. Lots of uncommon questions on foreign exchange. No annuity and perpetuity questions. Questions C's were nice - One WACC question and one lease or buy

And for the wacc one I think mines was around 10%. Does anyone remember theres

For the WACC....I df get 10 percent as well . But why was I reading it again and again that it's asking to find MV based on WACC and not the other way......still confused

For the WACC....I df get 10 percent as well . But why was I reading it again and again that it's asking to find MV based on WACC and not the other way......still confused.... Or read it wrong multiple times. Can some one confirm what the question asked?

For the 6 mark theory wacc question and five growth question I had no idea what to write For the lease 4 marks question I said its good to choose leasing because they don't have to pay emissions tax and with borrowing there gearing would go higher cuz if interest but leasing won't. Doesn't sound right but I was soo blank

I got it wrong it seems but it seems we should have had Tax saving from WDAs...

I found section c ok actually- had the NPV question as per practice, for 12 marks (think there was not that marks as in the past though) - had one about suggesting project appraisals in times of capital rationing- which I admittedly struggled a bit- didn't expect to have it as a c question - Otherwise the paper was loaded with CAPM stuff which I think will pull my mark down-- not so confident. Oh and some hairy equity questions - The FX stuff I am generally ok with but the terminology in the question startled me a bit, but I thought the questions were a bit unclear maybe even a bit mean- I learnt 'call and put' in the studies but they had 'offer and bid' - never comes across this in my studying. Then another one is for the hedging option they were using '3v6' and 3v9' which now I have googled I know what that is. - was this included in other study texts? Multiple choice was pretty grizzly I think. A lot of very potential similar answers

I wrote the same for the 2 reasons. I was blank too but hoping to pick up even half of the marks here

Did you add back the research and development cost? $50,000 per year?

Added back the 50,000 per year and did ca in full in year 1 for the machine (600,000). The npv was a huge negative so not sure how it went, it think it is only 5 marks for that part?

In C section, question did not ask for company market value calculation, it asked for calculation of Market value WACC. WACC can be calculated either based on book values or market values. So, simple WACC calculation based on MV would be sufficient.

it was 6 mark. The theory questions was hard. first time seen the question about creditors hierarchy

Oh yeah what did u answer for the creditors hierarchy. I got confused cuz it said descending order. I chose the first option cant remember what the order was

For hierarchy, I believe we had to sort from most prioritized to the least: Secured debt holders Unsecured debt holders Preference shareholders Ordinary shareholders

I wrote a completely irrelevant story on the importance of creditors for a business. did not know how to answer this.

There was a question on cost of discount in Sec A. Did you get same and what was your answer? I spent almost 15mins on this one.

Do you remember which option was that?

got around 200k negative, it was mentioned in the question that depreciation was already included in given figures.