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John Moffat.
John Moffat.-
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Anonymous
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Hi Sir, is it possible for Section C questions to give us a forecast SOFP/SOPL and ask us to analyse financing methods for a proposed expansion? It seems like it would take an awfully long time to do considering how limited time is.
John Moffat
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Only to a very limited extent in Paper FM. It is in Paper AFM that you can be asked full questions on this.
Anonymous
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When you say to a limited extent will it be asked to an extent like the technical article on it?
John Moffat
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No. You should understand the discussion points, but would not be expected to list all of them in an answer to an exam question, Neither would you be expected to prepare full statements as in the worked example in the article. By limited extent, you could (for example) be asked to calculate the effect on the EPS of different methods of financing.
The article is not written by the examiner and is pulling together a lot of things in one example.
You will have plenty of past exam questions in your Revision Kit to practice that will show you the extent to which this sort of thing is examined.
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