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Hello Mike
Is it safe for not knowing a bit of this method? Was there any question that asked for Direct Method ? I don’t have any old pass year question
Is it safe to ignore it?
i dont think you should, direct method is too tedious in real life, i dont think the examiner would want to test students on the Direct method, however the indirect method is sure to come out Dec 2015 🙂 my bet :0
Thank you Francois for your input, ill-advised though it may be!
Teeboyz, the only time that direct method has been asked at either F7 or P2 level was a wordy 5 mark question …. “If benchmark is the direct method, why do most companies use the indirect method?”
It is HUGELY IMPROBABLE that you’re going to face a direct method cash flow question
As for the chances of a cash flow question in the exam next week …… it’s a possibility but I can’t see it as a probability
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