F2 Exam July

Hi all,

I did my F2 exam on Friday and passed it with 64%. Thanks to Opentuition and Kaplan texts, but mostly due to BPP Exam Kit. I
I really suggest using BPP exam kit only because most of the questions almost 60% of the paper was based on Variances.
Please please learn the formulae for :
Variable Overhead Efficiency Variance,
Sales Volume contribution / profitVariance,
Production Volume variance, Labour {Capacity ratio, efficiency variance}

Also learn how to work them out in reverse.
This was actual exam question: if sales volume contribution variance was given as $5000 Adverse, then
Actual sales were 5000, units and the standard contribution was 60$, work out the actual contribution for the period.

More exam questions relating to variance, if anyone would like to practice and write down the answers here it would be a great help to everyone:
Calculate the Labour Production volume ratio using the following figures:
Production budgeted std units 4800
Actual production std units 6000
Actual hours worked 75000
Standard Labour hours per unit 20

Calculate Labour Capacity Ratio and Labour efficiency ratio
Budgeted Output 20000 units Budgeted Labour hour 6000 hours
Actual Output 22000 units Actual Labour hours 6200 hours

Work out Sales Volume Profit Variance
Budgeted Sales units 4000 Actual Sales units 4200
Budgeted Selling Price per unit $30 Actual Selling price/unit $28
Absorption Cost per unit $22 Actual Absorption Cost per unit $21

Calculate Total Contribution
Prime Cost $19.20
Variable Cost $4.9 Fixed Cost $6.7
Actual Selling price $35 Actual no of units produced and sold 6000 units ans 6100 units respectively.

Other questions:
Rate of Return required from a division 10%
Total Assets $120000
Calculate the interest on capital from Residual Income.

Budgeted profit under absorption costing = $210000
Budgeted Production = 30000 units
Budgeted Sales = 35000 units
Budgeted Fixed Overhead costs = $105000
Calculate Budgeted profit under marginal Costing.
Hint : I used this formula from BPP [ Difference in Profit = Difference in Inventory Level X Fixed Overhead Absorption Rate]

Calculate standard cost per unit
Direct Materials 36kg / 100 units @ 9.5$/kg
Direct Labour standard cost for 5 units = $11.05/hr direct labour hour rate with adjustment for 85% efficiency at direct labour hour rate.

Investment of 100000$ upto 2 years
Calculate how much less interest would be paid if compound interest were to be used using additional information below:
Simple interest at 5% p.a
Compound interest @ 4%p.a

That’s all that I can make out. Sorry if any of the questions lack any detail I was writing really fast Good Luck