FR*** F7 December 2013 Exam was.. Post your comments ***

practiced almost all past questions, went to exam with expectation of 80%. messed up in question no. 1 and then started to panicking. done all adjustments in qn 2 but did not finish final sfp and is. cashflow did not balanced either. wrote something about faithful representation, substance applied in factoring question. very time pressurizing exam. dnt think i will even get 40. all my hard work for 4 months went in to vain. i put incredibly huge effort as i had poor financial accounting background. my lecturer was telling me at exam center that there is no reason to fail student like me. extremly frustrated but i can not see the point of giving up acca at this point as i have already passed other 8 fundamental papers and . sorry for the cry here! gud luck to me in p3.

The cash flow from operating activity was 2200 from investing activity (2200) and from financing activity (600) balanced to (600), however the net increase was (500) and than cash at the beginning i think 200 and at year end (300) I think i remember the figure!!! I think as an exam was very time pressurise!!! My inventory in stock were 600, i think i read some other comment saying 600 too. Lets hope for the best

Q3 cash balance b/f 300, c/f (200) therefore net cash flow for the year should be (500). I was having problem tracking 5000 expense in the year and eventually found it in dividend paid (1300 revaluation reserve transferred to retained earnings and should be accounted for while doing dividend paid calculation) and purchase of TNCA (by doing simple calculation on last year figure and current year figure) during the year. Purchase of TNCA during the year was 5100(3700+1400(investment property)).

Hey Unforunately self-insurance is not a valid provision. As there is no present obligation for the company to pay anything till an event actually occurs. I dont think you will lose too many marks though.

@jaya1990: if you know you couldn't have put anymore work into it then i am sure you'll pass :)

goodluck to you @jaya1990 you wud pass

yes, very time pressured

i got $12250 for gain on bargain purchase, 600 on PUP. Got balance for Q1 Q2 and Q3 but i'm not quite sure whether i got i right or wrong. (balance doesnt mean you're always right) how did you guys treat the $400 insurance proovision. i didn't make any adjustment as if i do so, my assets and liabilities did not balance, (although i know i should adjust for it, but i can't think what adjustment should i do).

This paper was very hard, the consolidation I revised, I thought I would handle No. 1. but the way it was set, the deferred consideration given in a tricky way. Then as for Qn. 5, I didn't know where to start, yet I had wanted to start with 4 & 5! May God help me out!!

the exam was not hard, the only problem was the time

i panicked at one point when i could not find the negative goodwill and it messed up my entire paper could not concentrate after that honestly if i clear this paper it will be an act of God, the only question i answered well was on the cashflow, the rest was a mess! my time management was beyond bad i am so disappointed in myself because i could have easily cleared the paper if i had a minute to clam down

I agree it was not the easiest paper ever. Just a general question - has anyone ever forgot to complete the part on the front of the answer book where you indicate the number of questions attempted, i.e. 1, 2, 3 etc? If so, should I worry that the paper might not be marked? Thanks.

F7 exams was hard Q1 was too tricky so is Q2 which had a lot adjust alot of adjustments. I expected Q1 with a subsidiary but not with a negative goodwill and loss in P & L. and timw was too short.

you know, it is upsetting when you have revised and practised as hard as you could but yet it was not good enough to pass the exam. Q1- i got a positive goodwill at first. and I noted that it was supposed to be a bargain purchase with negative goodwill. so I re-looked into my S's pre-acq and I realised! though i got a negative goodwill in the end but i think too much time was wasted. Q2- the insurance, 25% of revaluation surplus to be charged to deferred tax really killed me. my Q2 was in a mess Q3- i didnt have time to really look into Q3 because i've spent too much time in Q1 and Q2. Q4 - completed Q4. Q5 - only completed part 1. overall imo i think the paper is alot harder compared to previous sittings. too many SFP and SPL to prepare + SOCF!

Nci inP/L is 825

I answer only cash flow well. And reach the ending balance of cash. In Q1 I didnt add the negative goodwill to group retained earning, Revaluation of land and building could both of them as deferred tax ?

This time paper was not fair for f7 student compare to last exam in June. Very tricky 4 and 5 questions don't know how to start and. I will fail only attempted 80 marks :-(

The goodwill was negative and hence should be treated as bargain purchase and added in full to Consolidated retained earnings, Right? :D

Did any one get PUP of 600? I managed to get cash flow right, the cash flow movement in year was 500 negative.

i forgot so many things like nci value in consol sofp the construction contract in sofp in q2 i failed

it was to time pressured...

the best is to wait for feb 2014.

You did right.....there was a negative good will and should directly charged to Income statement. so I think if you calculated goodwill rightly then you should not loose your mark there.....good luck!

Q5 was a disaster. overall the exam was difficult this time. Can't do all questions in 3 hours with so many details.

Yes, PUP was 600. Weird really, looking back over previous papers PUP is 600 in a few

total negative goodwill was 1700. 300 for subsidary and 1400 was for NCI

@accawasim not 100% sure but i think you don't divide negative goodwill between parent and subsidiary (all goes to RE of parent)

Hold on, Q5) it was classified as Operating lease for 12 years prior so must have been treated as an operating lease for every prior period. It was clear that the solution was to Capitalise both the 7000 and the 5000, calculate the dep'n to date... hit the SPL with the depreciation for the period and put the CV on the SPL. The 5000 also created a provision for restoration which needed to be unwound on an annual basis. IF the question wanted you to re-cassify it as a Finance Lease, it would have provided the information to enable you to do so.... Surely? As in the FV of the building, the finance costs, the lease payments??? People over thought this in my opinion.

How did you calculate the negative goodwill to be -1700

Okay, i think it was unfair to ask for the P&L & SOFP in both qn 1 & 2..where d hell is d time to do all these statements with all d adjustments? Then you have Q4 & 5 that were fairly easy but needed time to read and understand wts required and lay out the answers in a more logical way..it took me about 10Minutes looking for what is required in each of these last 2 qtns...overall i think it was a fair paper for 4 HRS..not 3hrs...