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June 2011 Rose Foreign Sub

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › June 2011 Rose Foreign Sub

  • This topic has 2 replies, 3 voices, and was last updated 11 years ago by AvatarMikeLittle.
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  • Author
    Posts
  • June 9, 2014 at 6:50 pm #175519
    AvatarAvish
    Member
    • Topics: 7
    • Replies: 6
    • ☆

    Hi,

    Could anyone please tell me how did the examiner obtained the:

    cost of investment in Stem of 276 Dinars in the goodwill calculation.

    Thank you very much for anyone instant response

    June 10, 2014 at 12:06 am #175584
    AvatarAnonymous
    Inactive
    • Topics: 0
    • Replies: 6
    • ☆

    Look at the question Rose’s investment in Stem is $46 and the exchange rate is dinars 6 for 1$. Therefore cost of investment in stem is 46*6=276 dinars

    June 10, 2014 at 6:03 am #175603
    AvatarMikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23368
    • ☆☆☆☆☆

    Hmmm! 46 * 6. That seems altogether too simple!

    But nevertheless, that’s how the examiner arrived at his figure of $276

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