*** March 2024 ACCA SBR exam – Instant Poll and comments ***

I’d have rather had a step acquisition or disposal for Q1, Definitely lost marks on the last part of that.
The rest wasn’t terrible, if I pass will be close!

First question I think was nice, fx exchange differences, SOFP, goodwill and all that jazz. The first part of the crowdfunding Q was pretty horrible. Spewed some facts about revenue and obligations and also put something about a liability for the drones to be provided.
Q3 I think was impairment of CGU and talking about VIU which was pretty ok, luckily I had looked at a question about calculation of VIU on the weekend, Q4 I think was on disclosures and conceptual framework a lot of 3 markers. I’d say it was ok could be a mark on the borderline of 50% tbh

Got the question about Foreign exchange and crowdfunding too. Overall, this exam was by far harder than any mocks and previous exams i’ve seen. An aspect of loans and revenue recognition was hidden in the crowdfunding question but completely threw me off so took quite a bit of time to answer. The section B questions again were difficult to understand what part of the syallbus was being tested especially the one about CGU’s. Couldn’t attempt much of the foreign exchange question as the different bits of info really threw me off. Can only pray for a nice marker and a 50% pass

Oh yeah the directors deciding not to recognise the loan and preference shares. And it was like an 8 marker. Feel like I missed something major in that too.

I put something like the loan should be included in none current assets as 16 months and finance income should be recognised at the effective rate and discounted to present value as longer than 1 year? I put about the pref shares they should be included as non current liabilities as longer than 12 months and that if they are omitted then the gearing of the company will be lower than it actually should be (long term liabilitys/equity) giving investors misinformation which can lead to bad financial decision making. Honestly some of the questions were so hard and some i havent seen practiced! The ethics question was pretty strange!

I think the group and ethics question was okay. Bit random that the group was based on a foreign subsidiary as that hasn’t come up too much in past questions. For the last part of groups, I argued that it could no longer be classed as a subsidiary as control had been lost. Likewise, crowdfunding was fine. I argued that the treatment was based on judgment. It could be treated as revenue/cost of sales if drone sales were a part of operations. However, ultimately, I said it should go straight to equity and a provision should be recognised as the drone sale operation was still in development. I also said that the loan from Mr Pain was a related party transaction and should be held as a current liability as it was repayable on demand. Section B questions, I found harder to answer and ended up leaving a few out, particularly the value in use/discounting question as well as the long question where you needed to critically asses if the judgment/estimates were useful. The recognition (or lack of), I argued was against IFRS 9 and outlined the measurement criteria. I also said it was against the Conceptual Framework and IAS 1. I mentioned that the true and fair override did not apply and it also did not achieve fair presentation. For the IFRS 3 business acquisition that required judgement, I argued that the IAS 38 separability criterion needed judgement, the valuation of contingent consideration (since it’s based on a contingent probability) and the valuation of assets in accordance with FV as ultimately depends on the highest and best use and depends what the directors think market participants would do. I think I did enough to pass. I hope!

Cbeardwell, with ifrs 5,similarly, however I said that after the letter it will still not be classified for sale as sale was to be completed at 1 Jan, so just over 12m from year end, so non adjusting.

What I got was totally different set of questions from others.

Q1: SOFP – Contingent Consideration, Revenue Recognition, Contingent Liability.
Q2: Ethics – 10+2m, Other one – 8m
Q3: Distinction between Income, Gains and Revenue – 3m,
Revenue Recognition – 20m
Q4: Intangible Assets Measurement – 25m

Lol. Do you remember anything about Q4?

I remember now. Actually last 8 Marks about how IPR will be measured is easy. You should have written about Level 1, Level 2 and Level 3 measurements and having to say how all these measurements would be hard to do because it is an Intangible Asset

Perhaps I wasn’t as far off as I thought, as I wrote pretty much all of the above! The consignment question on Q3 got a firm “skip” mind!

In December sitting contingency exams were different not the same as in actual sitting for SBR. BTW how you can book contingency week exam if always the first choice is the actual week for all exams, the contingency dates are not even available for booking.