ACCA Paper P1 Mnemonics Lounge

thnk you very much

GRAY OWEN AND ADAMS 7 POSITIONS:
PEST STD:

Pristined capitalist
Expedient
Social Contractor
The Socialist

Social Ecologist
The Radical Feminist
Deep green

😉

Roles of the internal audit function (section ‘audit and compliance’)
FAIR Central Europe

F: Financial / operating info: examine
A: Accounting / IC systems: review
I: Investigations: Fraud
R: Risks – identification
C: Compliance issues
E: Economy/ efficiency/ effectiveness

Hope this helps.

Principles of ERM (Enterprise Risk Management – topic: risk management)
“BREACH”

Business strategy context
Range of risks/ consider/ broad
Everyone is responsible
Awareness/ risk
Culture/ risk-aware
Holistic approach

@mikelittle said:
I thought the idea of a mnemonic was that it was memorable.PAN AQWA OIC<br />
hardly fits the bill!

Ha ha yes we will need another mnemonic to remember that!! PAN AQWA OIC?????? :)))

Gray, Owen and Adams

– Pristine Capitalist, Expedients, Social Contract, Social Ecologists, Socialists, Radical Feminists, Deep Ecologists.
= Politically Correct Ethan Scores Corners So Ethical Strikers Run From Defenders Everyday

AAA Model

– Facts, Ethical Issues, Norms, Alternatives, Best (action), Consequences, Decision
= Fly English Into North America Bringing California Down

Tucker’s 5 Question Model
– Profitable, Legal, Fair, Right, Sustainable
= Portugal’s Luis Figo Rates Spain

Categories of Risk
– Credit, Reputation, Strategic, Financial, Business, Market, Operational, Fiscal, Environmental, Entrepreneurial, Legal, Technology, Business Probity, Derivatives
= Cristiano Ronaldo signs for Bayern Munich on friday evening ending long term BP deal

Yeah I do mine a bit differently with memorable sentences instead of acronyms

Section: controlling risk
Purpose of risk auditing
FOAM

F: Fresh pair of eyes
O: Obligatory (SOX)
A: Assistance in monitoring (overall risk)
M: Make recommendations (amend RMS – Risk Management System)

Tucker’s 5 Q model
Profitable , legal , fair , right , sustainable

People Like French Redwine Seriously

Fundamental Ethical Principles = Dr PICCO

Professional behavior
Integrity
Competence
Confidentiality
Objectivity

Corporate Governance Approaches
ICGN Principles: “BRADI RARE”

B: Board
R: Responsibilities & Rights (of shareholders)
A: Audit (must be independent)
D: Disclosure
I: Implementation (of CG)

R: Relationship (between company and stakeholders
A: Awareness (social)
R: Remuneration (policies)
E: Ethics (business)

Key Concepts of CG (JAR OF PIRI IS)
Judgment
Accountability
Responsibility
Openness
Fairness
Probity
Integrity
Reputation
Independence
Innovation
Scepticism

Role of Board (LEADERSHIPS)

Leadership
Ensure resources are managed
Appoints Directors
Decide on Strategy
Evaluates Performance
Regular Re-Election
Set Cultures, Values and Ethics
Hold Regular meetings
Internal Control and Risk Management Systems
Public Accountability
Schedule of Matters

Role of Chairman (CHAIRMEN)

Company face to investors
Hold CEO to account
AGM Chair
Induction and CPD
Run board meetings
Manage Appraisals
Ensure Effective Board
Nomination Committee

Role of CEO (MAD SCAM)

Manage company resources
Accountable for Performance
Develop and Implement Strategy
Selection of Executives
Company face to Stakeholders
Adequate Internal Control Systems
Monitoring Results

Institute Investors Intervention (SOS RAINS)

Strategy
Operational Performance
Succession Planning
Remuneration policy
Acquisition and Disposal
Internal Control Failures
Non-Compliance with Laws and Codes
Social Responsibility

Internal Controls Objectives (ASPIE)
Accurate Information
Safeguard Assets
Prevent and Detect Fraud
Internal Policies followed
Efficient conduct of business

Components of Internal Control Systems (CRIME)

Control Activities
Risk Assessment
Information and Communication
Monitoring
Control Environment

AAA MODEL (FEN ABCD)

Fact
Ethics (Independence, Obedience, Confidentiality)
Norms, Principle and Values (Objectivity, Governance, Independence, Transparency)
Alternatives
Best Action
Consequences
Decision
Contents of an Integrated Report (POP ORGS)
Presentation basis (how report prepared, explain KPIs)
Overview of company (Basics)
Performance ( 6 Capitals – KPIs)
Outlook (Future Opportunities + Challenges)
Risks
Governance
Strategy (Link to Outlook + risks, how value created in future)

Role Of the BOard

S: set Strategic aims of the company
E: provide Entrepreneurial leadership
R: Review management performance
V: set Values and standards of the company
E: Ensure that company has necessary financial and human resources
C: Corporate culture