Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Oci and p/l
- This topic has 4 replies, 2 voices, and was last updated 6 years ago by P2-D2.
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- December 31, 2017 at 5:03 pm #426901
Hi tutor,
As i was exempted from f7 i have little difficulty in p2
Could u plz explain for me what we have to put in these oci / p&l
I dont know the difference between them and what they include thanks
January 1, 2018 at 9:36 pm #426970@anon39 said:
Surprised you don’t know the difference if exempted from a financial reporting paper.Difference is realised & unrealised gains, p+l are where actual realised profit is recorded whereas oci is where unrealised gains such as revaluation on properties, market value in investments, pension schemes go.
Tax is only on realised profit & oci forms part of the reserves.
Once gains are realised, ie property sold the unrealised gains are ‘recycled’ meaning they are transferred from oci to p+l as realised profit/loss.
What about the deferred tax aspect on items recognised through OCI? You’ve not mentioned this in your answer.
Which investments are revalued through OCI? You’ve not specifically mentioned FVTOCI.
Please do not answer any further student questions on this forum, or any other ones.
Thanks
January 2, 2018 at 8:33 pm #427042Hello tutor..
U didnt give me an explanation to my question i look forward to hearing it..
Thanks alot.
January 8, 2018 at 9:27 pm #427924@anon39 said:
I am an ACCA member so pretty sure I’m know what I’m talking about, I know about deferred tax but didn’t want to go into it as my reply wouldn’t have become too long winded, the same for fvtoci.I only just realised I had replied on the ask the tutor forum by mistake so this will not happen again but please do not be so blunt with me as I have a wealth of knowledge that will help students but I will post this on the other forums.
Blunt? I don’t think I was in all honesty. I didn’t doubt your knowledge, I was merely pointing out what you hadn’t mentioned it.
If you look at your reply to the original question then I think you should look at the way you reply to students on the forum yourself. Please don’t express any surprise at what a student does not know, it isn’t helpful to them and could even be deemed patronising.
Thanks
January 8, 2018 at 9:33 pm #427925@zkaay said:
Hello tutor..U didnt give me an explanation to my question i look forward to hearing it..
Thanks alot.
Hi,
If you look at p.7 of the class notes then you will see that from F7 the gains on property revaluation go through OCI and also the gains/losses on FVTOCI financial instruments.
Any additional items that go through OCI will be seen as you progress through the rest of the notes, so keep an eye out for remeasurement components on defined benefit pension schemes (ch.14), gains/losses on a cash flow hedge (ch.16) and gains/losses on the translation of a foreign subsidiary (ch. 8)
Hope this helps and just ask if you get stuck on any other areas, we’re always here to help.
Thanks
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