*** P2 June 2013 Exam was.. Post your comments ***

the over all exam was ok.
In question-1 the goodwill of park was 80
the goodwill of caller was 398
& impairment of proportionate goodwill was 180. (because we had to calculate notional goodwill (80*100/60).

<cite>@anamariachi said:</cite>
I got the same figures. So it is either the same mistake, either the same good approach 🙂

the impairment was 180.
because we had to calculate notional goodwill first which was (80*100/60)

<cite> @mohsinahmed said:</cite>
the over all exam was ok.
In question-1 the goodwill of park was 80
the goodwill of caller was 398
& impairment of proportionate goodwill was 180. (because we had to calculate notional goodwill (80*100/60).

think we have the same ans but not for impairment though

Hi, Can I use the current lectures available online to begin study for the Dec 2013 exam? For Papers P2, P3, P4 an P7?

the total impairment was 300. from it we only needed parent,s share of goodwill which was (300*60%) = 180
from 180 figure 80 was to be allocated to goodwill. as a result goodwill was became 0.
the remaining 100 was to be written off from PPE.
thats how it should have done.

<cite> @mohsinahmed said:</cite>
No bro you made a mistake.
actual proforma is:
FV of consideration at date of acquisition
+ FV of NCI
– FV of net assets at acquisition date
total goodwill

yes, it is proforma for goodwill measured at FV
But I am talking about partial goodwill method (which was used in part A of question 1)

That is why i am asking –
Will I be given full marks for calculation under Partial method of goodwil if I used the following proforma –
consideration paid
+ plus NCI share of net assets at acqusition date
– minus all net assets of subs at acquision date
I have found that in some answers the following proforma is given for partial method of goodwil

consideration paid
– minus parent share of subs net assets at acquision date
The answer will be the same but I am worring about the the proforma which I used for partial goowill metod

THANK YOU!!!

<cite> @fg2011 said:</cite>
yes, it is proforma for goodwill measured at FV
But I am talking about partial goodwill method (which was used in part A of question 1)

That is why i am asking –
Will I be given full marks for calculation under Partial method of goodwil if I used the following proforma –
consideration paid
+ plus NCI share of net assets at acqusition date
– minus all net assets of subs at acquision date
I have found that in some answers the following proforma is given for partial method of goodwil

consideration paid
– minus parent share of subs net assets at acquision date
The answer will be the same but I am worring about the the proforma which I used for partial goowill metod

THANK YOU!!!

dear bro you have mixed the 2 methods of goodwill.
the method of full goodwill which i have learned form lsbf lectures is following:

Goodwill (controling interest):-
FV of consideration
Less: FV of net assets ( CI% * FV of net assets)
Subtotal

Goodwill ( Non controling interest):-
FV of NCI
Less: FV of net assets ( NCI% * FV of net assets)
Subtotal

Full goodwill ( Goodwill CI + Goodwill NCI)

<cite> @fg2011 said:</cite>
Dear friends could you help me?

Will I be given full marks for calculation under partial method of goodwil if I used the following proforma –

consideration paid
+ plus NCI share of net assets at acqusition date
– minus all net assets of subs at acquision date

I have found that in some answers the following proforma is given for partial method of goodwil
consideration paid
– minus parent share of subs net assets at acquision date

The answer will be the same but I am worring about the the proforma which I used

consideration paid
+ NCI share of net assets at acqusition date (NCI % multiplied by net assets at acqusition date)
– all net assets of subs at acquision date

Please, tell me what do you think?

it’s not wrong. that’s what i did too. because this is the method used in kaplan text books.

the method of full goodwill which i have learned form lsbf lectures is following:
Goodwill (controling interest):-
FV of consideration
Less: FV of net assets ( CI% * FV of net assets)
Subtotal
Goodwill ( Non controling interest):-
FV of NCI
Less: FV of net assets ( NCI% * FV of net assets)
Subtotal
Full goodwill ( Goodwill CI + Goodwill NCI)

hi i forgot to write the paper version will my paper be mark or will it go against me? Thanks

<cite> @mohsinahmed said:</cite>
the partial goodwill method is;-

FV of consideration
Add: FV of NCI( FV of Net Assets * NCI%)
Less: FV of Net Assets
Partial Goodwill

you can reconfirm it from any book.

proportional based goodwill (partial goodwill)
consideration paid
ADD:FV of NET ASSET owned by NCI(FV of Net asset at acquisition X NIC %)
LESS: FV of net assets of subsidiary at Acqusition
partial good will

this is equal to what he wrote above that is
consideration paid
+ plus NCI share of net assets at acqusition date
– minus all net assets of subs at acquision date
—————————————————————————————————————–
full Goodwill
Consideration paid
ADD: FV of NCI (given in the question)
less:FV of net assets of subsidiary at Acqusition
full goodwill
parent : goodwill X Parent %
NCI: goodwill X NCI %
————————————————————————————————————————-

and your method also same as to what i wrote above. just the steps are different. i did just as you did in F7 when i went to classes. but p2 i self studied from kaplan book. and i addopted the above kaplan method for p2 .. but i know both methods are same but just different way of doing it

the only thing we need to do is to pray and keep fingers cross