AAPaper F8 Dec 2010 exam was

What about audit risk question in last part of question 3???????
What were we expected to talk about... Think i've messed uo this part!
Bt the ratio calculation was ok but it was just 5 marks! :(

This is the mark allocation I remember.. can you help me complete it?

Question 1
Significant deficiencies 5
Management Letter (format) 2
Management Letter (Recs) 12
Trade Payables - Subst 5
IA Functions - besides inv. Count 6

Question 2 True and Fair 2
Preconditions of eng 3
Status of ISA 5

Question 3 ? 5
Ratios 5
Risks 10

Question 4 Knowledge 2
Internal Audit Recc 12
V, C, R of PPE - Procedures 6

Question 5 Accounting Estimates 5
Receivable / Warranty
- Representation 4
- Audit Procedures 6
- Effect on reporting 5

100

Shahaan1. I wouldnt worry about examiner now. Lets hope the markers had a good nite sleep b4 they touch the scripts. I comedown to the mood they are in now. Anyone want to bet on the pass rate. Any bookie in the house

Think it was like that... Was too busy reading and understanding questions, didnt have time to memorise mark allocation! lol :)

sbo7. your name shouldnt matter to the marker, "they claim" the markers dont see your name so should penalise for letter or two in the wrong place or missing. It could be how u spell your name. The format for the report is was important for the extra 2marks.

Best of luck to you Namish. Surely you have passed.

Was the paper baance and fair?

keep calculating thru my head what i think i got

gonna have to be very lucky to pass :(

Wishing same 4 you Platinumkp...
Lets cross fingers & wait till feb 2011!

I agree, paper didn't really follow past papers and exam type questions. Completed the exam kits and have revised since half way through the course and still two or three parts of questions mentioned things I had not heard of before. Not very impressed as thought I was well prepared. A bit of a sly paper I thought.

I think the precondition thing is one of the new topics that my professor taught during the lecture. It's something like checking if the reporting framework used is acceptable, management acknowledges their responsbility in preparing the F/S, providing info to auditor, blah blah blah.

Exams was not bad but the time the examiners require you to ans these question is impossible, u have to read and understand the quest before getting into it,

Exams was not bad but the time the examiners require you to ans these question is impossible, u have to read and understand the quest before getting into it,

Man I hated question 1. I did it last so the only thing I could think of at the end were internal controls.... Totally messed that bit up....

OH dam the exmaimer could have bring question on going concern or threat or something esle crap nothing thing i had to think hardddddddddddddddd

It was an okay paper, I could have prepared a lot better, but didn't do bad either. I guess PRECONDITIONED had something to do with PRE-ENGAGEMENT Audit procedures.

Btw wtf is a cover letter???

I presumed, with cover letter the auditor meant to make it look like a report or something. That only I presumed, not so sure.

Thought question 1 was tricky and time cosuming, had to read through the question 4 or 5 times. Thought the rest of the exam was OK and not really time pressured and plenty of easy marks to pick up if time managed well.

*Correction
"examiner" in place of "auditor"

Plenty of easy marks were indeed there to pick up with a lot of knowledge based 2-5 marker questions given.

Felt like writing the same thing over & over again. Time grabs you by the throat. Hoping to pass....

Q1 - What I had for Deficiencies:

- Sales assistant was receiving goods so lack of segregation and the assistant has an open door to commit fraud via misappropriation. Recc: Introduce segregation of duties by using Goods in function.
- Sales assistant was generating GRN and comparing to supplier delivery note but should have been comparing to Purchase Order as well. The risk is that what is received is not what has been ordered. Rec- review purchase order against supplier advise and GRN before signing off.
- Initial inventory was ordered by the purchasing manager without communication with the Sales force. This means that there is a risk of obsolescence or duplicate purchases. Rec: Initial inventory ordered should be coordinated with sales to ensure the need and saleability of goods ordered.

Had one more but slips me now.

Got the same last two as you Platinum - another one I put (though unsure if correct) was that they made orders based on key fashion trends anticipated 9 months in advance. In which case because the fashion industry is fast moving = by the time they get the stock in trends may have changed = unsaleable stock!

The strengths of Value for Money
1.they look for better supplier and reciece requests-I suggested they should look into the ratings of supplier so good quality is recieved and look for discounts thus savin money
2.Internal Audi& Capex Commitee-Internal audit means better CG and capex committe means proper review and maintenance of Capex

this is all i can rememeber

Another couple for Q1. Not sure if these are ok, on reflection a little weak.

I said a copy of the GRN wasn't taken, it was just sent to head office - could get lost therefore no back up in disputes.

9 week delivery time - fashion could change, stock lose value in that time

Ordering was not done by individual stores so therefore invoices would have had a mumber of lines of stock on from a varity of stores. This would make matching invoices to all the relevent GRN hard and time consuming, therefore opening the risk of paying invoices without back up.

You think marks will be given? Normally if it's valid it will score marks, I'm just not sure these are valid!

I thought the paper was great.

Loved the value for money section.
Wrote about the clocking in system enabline direct input to salary system and also monitoring that hospital staff don't over work as critical errors due to fatigue, etc could cost patients lives. Think I was going in a tangent there but wanted to try and use the scenario for once.

Ratios analysis and commenting was also easy.

Didn’t like the precondition question. Think I answered it by statin the incoming auditors will want to verify why the previous auditors were no longer in the position.

Hope for about 70%. Wish there had been some bits about ethical threats.

F9 tomorrrow…. eww

I think the paper was ok, not what was been given for tips but still look fine. Managed to asnwer all the question but still unsure if i got it all right :)

Started with Q5 going backwards... got scared with Q1 management letter and left it last, though scribbled some points at the start. Didn't study the preconditioned... wtf is that??? just put some rubbish things that the auditor needs to do prior to issuing engagement letter.

Think i got some marks for simple questions... hoping for 50% mark and not more than that.

ACCA have increase their sales of 80 % on audit exam fees this time!they no 80% of us wont pass and pay for june 2011 Exam ! this itself is fraud according to the audit F8 i studied!

it was an internal audit exam, makes me wonder why did I bother with the other topics. I liked it though looking forward for the best