Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Past Year Dec 2011
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John Moffat.
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- November 10, 2013 at 9:20 am #145262
With regard to the past year paper Dec 2011 Question 2(b), the model answer provided by ACCA:
Unexpired basis = 2/6 x 0.54 = 0.18
May I know why is it 2/6? Is it because the future rate used is June, so from 1 May to June consider 2 month not expired?
November 10, 2013 at 3:11 pm #145315Exactly 🙂
June futures finish on the last day of June. The transaction is taking place on 1 May, and so there are two months unexpired.
There the basis will have fallen to 2/6 of the current basis.November 10, 2013 at 4:12 pm #145318Thank you very much for the explanation =]
Anyway, may I check with you which of the past year paper is superseded or no longer relevant to the examination from now on?
November 10, 2013 at 7:47 pm #145326There is no past year that has been superseded. It is just that changes to the syllabus over the years mean that some of the past questions (or parts of them) can no longer be asked. However this applies to very few of the questions. The main things are that the Grabbe variant of Black Scholes can no longer be asked (for valuing foreign currency options) and portfolio theory calculations cannot be asked (although you are expected to understand the idea behind it).
Our Course Notes cover everything that can currently be asked.November 23, 2013 at 12:50 pm #147496I see.
One of the lecturer told me there was once a change of P4 examiner, and all his questions in the past year papers hence are not recommended for reference.
I am not sure if his advice is agreeable (I could not recall which particular period/papers he referred to).
May I know your view on this?
P/S: I normally will go through the past years paper, just that I am not sure if I should not do it this time.
November 24, 2013 at 9:12 am #147597There has been more than one change of examiner 🙂
The current examiner took over at in 2010. Question in the exams before then were harder but as long as you realise that there is no hard in trying them. However one or two are needing the Grabbe variant of Black Scholes – this is no longer in the syllabus.
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