Professional Documents
Culture Documents
Question
1
Exam
techniques:
Read
the
requirements
first
Start
cash
flow
statement
i.e.
heading
up
and
profit
before
tax
For
cash
flow
statement
start
workings
before
reading
requirements
i.e.
opening
and
closing
balances
Read
notes
entirely
and
comment
Comments on the requirements: (i) - (ix) (a) JOCATT GROUP STATEMENT OF CASH FLOW AS AT 30 NOVEMBER 2010 Profit before tax Adjustment to operating activity: Share of profit of associates Finance costs paid Profit on AFS investment ($5m - $4m) Amortization Retirement benefit expense Gain on investment property Depreciation on PPE Impairment of goodwill Profit on sale of land (15+4-10) Loss on replacement of disposal Cash paid in to retirement benefit Decrease in inventory Decrease in Trade receivables Increase in payables Cash generated from operations Interest paid (finance cost) Income tax paid Cash Flow from operating activities To be completed in revision session
ACCA
Paper
P2
Corporate
Reporting
Past
Paper
December
2010
Cash
Flow
from
investing
activities:
Purchase
PPE
Additions
to
investment
property
Purchase
of
associate
Purchase
AFS
investment
Intangible
assets
Proceeds
from
sale
of
land
Purchase
of
Subsidiary
($15m
-
$7m)
Cash
Flow
from
investing
activities
Cash
Flow
from
financing
activities:
Non-Controlling
interest
dividends
paid
Dividends
paid
Repayment
of
long-term
borrowings
Rights
issue
increase
in
cash
and
cash
equivalent
Net
Cash
and
cash
equivalent
at
beginning
of
period
Cash
and
cash
equivalent
at
end
of
period
PPE
Beginning
balance
Ending
balance
Loss
on
property
revaluation
Tigret
Plant
Depreciation
Sale
of
land
CF
Goodwill
Beginning
balance
Ending
balance
Tigret
Impairment
254
(327)
(7)
15
4
(27)
(10)
(98)
(157)
Beginning
balance
Ending
balance
Share
of
profit
of
assoc
CF
Inventories
Beginning
balance
Ending
balance
CF
Long-term
borrowings
Beginning
balance
Ending
balance
CF
Long-term
provisions
pension
Beginning
balance
128 (105) 23
71 (67) 4
22
Investment in associates
113 (62) 5 56
90 (94) 2
55 (144) (89)
Fair value of consideration Fair value of NCI Fair value of the business Fair value of the net assets Deferred tax (45-40) x 30% Goodwill
Notes for future reference: Workings are not needed for items under the statement of changes in equity Davisdadons Revision Group Sessions for Exams in June 2011