Accounting predictions Q.6,7

gina_h

Heyo, just found this site looking for tips for the exam. I'm repeating the big L.C this year but changed schools to do it. No accounting teacher over there so haven't done ANY accounting since last year!! :eek: Any ideas on what I should concentrate on for the next few days?? I don't plan on doin Q1 at all cuz I hate it!!
Thanks!

whatshername!!

melsman wrote:

im not doin 60 mark questions unless departmental Q.1 comes up...so no im not doing 60 mark questions!!:D
farm accounts cant come up as 100 mark can they??

Technically they can come up but our teacher is so sure they wont we never even did them. He thinks theres not enough they can ask to make it a 100 marker.

melsman

whatshername!! wrote:

Technically they can come up but our teacher is so sure they wont we never even did them. He thinks theres not enough they can ask to make it a 100 marker.

i was thinkin that myself, they arent the worst account in the world anyway.
does anyone know where i can get the solutions for the 1998 1999 and 2000 papers as examinations.ie only goes as far back as 2001??

colm-ccfc84

What topics are people studying? I am doing incomplete (both types), service, club, ratios and cash flow. I am leaving out published, tabular, correction of errors etc. For management I am just doing costing, it should be job or product that comes up. For question 1 I am doing company, manufacturing and sole trader. Is anybody actually looking at departmental? I don't even know what to do with them, we only ever did one and that was 3 weeks ago.

cson

Dept is a lot easier than people think, its more or less just dividing up your expenses in the bal sheet.

Q - Net Profit %, is it before tax/interest or after?

Mushy

cson wrote:

Dept is a lot easier than people think, its more or less just dividing up your expenses in the bal sheet.

Q - Net Profit %, is it before tax/interest or after?

Isnt the Net profit % formula: PBIT/NP X 100.

Inm that case. I just get the NP from the P&L, add the interest, then do the sums. Always works.

Also, here's something that could come in very useful with people worrying bout theory. Just went through the past papers and typed this up:

Section 2 Accounting Theory

Suspense A/C’s:
· An ‘error of principle’ is where the wrong type of account is used.
· An ‘error of commission’ is where the right amount is posted on the correct side but to the wrong account.
· ‘Errors of Original Entry’ are errors that were made in the books of the original entry, which were then posted to the appropriate ledger e.g a sale on credit of €800, entered into the accounts as €80. The Trial Balance will still balance and not reveal the error.
· An ‘error of Omission’ occurs when transactions are completely omitted from the Ledger and Trial Balance.
· ‘Compensating errors’ refer to two errors that cancel each other out e.g. posting €40 instead of €400 on the debit side of wages, and credit side of bank. Both a/c’s are wrong, but Trial Balance not affected.
· ‘Complete Reversal of Entries’ happen when the correct figures are entered into the correct a/c but on the incorrect side e.g. credit purchases & debit creditors.

Published Accounts:
· Three items that must be included in a Directors Report are:
· directors shareholding
· last years results of business
· future expansion of business

· An Auditors Qualified Report is a bad Report. The Auditor feels that he accounts do not offer a true and fair reflection of the company.
An Auditors Unqualified Report is essentially a clean bill. The auditor feels that the accounts do represent a true and fair reflection of the company’s affairs.

· The criteria, according to the 1986 Companies Act, that determine the size of a company are:


A company must meet 2 out of three of this criteria to determine the size of a company.

Cash Flow Statements
· Cash flow Statements are prepared to:
· examine cash inflows and outflows
· see if a company is liquid
· fulfil legal requirements

Incomplete Records
· Extra information available if using the double entry system would be:
· total sales
· total purchases

· A summary of the advice I would give [name company] would be to:
· keep a detailed Gen. Ledger and Cashbook so as to avoid reliance on estimates
· depreciate his fixed assets

Cub Accounts
· A reduction in subs of [give percentage] would result in the loss of income of [calculate decrease in subs]. While the club is bearable of coping with such a loss of income for now, the other main forms of income are of a non-recurring nature. Therefore, as treasurer of the club, it would not be prudent to reduce subs by {percentage] at this time.


Obviously you may add to this, or if you see any slight mistakes, just say so, so I can change it. Hope it helps for some of you.

EDIT: Ok, the table is gone for Published accounts thing, so here's a little edit:

Small company: Blance Sheet not exceed 1.5million, Turnover not exceed 6 million, employees not exceed 50

Medium/Large Company: Bal Sheet not exceed 6 million, Turnover not exceed 12 million, Employees not exceed 250.

cson

Excellent post Mushy.

justbringit89

cson wrote:

Excellent post Mushy.

cson wrote:

Excellent post Mushy.

good post but would i be okay leaving out tab and published. im doing Q1 Q6,q7 and q8 ????

whatshername!!

Thanks a million 4 the post mushy:D

______

i'm grand for them all, except published which i have never done

melsman

cson wrote:

Dept is a lot easier than people think, its more or less just dividing up your expenses in the bal sheet.

is that like instead of administration and distribution headings you have headings for different departments??
if they came up there'd be war!
ive a feeling published could come up and for ratios it should be a shareholder shouldnt it?(provided that ratios is on this year of course )

capslocked

ratios + service/club otherwise im f*"*n screwed
Someone please tell me they agree with me
(by the way i know ratios is q5 - im just talking about the two ill be doing)

PeterMC

if I was a betting man, Id predict 100 mk Incomplete & Cashflow, 60mk Service,Depr & Control. Straightforward section 3, following last years Q8...

Fuzzy_Dunlop

Great post Mushy, you should put the notes up on http://www.zulunotes.com/wiki/

Mushy

Playa3, I'm not registered on that unfortunately. If anyone here is though, they can copy them up, its all the one. Later today I'll do the Published Accounts theory stuff, ya know the 5 you have to answer, not the extra ones.

Doing Club, Service, Published, Cash Flows, Incomplete, Ratios...is there any other that may come up, or should I just leave it at that?

colm-ccfc84

Personally, I would leave it at that. Last year's won't be repeated, never have been. I am doing the same as you except I am leaving out published aswell, it has been on the last two papers (60m last year and 100m in 05) so three in a row is unlikely imo. Ratio is a banker to fall back on if necessary and surely one of the others you mentioned will be on.

justbringit89

Hey guys am i ok leaving out Suspense Accounts ?? i plan on doing question one , question 6 and 7 and prob Budgeting !!!! I also dislike Published and Tabular !! But I cant do Suspense what so ever !!!!!

colm-ccfc84

I am not doing them, we didn't bother with them in class.

E92

justbringit89 wrote:

Hey guys am i ok leaving out Suspense Accounts ?? i plan on doing question one , question 6 and 7 and prob Budgeting !!!! I also dislike Published and Tabular !! But I cant do Suspense what so ever !!!!!

You should be ok,Suspense should be a 60 marker this year. I wouldnt be so sure about leaving out published, they were a 60 marker last year, and although they are unlikely to reappear this year, since they were a 100 marker in 2005 as well, I wouldnt entirely rule out the possibility of a 100 marker Published Q this year. A 100 marker Cash Flow should not be discounted, as it hasnt appeared since 1998 as a 100 mark Q, and after all they put up a difference equation proof in Honours Maths, something that hasn't appeared since 1994, so I definately would be revising my 100 marker Cash Flows, even though they are not at the top of the list when it comes to what should be tuning up this year.

euwwy deuwwy

Well, im leaving out suspense and tabular since they came up last year and I'm only briefly going over the Sole trader. I'd advice anyone doing the budgeting question to briefly look over product/valuation costing since its very likely to come up and imo very simple and quick. Cash budgeting is quite likely and the examiners seem to enjoy messing around with that question so it could be risky.

justbringit89

E92 wrote:

You should be ok,Suspense should be a 60 marker this year. I wouldnt be so sure about leaving out published, they were a 60 marker last year, and although they are unlikely to reappear this year, since they were a 100 marker in 2005 as well, I wouldnt entirely rule out the possibility of a 100 marker Published Q this year. A 100 marker Cash Flow should not be discounted, as it hasnt appeared since 1998 as a 100 mark Q, and after all they put up a difference equation proof in Honours Maths, something that hasn't appeared since 1994, so I definately would be revising my 100 marker Cash Flows, even though they are not at the top of the list when it comes to what should be tuning up this year.

Cheers for the advice mate , yeah im covering cashflow statements !! so In your opinion what is top of the list 2 come up for questions 6 and 7, I presume Incomplete B,Incomplete A , Service firms , Clubs A/cs . what u think about a joint creditors/Debtors contol a/cs??

md99

oh how I would love a 100m Cash Flow...

euwwy deuwwy

Ideal Paper:
Q1 Company
Q6 Service
Q7 Incomplete
Q8valaution/product

justbringit89

euwwy deuwwy wrote:

Ideal Paper:
Q1 Company
Q6 Service
Q7 Incomplete
Q8valaution/product

yeah that would be sweet , the funny ting is that you only need 240marks out of 400 to get a C3 which is 60 points !!!

colm-ccfc84

euwwy deuwwy wrote:

Ideal Paper:
Q1 Company
Q6 Service
Q7 Incomplete
Q8valaution/product

That was my pre paper and I think it is very possible.

melsman

justbringit89 wrote:

what u think about a joint creditors/Debtors contol a/cs??

that would never come up!
i had that same mock paper, that would be ideal! tricky theory with allocation and apportionment of costs though
dont rule out published 100 mark!! i havent even looked at suspense or tabular i feel safe though

TommyK_The-DJ

Just wonderin what are the Incomes that appear in the Profit and Loss Account before the Operating Profit??

And what Q's in they course do they appear in??

lemansky

colm-ccfc84 wrote:

That was my pre paper and I think it is very possible.

Same here.The pre-papers we had all seemed to reflect the tips that have been going around so my money is on a similar f not identical question choice.

euwwy deuwwy

TommyK_The-DJ wrote:

Just wonderin what are the Incomes that appear in the Profit and Loss Account before the Operating Profit??

And what Q's in they course do they appear in??

Eh, Im not really sure what you mean? But, I'm going to persume your talking about final account, there are a few incomes on a profit and loss account but they're actually after the operating profit, things like profit on sale of van, decrease in provision for bad debt or investment income would be the usual suspects. If you elaborate more on your question I might be able to help you a bit better??

euwwy deuwwy

I agree, the likely hood is that its going to be very similar to that mock, but does it not seem a little bit simple?? They usually have something thrown in to liven the exam up. If we get a dodgy 100 marker I'll go crazy!!! I havnt covered interpretations so I'd be screwed!!!