FAE September 2012

Eiriu

FAE Freddie wrote: »

Eiriu wrote: »

Was there not trade creditors of 1.9 million that needed to be paid , an overdraft , and a loan of over 18milllion. On the basis that you would only realise 50% on sale of equipment and stock, due to fire sale I calculated that you would be left with negative 300,000 after CGT from asset sale.

Possibly a silly question, but how do you deal with the negative reserves?

I recommended the €700k offer for the company as it was more than it was worth even if the building was valued at €20.25m (MV less CGT) and a much better result than a liquidation/asset sale.

Negative reserves hold no cash value just reflect past losses . Not a consideration in working out cash position due to sale though I imagine it would force statutory liquidation following asset sale instead of being able to make distribution from sale of building, I wonder did the institute mean us to mention losses forward. If the companies were in group is it not more likely that past losses would have been grouped?

The other part of the tax indicator was the participation( although there has been some argument if this applies) - I am not sure. and the other standard stuff on share /asset sale CGT, stamp duty, VAT on sale of equipment and stock ect.

I think the other tax indicator on the sims paper was the need to make a self correction for the paye/prsi In Sim 3 - there may be more I am unaware of.

I thought I found a tax indicator on day one that we were not specifically told not to mention. - the company paid a very high effective rate of CT - something like 16.7 % but had made massive R+D expenditure in the previous three years. I questioned how the effective rate of CT was so high when assumingly it should have qualified for R+D tax credits of 37.5 % on these amounts. In hindsight probably not an indicator but thought it deserved a mention.

The more I hear about exams the more I question myself- they definitely allowed for a more subjective approach than last year and I've heard a plethora of different approaches to all questions. Fingers crossed.

KenHy

JAKE11 wrote: »

I thought that the sale of the premises at 21m (which was €6m approx above NBV) would convert the building NBV of €15m into cash of €21m resulting in an increase in net assets/equity of the company from negative €3m to positive €2.25m (after CGT liability of €0.75m). On this basis I said that the asset sale should be pursued as International Business Locators were, in effect, undervaluing the premises in their offer.

I'm glad somebody else saw it like that! was worried I'd totally messed up the calculations when I came out and most people were saying the share sale was worth more.

I said IBL were probably asset strippers so don't sell to them as better for us to make sure that we can look after staff in liquidation scenario and don't know what they will do - will look like a very foolish point if it were to turn out they were overvaluing assets!

Szewinska

i am truly confused as to how i reckon i did. some things iv had here and some not at all. theres been some range of answers on most sections of the paper

ferike1

I hope loads of people took the time to fill out the survey.

Scuba_Steve84

i did, i praised some issues just to keep them sweet, then slated others, especially how vague the indicators were in the sims, and how unrealistic it is to let the accountant pick the it software despite there being an IT manager

Depreciated09

Guys, I'm a long time lurker on this thread too. I'm just wondering about the subjectivity of the marking scheme because as 75% appear to pass core how can they decide whether it's fair to mark someone up in BL for example from an RC to a C and then not mark someone up from NC to RC in tax? Is there a certain amount of people in every subject that has to pass? This may sound like a stupid question but could this system not hypothetically mean that someone who has failed one subject passes but another person that fails a different subject but isn't marked up could fail even though they're on a par really. Sorry if that doesn't make much sense...I just think that this traffic light system is ridiculous.

chursy

Just Enrolled on the ACCA for december for Proff exams!!! F**k this CAI ****!!!

chursy

Today is the last date for enrolment if you want to avail the early entry fees!

ferike1

Not a bad contingency plan. Which ones? I think if you have passed your elective you only have to do 4 exams not 5.

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chursy wrote: »

Today is the last date for enrolment if you want to avail the early entry fees!

link please ?

chursy

ferike1 wrote: »

Not a bad contingency plan. Which ones? I think if you have passed your elective you only have to do 4 exams not 5.

I have registered for P1/P2/P3 and P7 - But frankly i want to do P1,P2,P7 but had to pay for P3. Not sure about the audit elective exemption because the max exemptions you can get is 9 no more! and we get them by doing Cap 1 and Cap 2 and if you did a degree in Accounting Finance at uni. Honestly i am in no mood risking another year and waiting for the results,because i dont see my self sitting these exams next year. This was my second and final attempt and i dont know what i would do differently next year!

Chalk_Farm

Hey Chursy, what are the fees to apply? Also not sure if you are with a firm but what's there stance generally if you turn and say you're not going to be doing the faes!!?

ferike1

Yeah, I know I haven't actually got the results and I haven't done them twice yet but I did put a lot of effort in this year (not saying you didn't) but I myself have the same problem. I did all the cases, planned my answers, took main points out, did technical questions etc. I don't even know what I could do differently a second time round. The same and hope for more luck on the day?

ACCAs you can practice the questions and they are far more straightforward. Prepare a SWOT for 10 marks, do a lifecycle cost for 15 marks, transfer price for 10 etc.

I am doing them in secret, my firm won't know.

chursy

Chalk_Farm wrote: »

Hey Chursy, what are the fees to apply? Also not sure if you are with a firm but what's there stance generally if you turn and say you're not going to be doing the faes!!?

Interesting - I know a lad in KPMG, exceptional material he went to the partner and said i am not going to do the ACCA and he was told either you do CAI or leave! :P. The guy was exceptional hence they kept him on after the contract despite he failed his FAEs.

Fees -

88 pounds for the Proff exam now but will go up.See link below
http://www.accaglobal.com/en/student/entering-exams.html

If you claim exemptions now which is a very straight forward process you have to pay the exam fees to them for each exam as exemption fees.like i had to pay around 500 pounds as exemption fees. The process is very straight forward all done online.

ferike1

Are you that sure you failed???

chursy

ferike1 wrote: »

Yeah, I know I haven't actually got the results and I haven't done them twice yet but I did put a lot of effort in this year (not saying you didn't) but I myself have the same problem. I did all the cases, planned my answers, took main points out, did technical questions etc. I don't even know what I could do differently a second time round. The same and hope for more luck on the day?

ACCAs you can practice the questions and they are far more straightforward. Prepare a SWOT for 10 marks, do a lifecycle cost for 15 marks, transfer price for 10 etc.

I am doing them in secret, my firm won't know.

Precisely i dont think the firm needs to know this what you are going and what you arent doing. Oviously if you work for big4 they are never going to entertain you. I suggest you book your annual leave in November, as soon as you are back and say you are going to Hawai or somthing Sh__t before the busy season kicks in LOL

ferike1

chursy wrote: »

Precisely i dont think the firm needs to know this what you are going and what you arent doing. Oviously if you work for big4 they are never going to entertain you. I suggest you book your annual leave in November, as soon as you are back and say you are going to Hawai or somthing Sh__t before the busy season kicks in LOL

Yeah, I mean I can study in my own time. I have the acca materials and all past exam papers are online. June and Dec are the exam times so holidays aren't a problem.

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chursy wrote: »

Interesting - I know a lad in KPMG, exceptional material he went to the partner and said i am not going to do the ACCA and he was told either you do CAI or leave! :P. The guy was exceptional hence they kept him on after the contract despite he failed his FAEs.

.

they kept him on after his contract despite not passing his exams ??? have I got this story right ?

Did he sit ACCA ??

chursy

ferike1 wrote: »

Are you that sure you failed???

Ferike i was at this juncture last year and i am regretting why i didnt switch. The fact is that if i Pass its what 500 pounds down the drain.... i dont think i would care about the 500 pounds if i see my name on the pass list! however i will be bothered if i failed and i cant sit the ACCA until June - thats like waste of another year again!

I would rather take my chances now, write of the result for now and sit the ACCA while everything is fresh in your mind, rather then sitting in June and starting from scratch!

ferike1

Little Pea wrote: »

they kept him on after his contract despite not passing his exams ??? have I got this story right ?

Did he sit ACCA ??

Generally because you can only do FAEs once a year they don't fire you if you fail to give you another go.

chursy

Little Pea wrote: »

they kept him on after his contract despite not passing his exams ??? have I got this story right ?

Did he sit ACCA ??

Yup they kept him on - the guy was a legend!!!!

He sat ACCA privately and past a few exams in the June sitting - however also siting the FAEs, although i didnt see him in the exams so not sure what the craic is!

ferike1

chursy wrote: »

Ferike i was at this juncture last year and i am regretting why i didnt switch. The fact is that if i Pass its what 500 pounds down the drain.... i dont think i would care about the 500 pounds if i see my name on the pass list! however i will be bothered if i failed and i cant sit the ACCA until June - thats like waste of another year again!

I would rather take my chances now, write of the result for now and sit the ACCA while everything is fresh in your mind, rather then sitting in June and starting from scratch!

Fair enough. I didn't know you had to pay exemption fees (just exam fees), I don't have that kind of money now so I would only be able to sit them in June.

Do them in June, do some FAEs and then do the rest of my accas in Dec.

chursy

ferike1 wrote: »

Generally because you can only do FAEs once a year they don't fire you if you fail to give you another go.

If you are out of contract its very much discretionary!!! i have seen most people let go after the contract, only the chosen ones stay!!!

ferike1

I am still in contract til April 2014

chursy

ferike1 wrote: »

Fair enough. I didn't know you had to pay exemption fees (just exam fees), I don't have that kind of money now so I would only be able to sit them in June.

Do them in June, do some FAEs and then do the rest of my accas in Dec.

Would you be able to study for the ACCAs in May, sit the exams in June and then start studying again for the FAEs - Thats like months of crazy studying !!!! What about the leave arrangements! This is the time to call the shots not june. Thats my take!

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chursy wrote: »

If you are out of contract its very much discretionary!!! i have seen most people let go after the contract, only the chosen ones stay!!!

I am due to start with a firm very soon. I have full Cap1 and Cap2 exemptions. I was considering applying for December ACCA exams as I would sail through Advanced reporting and Governance/ethics. I just don't want to register at the risk of the firm not been happy.

chursy

ferike1 wrote: »

I am still in contract til April 2014

ahh if you are in contract then nothing to worry about mate. Thats like risking another year with CAI.... I dont think its worth it!... I would rather switch to ACCA know what i am up against ! rather then again studying next year and face some randome B**Sh**.... Design an IT system for a pig farm!!!

chursy

Little Pea wrote: »

I am due to start with a firm very soon. I have full Cap1 and Cap2 exemptions. I was considering applying for December ACCA exams as I would sail through Advanced reporting and Governance/ethics. I just don't want to register at the risk of the firm not been happy.

To be honest - no need to tell the firm - just sit them.... they wouldn't know anyway. I would say you will be fine with the P1 and P2 alrite. Are you a masters student? does your masters get your exemptions from all the 9 foundation modules with ACCA?

aca101

chursy wrote: »

Today is the last date for enrolment if you want to avail the early entry fees!

Really? That sounds great. Which exams did you enroll for? Really thinking of doing the same thing. If you could post the link that'd be brill...thanks.

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chursy wrote: »

To be honest - no need to tell the firm - just sit them.... they wouldn't know anyway. I would say you will be fine with the P1 and P2 alrite. Are you a masters student? does your masters get your exemptions from all the 9 foundation modules with ACCA?

Both my undergrad and my M.acc give me all the exemptions. i just didn't realise that you had to pay €500 to apply for them. I had a look at P1 and P2 and I reckon I could do both with a few weeks studying at nights.

FR I am pretty handy with and I wrote my dissertation on corporate governance.