FAE September 2012

froggatt2011

supernova84 wrote: »

If your only given half year or 3/4 year projections and asked to work out potential cost savings always remember to annualise up to 12 months. Central City Colleges a good example.

I don't appear to have this case and can't see that it's been uploaded. Any chance you can post it up me old china?

cannns

What are peoples thoughts on stating assertions in audit questions were you are outlining substantive audit tests to be completed or in the context of an audit risk response, should the response be linked to an assertion?

Obviously if there is reference to assertions you will have to bring them in. Otherwise it is quite time consuming to be bringing them in unnecessarily. I would have been inclined to omit unless requested, but then I did the datapack case study this morning and it was necessary to make direct linkage to obtain RC.

FAE_UCH

supernova84 wrote: »

If your only given half year or 3/4 year projections and asked to work out potential cost savings always remember to annualise up to 12 months. Central City Colleges a good example.

Whatever you do, Do NOT Annualise the Balance Sheet I reckon that would probably be a mortal sin in the eyes of the Institute

ferike1

HEALTH Minister James Reilly's failure to keep the HSE overspend under control was savaged last night in a report from the European Commission.

In a damning indictment, it said a large part of the health deficit -- which could reach €500m by the end of the year -- could be blamed on a failure to manage services properly and to stick to targets that were outlined in last year's Budget.

The report blamed "a weakness in budget management and accountability" in the health system and said the overspend could be blamed on "the failure to manage certain services within approved levels in the 2012 service plan and slippage in the delivery of some of the measures envisaged in the 2012 Budget".

It also said that, so far this year, only 22pc of intended health savings had been achieved.

Those secured so far have largely been one-off and will not be repeated. Further "structural changes", rather than temporary measures, may have to be considered, it added.

The language in the report is particularly strident and is in marked difference to the usual dry tones used by the troika bodies.

- Looks like they need the help of recently qualified FAE students on secondment to sort this mess out. They know all about budgets, KPIs, accountability, IMP systems, you name it. They could even put together a nice marketing plan for HSE in their downtime and prep the entire HSE on the change management implications*.

*Tax implications not considered, tax specialist needed.

Flange/Flanders

ferike1 wrote: »

HEALTH Minister James Reilly's failure to keep the HSE overspend under control was savaged last night in a report from the European Commission.

In a damning indictment, it said a large part of the health deficit -- which could reach €500m by the end of the year -- could be blamed on a failure to manage services properly and to stick to targets that were outlined in last year's Budget.

The report blamed "a weakness in budget management and accountability" in the health system and said the overspend could be blamed on "the failure to manage certain services within approved levels in the 2012 service plan and slippage in the delivery of some of the measures envisaged in the 2012 Budget".

It also said that, so far this year, only 22pc of intended health savings had been achieved.

Those secured so far have largely been one-off and will not be repeated. Further "structural changes", rather than temporary measures, may have to be considered, it added.

The language in the report is particularly strident and is in marked difference to the usual dry tones used by the troika bodies.

- Looks like they need the help of recently qualified FAE students on secondment to sort this mess out. They know all about budgets, KPIs, accountability, IMP systems, you name it. They could even put together a nice marketing plan for HSE in their downtime and prep the entire HSE on the change management implications*.

*Tax implications not considered, tax specialist needed.

"And I dont even like blood", you think as you begin your first day on secondment at the HSE. You are Roy Keane and you have just qualifed as a chartered accountants with Alex Ferguson Chartered Accountants and Registered Auditors. "And imagine, I could have been a doctor, Im so glad I gave up on that dream and instead became a chartered accountant, my life is so fulfilled" as you get ready for your meeting with the managing director of the HSE, Niall Quinn.

jp19866

anybody by chance have the solution to Marlborough House Limited? thanks in advance.. :-)

Eiriu

Ex 88 wrote: »

I noticed a lot of you are bringing in the case study solutions to look up in the exam, I didn't think to do this because I figured they won't ask the same thing (well not exactly the same) I just find the solutions very specific! I think my notes are good but am I making a mistake not bringing the case study solutions with me? Plus I don't have them in order either

This person will do well.

Eiriu

ferike1 wrote: »

This pretty much sums up me and mgmt accounting

Better get grinding

figrolls

Anybody got any amazing insights into what to cram for IMP??

I feel I could bluff my way through most of the other subjects if something tricky came up or at least know where to look for it in my notes, but really starting to panic about IMP now, the book is a disaster and just confuses me more!!

reo49

I have done all the study I planned on doing, the benefits of a good study plan. I'm off for a round of golf!

chursy

Any body can recommend cases to practice projections/forecasts ? Or analyzing Existing forecast ? Something similar to 2010 core perhaps.

7upfree

I suggest wikipedia for IMP for the likes of Cloud Computing, Saas ETC.

Just remember with IMP, give the benefits of new system if the company are getting new software package etc i.e.
Tailored to firms needs.
Perform Repetitive tasks.
Better Credit Control.
Analysis reports readily available.
Can account for FX.
Less chance of errors. etc.
Need to consider if off the shelf system will do or do we need to tailor it to the companies needs (more expensive if tailored)
Depending on size of the firm from case studies it seems to be suggested that the upgrade of a system would cost 50 - 100k. Could always do the benefits outweighing costs by the amount of money saved in lost revenue / bad debt etc by implementing the new system vs not implementing it.

If its like the mocks then it could be advantages/disadvantages of certain type of system i.e cloud computing, Saas etc
Always mention the main points.
Security.
Responsibility still lies with the firm even if data is being stored by third party.
Always consider Data protection.
Cost saving benefits of cloud computing (no need for servers, reduced maintenance costs)

Should consider implementation also.
Will we switch off old system and switch on new system straight away.
Run old system with new system and phase out old system
How much staff training is needed and are staff willing to cooperate
Will we outsource the IT function or do we need an internal IT department (this will depend largely on the size of the company and the costs associated)

IMP could be linked with auditing in terms of controls i.e. how is data protected i.e.
Password access
Different levels of access for different staff
How often passwords changed
Has there been any issues in the last year with data being hacked into
Can we rely on the system or do we need further tests.
Are emails used for personal use, have emails been sent to the wrong client in error.

Sorry if that seems like alot of rambling but these are the type of scenarios that seem to be coming up alot. I think cloud computing or something linked to cloud computing may come up as it is such a popular topic currently, then again I could be way off the mark.

ferike1

Eiriu wrote: »

Better get grinding

supernova84

[Quote=froggatt2011;80532128
I don't appear to have this case and can't see that it's been uploaded. Any chance you can post it up me old china? [/Quote]

It's definitely on this thread, that's where I got it.

supernova84

FAE_UCH wrote: »

Whatever you do, Do NOT Annualise the Balance Sheet I reckon that would probably be a mortal sin in the eyes of the Institute

Yes just the p&l should have been clearer

supernova84

LR987654 wrote: »

is the aafrp book a good book for reviewing the fin reporting?

Yes I think so

ferike1

reo49 wrote: »

I have done all the study I planned on doing, the benefits of a good study plan. I'm off for a round of golf!

Nah man, you should lift some weights
Strong is the new rich

froggatt2011

Ex 88 wrote: »

I noticed a lot of you are bringing in the case study solutions to look up in the exam, I didn't think to do this because I figured they won't ask the same thing (well not exactly the same) I just find the solutions very specific! I think my notes are good but am I making a mistake not bringing the case study solutions with me? Plus I don't have them in order either

I was also worried that by not bringing in the case solutions that I'd be doing myself a disservice, however I'm sticking to my original plan. That is only bringing in solutions to issues that I desperately struggle with.

I am relying on my notes being well tabbed and in some sort of logical order. As I've been coming across things in the cases that I don't know or had forgotten, I've been updating my own notes in my own words.

I have already struggled to get my notes down to a few files. I still think I'm bringing in far more than I will use, and that's without the solutions.

froggatt2011

LR987654 wrote: »

is the aafrp book a good book for reviewing the fin reporting?

I forgot about that horrible book. Might have a bash at it later but it may just serve to remind me of my very depressing RC in AAFRP.

7upfree

froggatt2011 wrote: »

I was also worried that by not bringing in the case solutions that I'd be doing myself a disservice, however I'm sticking to my original plan. That is only bringing in solutions to issues that I desperately struggle with.

I am relying on my notes being well tabbed and in some sort of logical order. As I've been coming across things in the cases that I don't know or had forgotten, I've been updating my own notes in my own words.

I have already struggled to get my notes down to a few files. I still think I'm bringing in far more than I will use, and that's without the solutions.

I have my notes down to one folder. I have the summary from the guy who came first last year with notes written in myself of stuff I came accross and then I have my own auditing notes and the financial reporting notes from the institute (not the slides but the ones from the question pack that give examples)

Everything is tabbed and easy to find.

I am bringing in the solutions in another folder which is also tabbed for each case and then I have a page for each subject referencing the cases that have that topic in it i.e. Dodgy construction deals with ES2 (son of auditor is financial controller)

I am hoping not to have to use this folder but on the off chance that I do get stuck I can flick to a case which will just jog my memory on certain topics. I wouldn't be copying straight from the answer.
The cases are handy for giving a general summary of certain issues i.e. what due diligence is then link it into the case in question.

froggatt2011

7upfree wrote: »

I have my notes down to one folder. I have the summary from the guy who came first last year with notes written in myself of stuff I came accross and then I have my own auditing notes and the financial reporting notes from the institute (not the slides but the ones from the question pack that give examples)

Everything is tabbed and easy to find.

I am bringing in the solutions in another folder which is also tabbed for each case and then I have a page for each subject referencing the cases that have that topic in it i.e. Dodgy construction deals with ES2 (son of auditor is financial controller)

I am hoping not to have to use this folder but on the off chance that I do get stuck I can flick to a case which will just jog my memory on certain topics. I wouldn't be copying straight from the answer.
The cases are handy for giving a general summary of certain issues i.e. what due diligence is then link it into the case in question.

You sound organised and confident

I'll be the one who decides last minute to fill 2 suitcases with 3 years worth of books just in case.

Ex 88

Just had a look at that interest rate swap in the sample paper!!! Mind = blown ! I didn't think they'd put something like that up, of course discuss managing interest risk but to do the comp I would've thought more amp elective no? anyone good at int rate swaps please enlighten me!!

7upfree

froggatt2011 wrote: »

You sound organised and confident

I'll be the one who decides last minute to fill 2 suitcases with 3 years worth of books just in case.

Organised yes. Confident NO. I'm only so organised because it was procrastination. If I did as much study as I did procrastinating I'd be sorted.

I think with these exams it really is down to luck on the day everyone has their weak points and their strong points and if your weak point comes up on the day it makes it so much harder but then if your strong point comes up on the day it makes it that bit easier.

Eiriu

ferike1 wrote: »

Eiriu wrote: »

Better get grinding

That was not a troll. The whole Fae is about managing companies, governance control, ect. Hence management accounting is very important. I'm not talking about something obscure like accounting for bi-products/scare resources ect. Just simple things like budgets, reward schemes ect which also fall under the umbrella of management accounting. P)

Acc7777

I'm struggling for time in the sims papers. Gonna have to write / think so fast

Bobby Dazzles

I'm bringing all of the cases with me and I have them referenced. The plan isn't to copy stuff (obviously) but if a particular topic comes up I will look at a model solution dealing with that topic for 2 minutes and then structure my answer the same way.

There are also topics that come up that call for "list" type answers. Model solutions or summaries of model solutions can be great for those.

My attitude re reference materials is bring as much as you can but then use as little as possible. Best case scenario you rarely use your reference material. Worst case scenario you're up sh1t creek but you might just have a paddle in your suitcase...

chursy

Lads any suggestions on what cases to practice for projections/forecasts etc from the case studies. Would be great if someone can point me to the right direction here .

7upfree

Bobby Dazzles wrote: »

I'm bringing all of the cases with me and I have them referenced. The plan isn't to copy stuff (obviously) but if a particular topic comes up I will look at a model solution dealing with that topic for 2 minutes and then structure my answer the same way.

There are also topics that come up that call for "list" type answers. Model solutions or summaries of model solutions can be great for those.

My attitude re reference materials is bring as much as you can but then use as little as possible. Best case scenario you rarely use your reference material. Worst case scenario you're up sh1t creek but you might just have a paddle in your suitcase...

very well put. Thats my philosophy but I don't think I would have worded it quiet as well.

Jamesw2

Best tip. Say this and you will pass. :) Works for me.

O St. Joseph of Cupertino who by yourprayer obtained from God to be asked at your examination, the only prepositionyou knew. Grant that I may like you succeed in the (here mention the name ofExamination eg. History paper I ) examination.

In return I promise to make you known and cause you to be invoked.
O St. Joseph of Cupertino pray for me
O Holy Ghost enlighten me
Our Lady of Good Studies pray for me
Sacred Head of Jesus, Seat of divine wisdom, enlighten me.
Remember, when you succeed in the examsthen you should thank St. Joseph of Cupertino

Username2011

chursy wrote: »

So lads how do we go about calculating the Locust cofee Break even point! i dont get it! I think i have drained all my technical knowledge after doing these new cases!

Did anyone figure this breakeven point out?

The financial information we have is:

• VC is €6,000 per store (with a 5 year project life)
• Contribution margin is 70%

The solution calculates breakeven point as follows:

• with a margin of 70% , the breakeven point for a €6,000 investmnt over five years per store is €4,000 (4,000 * 305 = 6000/5)

Thanks!