F9考官亲自陈述ACCA考试报告--General Comments
ACCA F6F7F9一次过经验分享
ACCA F6/7/9一次过经验分享刘灿辉，重庆理工大学2014级ACCA专业学生，acca中国区优秀学员。
2015年12月第一次参加ACCA统考即通过F679三门，并且很好的平衡了专业课与ACCA考试，GPA排名前列。
与ACCA相识已经快半年了，我很高兴能在今年12月的全球统考中首过三门(F6/F7/F9)，下面我想分享下我与ACCA的故事。
学习ACCA是一次又漫长又难熬的过程，这不仅仅是一次又一次的起早贪黑地备考，而是一次又一次地与自己内心不断斗争的过程。
当我决定第一次参加全球统考要首战三门的时候我就下定决心一定要一举拿下，不管中途经历多少不可能。
其中很多次在备考中想要放弃，因为备考三科的日子是极其的无聊，以至于有一种作呕的感觉。
每天做着同样的一件事，每天都对着电脑看着网课，看累了就趴下睡会儿，然后起来又继续，日复一日。
整个暑假我都是很少放松的。
看着离开学的日子越来越近，心中总是无比的慌张，因为开学就意味着有从早到晚的课要上还要完成学生会安排下来的任务。
就这样，利用着暑假的时间每天不断地激励着自己，最终，我还是达到了自己想要去完成的目标。
你以为前方暗淡无光，实际上越过了这个弯，前途一片光明。
很多同学在开学的时候来问我，你为何如此“凶残”，用这么短的时间还去报了三门，其实他们不知，我早已胸有成竹。
F6F6讲义3遍，练习册4遍，真题两遍。
F6是我备战的首科，对于F6我觉得它的知识点比较散，也很容易忘记，如果不靠习题去巩固它的话可能你永远都不会记住某些知识点。
通过F6还是要多看讲义，万变不离其宗，F6的考试总是围绕着那一堆知识点展开，而F6的考官出题也总是给我们一种，很怪，很偏，读不懂的感觉，但是你知识点掌握了，就算你答案做不出来，你的思路也能清晰地呈现给考官。
F7练习册4遍，真题两遍。
对于F7我想说地就是，刷题！一定要多做题。
对于F7，有的人说就算你不学，就仅仅把BPP练习册刷上4，5遍你也能过的，的确是这样。
ACCA考试报告分析F2-examreport-2010D
Examiner’s reportF2 Management AccountingDecember 2010General CommentsThis was the seventh examination under the current syllabus. The two hour paper, as usual, contained 50 multiple choice questions – 40 carried two marks each and the other 10 carried one mark each. This mix continues to be exactly in line with the pilot paper. The overall general performance of candidates improved at this sitting compared with recent sittings. The performance on an individual question basis also improved – on this occasion, on only a very few questions was the correct answer not selected by at least 40% of the candidates.The following questions taken from the December 2010 examination are ones where the performance of candidates was weak – in each case less than 40% of the candidates selected the correct answer. Each of these questions carried 2 marks and each related to a mainstream topic in the Study Guide.Sample Questions for DiscussionExample 1A company which operates a process costing system had work-in-progress at the start of last month of 400 units (valued at $3,000) which were 40% complete in respect of all costs. Last month 1,500 units were completed and transferred to the finished goods warehouse. The cost per equivalent unit for output produced last month was $20. The company uses the FIFO method of cost allocation.What is the total cost of the 1,500 units transferred to the finished goods warehouse last month?A $26,800B $28,200C $29,800D $30,000The correct answer was C. This question tested Section D6(g) and (h) in the Study Guide.If 1,500 units were completed in the month then 1,100 units [1,500−400] must have been started and finished in the month. These are valued at $22,000 [1,100×20]. The 400 units from opening work-in-progress (WIP) were already 40% complete so last month would have had 60% of work done to complete them. The total value of the 400 units is therefore calculated as: $3,000 + $[400×0.6×20] = $7,800. The total value of the month’s output was $[22,000 + 7,800] = $29,800.Each of the three wrong answers was selected by at least 17% of the candidates. Candidates selecting answer A had simply failed to add in the $3,000 opening WIP value. Answer B could have been obtained by valuing the 400 units as follows: $3,000 + $[400×0.4×20] = $6,200. This had taken the percentage to complete the WIP as 40% instead of 60%. Answer D was simply 1,500 units valued at $20 per unit and made no adjustment for WIP.Example 2A company uses standard marginal costing. Last month the budgeted contribution was $20,000 and the only variances that occurred were as follows:$Sales price 3,000 AdverseSales volume contribution 5,000 FavourableFixed overhead expenditure 1,000 AdverseWhat was the actual contribution last month?A $18,000B $19,000C $21,000D $22,000The correct answer was D. This question tested Section E5(b) of the Study Guide – the reconciliation of budgeted and actual contribution under marginal costing.The fixed overhead expenditure variance is not relevant to a reconciliation of budgeted and actual contributions. Fixed costs are deducted afterwards from contribution to arrive at profit. Therefore the correct calculation of actual contribution was:[20,000 − 3,000 + 5,000] = $22,000.Answer A was obtained by adding the adverse sales price variance and subtracting the favourable sales volume contribution variance to the budgeted profit. Answer B could have been obtained in two [wrong] ways. First, by simply deducting the adverse fixed overhead expenditure variance from the budgeted contribution. Second, by netting the three variances listed in the question and then deducting this net figure from the budgeted contribution – there were two errors made in this case. The most popular wrong answer was C [chosen by a third of the candidates] which added the net of all three variances listed to the budgeted contribution.Example 3Are the following statements, which refer to different types of budgets, true or false?Statement 1An annual budget that can be broken down into monthly budgets, which differ depending on the number of working days in each month, is called a flexible budget.Statement 2An annual budget set before the start of a year based on estimated sales and production volumes is called a fixed budget.Statement 1 Statement 2A True TrueB False FalseC True FalseD False TrueThe correct answer was D. This question tested section E3(a) in the Study Guide – the explanation of fixed, flexible and flexed budgets.A flexible budget is one which recognizes different cost behaviour patterns and is designed to change to reflect different volumes of activity. Therefore statement 1 is false. Statement 2 describes a fixed budget and is therefore true.All three incorrect answers were selected by significant numbers of candidates – even the least popular choice [Answer C – the exact opposite to the correct answer] was chosen by nearly 16% of the candidates. This seems to indicate that this part of the Study Guide is generally not well understood.Future candidates are advised to:•Study the whole syllabus. The examination will always cover all sections of the Study Guide.•Use the pilot paper questions for practice. The pilot paper is also a very good guide to the styles of questions that will continue to be set and to the coverage of the topics in the Study Guide. It is also givesa good indication of the approximate split between calculation and non-calculation questions that willcontinue in examinations up to and including the June 2011 sitting.•Practise as many multiple choice questions as possible in preparing for the examination.•Read questions carefully in the examination•Read previous F2 Examiner’s Reports – they are all still very relevant and helpful. Each contains three multiple choice questions set.。
ACCA F阶段考卷结构介绍
ACCA F阶段考卷结构介绍Structure of the ACCA F1 paperSection A contains 16 one mark objective questions and 30 two mark questions objective test questions (pick one answer from a number of alternatives).Section B will contains 6 four mark multi-task questions. Multi-task questions (MTQs) contain a series of tasks which relate to one or more scenarios.Emphasis of the ACCA F1 examThe syllabus and study guide take you through:•Work effectively in accountancy and finance•Principles of internal control•Evaluating accounting systems•Professional ethics in accounting and finance•Professional values and basic business legislation•Business environment, structure and governance•Leadership management and communicationStructure of the ACCA F2 paperSection A will contain 35 two mark objective questions.Section B will contain 3 ten mark multi-task questions – one will be on Budgeting, one will be on Standard costing, and one will be on Performance measurement.Structure of the F3 paperSection A will contain 35 two mark objective questions.Section B will contain 2 fifteen mark multi-task questions. One will test consolidations and the other will test accounts preparation.Structure of the ACCA F4 paperThe exam will be a two-hour paper, with all questions being compulsory.Section A will comprise 25 objective test questions of 2 marks each, and 20 objective test questions of 1 mark each.Section B will comprise five 6 mark multi-task questions.Emphasis of the ACCA F4 examMajor areas covered in exams are administration as an alternative dispute remedy, sale of goods law and company law. Typically 5 or 6 questions in each exam are from these 3 areas.In the scenario questions, the examiner is looking for a student’s ability to establish the area of law involved, analyse the problem, identify the general principles of law relevant to the question and then apply those principles to the situation in the question, often with the requirement of giving advice to one or more of the parties involved.Structure of the ACCA F5 paperThere are two sections to the exam –Section A will comprise 20 multiple choice questions of 2 marks each; Section B of the exam comprises three 10 mark questions and two 15 mark questions. The two 15 mark questions will come from decision making techniques, budgeting and control, and/or performance measurement and control areas of the syllabus.The Section A questions and the other questions in section B can cover any areas of the syllabus.There are 3 hours for the exam, plus 15 minutes of reading time.Overall, approximately 50% of the exam involves calculations, and approximately 50% is written.Emphasis of the ACCA F5 examAlthough most of the arithmetic involved is not difficult in itself, the calculation parts of questions are designed to check that you understandthe techniques, and can decide what information is relevant, rather than checking that you have just learned rules.For the written parts of questions there is some learning involved, but most of them are again checking that you understand the techniques –that you can explain them, that you can discuss advantages and disadvantages, and that you can identify the problems of applying them in practice.Structure of the ACCA F6 paperThere are no changes to the syllabus in the December 2014 ExamsThere are no changes to the format of the exam in the December 2014 ExamsThe paper will be predominantly computational and will have five questions, all of which will be compulsory.•Question one will focus on income tax and question two will focus on corporation tax. The two questions will be for a total of 55 marks, with one of the questions being for 30 marks and the other being for 25 marks.•Question three will focus on chargeable gains (either personal or corporate) and will be for 15 marks.•Questions four and five will be on any area of the syllabus, can cover more than one topic and will respectively be for 15 marks.There will always be a minimum of 10 marks on value added tax. These marks will normally be included within question one or question two, although there might be a separate question on value added tax.National Insurance Contributions will not be examined as a separate question, but may be examined in any question involving income tax or corporation tax.Emphasis of the ACCA F6 examThe exam will require you to prepare a computation for each of the main taxes correctly including the relevant items and in addition for businesses a Capital Allowances computation, Adjustment of profit statement will be required along with an understanding of the application of the VAT system to that business.Structure of the ACCA F7 paperThe exam is a three-hour paper, with all questions being compulsory, and with 15 minutes reading time.There will be two sections to the exam:Section A will comprise 20 multiple choice questions of 2 marks each.Section B will comprise one 30 mark questions and two 15 mark questions.(The 30 mark question will examine the preparation of financial statements for either a single entity or a group. The section A question and the other questions in Section B can cover any areas of the syllabus.)Structure of the ACCA F8 paperPart A – 20% (12 multiple choice questions: four questions for 1 mark each, eight for 2 marks each)Part B –80% (six compulsory questions: four questions for 10 marks each, two questions for 20 marks eachStructure of the ACCA F9 paperThere are two sections to the exam:Section A comprises 20 multiple choice questions of 2 marks each;Section B comprises three 10 mark questions and two 15 mark questions.The two 15 mark questions will come from working capital management, investment appraisal, and business finance areas of the syllabus. The Section A questions and the other questions in Section B can cover any areas of the syllabus.There are three hours for the exam, plus 15 minutes of reading time.Approximately 50% of the marks will be for calculations and approximately 50% will be written.。
ACCA笔记 F9 FM 文字题总结
PART A[1]As agents of the company’s shareholders,the directors may not always act inways which increase the wealth of shareholders,a phenomenon called theagency problem.[2]They can be encouraged to increase or maximize shareholders wealth bymanagerial reward schemes such as performance-related pay and shareoption schemes.Through these methods,the goals of shareholders anddirectors may increase in congruence.解决代理问题的⽅法有managerialreward schemes。
Managerial reward schemes⼜包括share option schemes和performance-related pay这两种⽅法。
[3]Performance-related pay links part of remuneration of directors to someaspect of cooperate performance.One problem here is that is difficult tochoose an aspect of cooperate performance which is not influenced by theactions of directors,leading to the possibility of managers influencingcooperate affairs for their own benefit rather than the benefit of shareholders.[4]Share option schemes bring the goals of shareholders and directors closertogether to the extent that directors become shareholders themselves.Unfortunately,a general increase in share prices can lead to directors beingreward for poor performance,while a decrease in share prices can lead todirectors not being reward for good performance.[5]However,share option schemes can lead to a culture of performanceimprovement and so can bring continuing benefit to shareholders.股票期权计划可以带来绩效改善的⽂化，因此可以为股东带来持续的利益。
【ACCA驿站】F5、F8、F9考官报告
【ACCA驿站】F5、F8、F9考官报告F5 Performance Management F5 绩效管理June 2015 pass rate – 37%F5 candidates must learn to stand back and look at the big picture in questions at this level, says the latest Examiner’s Report (for June). If you can learn to do this it will serve you well when moving on to the professional level papers.F5的考生必须学会后退一步，站在大局观上来看待问题，最新的考官文章（6月）说。
如果你学会这个，这对你专业水平的考试很有帮助。
It seems many students struggled with the ABC question (Q1) in June. The examiner pointed to the fact that students are making fundamental errors when calculating their answers.似乎许多学生在Q1上费了很大功夫。
考官指出，计算这个问题时他们犯了很基本的错误。
Q2 covered transfer pricing and sitters again struggled with this topic.For Q3, the examiner examined learning curves in conjunction with planning and operational variances. When answering a question involving consideration of consequences the examiner said PQs need to ask themselves: ‘why should we care, why is it important?’ This should help ensure that the implications of the observations being made are also consideredin order to earn the marks available.Q3考察了结合规划和操作差异的学习曲线。
ACCA考试：考官文章2010年6月P5
ACCA考试：考官文章2010年6月P5本文由高顿ACCA整理发布，转载请注明出处ACCA是财会界权威的国际会计师组织，在全球160多个国家拥有30万会员，取得ACCA资质证书可以获得英国名校硕士学位、移民资格以及国际财会界的通行证，最高年薪已逾百万元，为众多的跨国公司和国际四大会计师事务所所推崇。
General CommentsFirstly，I would like to offer my congratulations to all of those candidates who achieved a pass at this diet and my commiserations to those who did not.The examination paper comprised two sections，A and B. Section A consisted of two compulsory questions for 60 marks in total. Section B consisted of three optional questions for 20 marks each from which candidates were required to answer two questions.It was pleasing to see a large number of candidates providing good answers toevery question they attempted and consequently achieving high marks.Sadly，the examination revealed a large number of candidates who were either inadequately prepared for the examination or failed to read the question requirements carefully. Nevertheless it was pleasing to observe that the improved overall performance of previous diets has been maintained，where there have been few candidates scoring very low marks.In general，candidates are demonstrating good skill at description but are weaker on analysis. This is a lesson that has gone unlearned from previous diets. Many answers often limited themselves to basic comments on trends （e.g. in Q1 （iii）and Q5 and tended to limit their analysis to ‘this has gone up’，‘this has gone down’etc. At the professional level，comments should be helpfully quantified where possible and the commercial implications discussed. So‘prevention costs have increased’would be improved to ‘the prevention costs have risen by （e.g.）12% and this should yield benefits by improving production quality and so lowering future rectification costs and improving customer satisfaction.’This shows the ability to create information and interpret it for the business being analysed.As a further general suggestion to improve candidates’technique，those who use the scenario to provide illustrations of their general knowledge of a topic score more efficiently and effectively than book-learned definitions supported by vague business examples.Specific CommentsQuestion OneThe question requested a report on the use of broader performance management systems at a consultancy business （SBC）。
ACCA 2012年6月份考官报告 F2 Management Accounting
Examiner’s reportF2/FMA Management AccountingJune 2012General CommentsThis was the second examination under the new syllabus. This syllabus amalgamates the old CAT T7 Planning control and performance management paper (now the FIA FMA paper) and the old ACCA F2 Management accounting paper, into one common syllabus and examination. The two-hour paper contained 50 multiple choice questions – each worth 2 marks. The mix of questions across syllabus heads was exactly in line with both the pilot paper and the December 2011 paper. The general performance of candidates was an improvement on December 2011, but none the less a little disappointing. The majority of poorly attempted questions were calculation based, but a significant minority were narrative. Questions that were poorly attempted were evenly spread across old and new syllabus areas. In general the FIA FMA candidates performed worse than their F2 counterparts.The following questions taken from the June 2012 examination are ones where the performance of candidates was weak. Each of these questions carried 2 marks and each related to a mainstream topic in the Study Guide.Sample Questions for DiscussionExample 1An investment centre earns a return on investment of 18% and a residual income of $300,000. The cost of capital is 15%. A new project offers a return on capital employed of 17%.If the new project were adopted, what would happen to the investment centre’s return on investment and residual income?Return on investment Residual incomeA increase decreaseB increase increaseC decrease decreaseD decrease increaseThe question relates to study guide reference E2f.The correct answer is D. The new project’s return on investment is less than that of the investment centre and this will result in a reduction in its return on investment. However because the project offers a return higher than the cost of capital it will increase the investment centre’s residual income. The most popular answer was C, with 29% of candidates mistakenly believing that the new project would result in a decrease in both return on investment and residual income. This mistake suggests a lack of understanding of residual income.Example 2.An investor has the choice between two investments. Investment Exe offers interest of 4% per year compounded semi-annually for a period of three years. Investment Wye offers one interest payment of 20% at the end of its four-year life.What is the annual effective interest rate offered by the two investments?Investment Exe Investment Wye4·00% 4·66%A5·00%B 4·00%4·66%C 4·04%D 4·04% 5·00%The question relates to study guide reference C5dThe correct answer is C. The answer can be arrived at by calculation (Investment Exe annual effective return = 1.022 – 1 = 0.0404 or 4.04% and investment Wye annual effective return = 1.200.25 – 1 = 0.0466 or 4.66%). Alternatively the answer can be “reasoned” out: investment Exe’s semi annual compounding must result in a higher effective annual rate than 4% (2 × 2%) and a 20% return over a 4 year period must have an effective annual rate of less than 5% (20% ÷ 4 years) when the compounding effect is allowed for. Just over 32% of candidates incorrectly selected option D . This suggests that although most candidates can convert a sub annual interest rate into an effective annual rate, many find it difficult to convert a multi year rate into an effective annual rate.Example 3A company uses standard absorption costing to value inventory. Its fixed overhead absorption rate is $12 per labour hour and each unit of production should take four labour hours. In a recent period when there was no opening inventory of finished goods, 20,000 units were produced using 100,000 labour hours. 18,000 units were sold. The actual profit was $464,000.What profit would have been earned under a standard marginal costing system?A $368,000B $440,000C $344,000D $560,000The question relates to study guide reference B2d.The correct answer is A.Standard absorption costing will include $96,000 of the period’s overhead (2,000 units × 4 labour hours × $12 per hour) in the valuation of closing inventory. Under standard marginal costing the $96,000 would be charged against the period’s profit resulting in a profit $96,000 lower than $464,000. This type of question is included in virtually every costing textbook and it is disappointing that only a minority of candidates selected the correct alternative. The most common answer was B, ($464,000 – 2000 units × $12 per labour hour) suggesting some misunderstanding of overhead absorption rates or careless reading of the question. C was also a popular answer ($464,000 – 2,000 units ÷ 20,000 units × 100,000 hours × $12 per labour hour) indicating that many candidates believed that inventories should be valued on the basis of actual labour hours in a standard absorption costing system. On the bright side, only a small proportion of candidates selected alternative D, which indicates that most candidates understand that in periods of rising finished goods inventories, absorption costing will show higher profits than marginal costing.Inevitably examiners’ reports focus on the more difficult questions that were badly attempted. The exam also contained a number of questions that were very well answered. In the examination candidates should ensure that they attempt the easier questions first to ensure they gain the “easy marks”. They can then go on to attempt the more difficult or time consuming questions last.Future candidates are advised to:∙Study the whole syllabus.∙Practise as many multiple choice questions as possible.∙Read questions very carefully in the examination.∙Attempt all questions in the examination (there are no negative marks for incorrect answers). ∙Try to attempt the “easy” examination questions first.∙Not to spend too much time on apparently “difficult” questions.∙Read previous Examiner’s Reports.∙Read Student Accountant。
ACCA F9 87分-我的备考经验
ACCA F9 87分-我的备考经验作者简介刘琪琪，重庆大学2013级ACCA班学生，常被同班同学戏称“学姐”，一个大写的“伪学霸”，狗血韩剧爱好者。
2015年12月ACCA全球统考F9 87分。
颤抖的手点开了名为“ACCA Examination Results” 的邮件，映入眼球的“PASS”让我终于松了一口气。
12月我跟着学校的安排报考了F9和P1两门考试，P1 50+飘过，F9 87分。
说实话，F9 是我目前考过的五门ACCA科目里面我感觉通过得最容易的一个，但是其实在考试之前，内心是无比忐忑的。
因为免考五门，前面只参加过F6 F7 F8的考试，但是F6和F7这种计算科目我都是60+低空掠过，因此面对F阶段最后一门计算部分占比较高的科目，我十分谨慎，也希望能挽回一点理科生的尊严哈哈。
下面我就简单谈谈我对F9的备考心得。
计算部分必须拿下ACCA中的计算部分对于绝大部分中国考生应该是用来凸显自己优势的武器，而这个武器要用好才不会误伤到自己。
因此对于F9，计算部分的几个大模块一定要熟练掌握,分别是Investment Appraisal, Business Finance, Business Valuation, Working Capital Management以及Risk Management。
我个人对于计算部分的学习方法主要就是上课跟着老师的思路走，下来自己多做题加深理解。
例如，Investment Appraisal当中最重要的就要数NPV的计算了，而其中我认为比较容易丢分的是Working Capital究竟要不要recover，我其实不太爱问问题，直到结课都还没完全分清需要recover WC的情况，后面终于在网上问了Yoyo老师，考试果然就考到这个点了。
总结出来很简单但很重要的道理，不懂千万不要怕问啊！此外，Tax清缴是否deferred也一定要看清题目要求。
对于NPV，相信大家都会算，只是千万要小心一些细节的东西，不要失掉了有能力拿到的分数。
F9考官亲自陈述ACCA考试报告--Question Four (a)
F9考官亲自陈述ACCA考试报告--Question Four （a）本文由高顿ACCA整理发布，转载请注明出处Question Four （a）This part of question 4 asked candidates to calculate the value of a company using four different methods. Most candidates were able to calculate correctly the market capitalisation （equity market value）of the company by calculating the number of shares and multiplying this total by the market value per share. Occasional errors that arose were incorrect calculations of the number of shares and adding the value reserves to the calculated market capitalisation. Many students were not able to calculate correctly the net asset value on a liquidation basis. Some answers calculated the net asset value from the current statement of financial position information, rather than on a liquidation basis. A common error was to fail to subtract non-current liabilities, or current liabilities, or both from the revised figure for total assets. The price/earnings ratio valuation method was often calculated correctly, although some answers began by dividing earnings by the number of shares to give earnings per share, and ended by multiplying share price by number of shares to give company value, representing an unnecessary dip into and out of share-based values. Some candidates had difficulty calculating the average historical dividend growth rate, although either the arithmetic or geometric average would have been accepted. Most answers were able to offer a dividend growth model value, even when the calculated growth rate was incorrect.The second dividend growth model valuation required the dividend growth rate to be calculated using Gordon’s growth model, as the product of the retention ratio and the return on equity. It was common to see the retention ratio calculated correctly, only to be multiplied by the cost of equity instead of the return on equity.更多ACCA资讯请关注高顿ACCA官网：。
2012年12月ACCA考试F9考试考官报告(1)
2012年12月ACCA考试F9考试考官报告本文由高顿ACCA整理发布，转载请注明出处General CommentsCongratulations to all those candidates who were successful in passing Paper F9 in December 2012! The overall performance in December 2012 was good and most candidates answered four full questions. Please read this report carefully if you were not successful in passing the paper at this sitting, as it indicates areas where candidate answers in general could be improved, as well as indicating where candidates did well. It is also recommended that this report should be read in conjunction with the detailed suggested answers written by the examiner. Overall, the highest marks were usually gained on question 1, while roughly equal marks were gained on questions 2, 3 and 4.Specific CommentsQuestion One (a)This question called for the calculation of the net present value (NPV) of a construction project for BQK Co and then comment on its financial acceptability. Many candidates gained high marks on this part of question. A nominal terms evaluation had to be undertaken because tax on profits was being paid one year in arrears, and because specific inflation rates were linked with selling price, variable cost and infrastructure costs. The nominal after-tax cost of capital of 12% was given in the question. Some answers mistakenly used the real after-tax cost of capital of 9%, or tried to calculate another discount rate altogether using the Fisher equation, but all that was needed was to use the 12% rate provided. Although the question stated that two types of houses were to be built on the development site, some candidates mistakenly treated large houses and small houses as two separate investment projects. Some candidates chose to ignore the fixed infrastructure costs which the question stated were for new roads, gardens, drainage and utilities, arguing that fixed costs were not relevant in investment appraisal, but a housing development without roads, drainage and so on would not be a practical investment. Most answers calculated correctly the nominal values of sales income, variable costs and fixed costs, and then calculated correctly and timed correctly in arrears the tax liabilities on the before-tax cash flow. The question said that capital allowances on the purchase cost of the development site were on a straight-line basis over the four year construction period. Most answers calculated correctly the associated capital allowance tax benefits, although some candidates lost marks by calculating capital allowances on a 25% reducing balance basis. Having calculated nominal after-tax cash flows, some candidates chose mistakenly to discount them with thereal after-tax cost of capital of 9%. Nominal after-tax cash flows must be discounted with a nominal after-tax cost of capital (this is the nominal terms approach).Some answers chose not to comment on the financial acceptability of the investment project and so lost a relatively straightforward mark. A small number of answers wasted valuable time by commenting at length on financial acceptability, for example by discussing critically the merits of NPV as an investment appraisal method.Question One (b)Candidates were asked here to calculate the before-tax return on capital employed (ROCE) of the investment project on an average investment basis and to discuss briefly its financial acceptability. Many candidates did not gain full marks here because they were not sure of how to calculate ROCE for investment appraisal purposes. The definition of ROCE in this case is average annual accounting profit as a percentage of average annual investment. Since the NPV evaluation was in cash flow terms, accounting profit had to be calculated by subtracting depreciation from investment project cash flows, a point overlooked by some candidates. Some candidates were also not aware that average annual accounting profit, rather than total accounting profit, was needed. Some candidates incorrectly chose to calculate internal rate of return (IRR), perhaps because they were confusing ROCE with IRR. It is also possible that this error was partly due to the fact that both ROCE and IRR are relative measures of investment worth.Question One (c)The requirement here was to discuss the effect of a substantial rise in interest rates on the financing cost of the construction company and its customers and on the capital investment decision-making process. This question allowed students to show their understanding of how a company might be affected by its economic environment and many candidates gained credit for making relevant points. For example, the increased cost of customer borrowing might lead to a reduction in forecast demand for housing that could be countered in part by a change in product mix, increasing the proportion of small houses expected to be built. Candidates who lost marks tended to do this in one of two ways. Firstly, some candidates spent time explaining why interest rates might increase in an economy, something that was not required by the question and so did not gain any credit. Secondly, some candidates explained, occasionally at length, the stages in the investment appraisal process. Again, since this had not been asked for, such explanations did not gain any credit.更多ACCA资讯请关注高顿ACCA官网：。
ACCA F阶段考卷结构介绍
ACCA F阶段考卷结构介绍Structure of the ACCA F1 paperSection A contains 16 one mark objective questions and 30 two mark questions objective test questions (pick one answer from a number of alternatives).Section B will contains 6 four mark multi-task questions. Multi-task questions (MTQs) contain a series of tasks which relate to one or more scenarios.Emphasis of the ACCA F1 examThe syllabus and study guide take you through:•Work effectively in accountancy and finance•Principles of internal control•Evaluating accounting systems•Professional ethics in accounting and finance•Professional values and basic business legislation•Business environment, structure and governance•Leadership management and communicationStructure of the ACCA F2 paperSection A will contain 35 two mark objective questions.Section B will contain 3 ten mark multi-task questions – one will be on Budgeting, one will be on Standard costing, and one will be on Performance measurement.Structure of the F3 paperSection A will contain 35 two mark objective questions.Section B will contain 2 fifteen mark multi-task questions. One will test consolidations and the other will test accounts preparation.Structure of the ACCA F4 paperThe exam will be a two-hour paper, with all questions being compulsory.Section A will comprise 25 objective test questions of 2 marks each, and 20 objective test questions of 1 mark each.Section B will comprise five 6 mark multi-task questions.Emphasis of the ACCA F4 examMajor areas covered in exams are administration as an alternative dispute remedy, sale of goods law and company law. Typically 5 or 6 questions in each exam are from these 3 areas.In the scenario questions, the examiner is looking for a student’s ability to establish the area of law involved, analyse the problem, identify the general principles of law relevant to the question and then apply those principles to the situation in the question, often with the requirement of giving advice to one or more of the parties involved.Structure of the ACCA F5 paperThere are two sections to the exam –Section A will comprise 20 multiple choice questions of 2 marks each; Section B of the exam comprises three 10 mark questions and two 15 mark questions. The two 15 mark questions will come from decision making techniques, budgeting and control, and/or performance measurement and control areas of the syllabus.The Section A questions and the other questions in section B can cover any areas of the syllabus.There are 3 hours for the exam, plus 15 minutes of reading time.Overall, approximately 50% of the exam involves calculations, and approximately 50% is written.Emphasis of the ACCA F5 examAlthough most of the arithmetic involved is not difficult in itself, the calculation parts of questions are designed to check that you understandthe techniques, and can decide what information is relevant, rather than checking that you have just learned rules.For the written parts of questions there is some learning involved, but most of them are again checking that you understand the techniques –that you can explain them, that you can discuss advantages and disadvantages, and that you can identify the problems of applying them in practice.Structure of the ACCA F6 paperThere are no changes to the syllabus in the December 2014 ExamsThere are no changes to the format of the exam in the December 2014 ExamsThe paper will be predominantly computational and will have five questions, all of which will be compulsory.•Question one will focus on income tax and question two will focus on corporation tax. The two questions will be for a total of 55 marks, with one of the questions being for 30 marks and the other being for 25 marks.•Question three will focus on chargeable gains (either personal or corporate) and will be for 15 marks.•Questions four and five will be on any area of the syllabus, can cover more than one topic and will respectively be for 15 marks.There will always be a minimum of 10 marks on value added tax. These marks will normally be included within question one or question two, although there might be a separate question on value added tax.National Insurance Contributions will not be examined as a separate question, but may be examined in any question involving income tax or corporation tax.Emphasis of the ACCA F6 examThe exam will require you to prepare a computation for each of the main taxes correctly including the relevant items and in addition for businesses a Capital Allowances computation, Adjustment of profit statement will be required along with an understanding of the application of the VAT system to that business.Structure of the ACCA F7 paperThe exam is a three-hour paper, with all questions being compulsory, and with 15 minutes reading time.There will be two sections to the exam:Section A will comprise 20 multiple choice questions of 2 marks each.Section B will comprise one 30 mark questions and two 15 mark questions.(The 30 mark question will examine the preparation of financial statements for either a single entity or a group. The section A question and the other questions in Section B can cover any areas of the syllabus.)Structure of the ACCA F8 paperPart A – 20% (12 multiple choice questions: four questions for 1 mark each, eight for 2 marks each)Part B –80% (six compulsory questions: four questions for 10 marks each, two questions for 20 marks eachStructure of the ACCA F9 paperThere are two sections to the exam:Section A comprises 20 multiple choice questions of 2 marks each;Section B comprises three 10 mark questions and two 15 mark questions.The two 15 mark questions will come from working capital management, investment appraisal, and business finance areas of the syllabus. The Section A questions and the other questions in Section B can cover any areas of the syllabus.There are three hours for the exam, plus 15 minutes of reading time.Approximately 50% of the marks will be for calculations and approximately 50% will be written.。
p2-examreport-d13
Examiner’s reportP2 Corporate ReportingDecember 2013General CommentsThe examination consisted of two sections. Section A contained one question for 50 marks and Section B contained three questions of 25 marks each, from which candidates had to answer two questions. Question 1 is a lengthy and difficult question and often determines whether a candidate is successful in the examination. A quite surprising phenomenon is the fact that candidates often do not answer all parts of all questions. This contributes to failure in the examination. This is particularly the case in question 1c, which is invariably a question, which requires ethical knowledge and application. This is part of the syllabus, which is quite finite in terms of a candidate’s knowledge, and where marks can readily be gained for a well-argued answer. Student feedback seemed to indicate that candidates felt that the paper was difficult for various reasons. This report will set out how candidates should apply themselves in answering this paper, and it will illustrate how to gain success in this examination. There are obvious problems which arose such as failing to read the question clearly and therefore providing irrelevant answers, poor time management where candidates spend too much time on one aspect of a question and too little on others but more particularly, poor application of knowledge to the scenario. Many of the questions are based around real life scenarios, which mean that rote learning of topics will simply not work. Many of the marks are given for the application of the standard. In many questions, the knowledge of the standard does not need to be in great depth but the answer does need to be precise and relevant. If a client requests advice from an ACCA member, it is unlikely that they would want the member to quote an IFRS word for word without any application to their particular circumstances. Most of the real issues in corporate reporting revolve around the application of existing standards and the weaknesses therein. The Examiners guidance to P2 sets out the nature of what is considered to be a current issue, and criticisms of extant standards are prominent in that cast. A candidate is required to understand real issues affecting the profession. These issues will not always be EDs or DPs simply because they will not be currently applied in practice until they become an IFRS. It is difficult for the writers of the ACCA text books to keep up with current issues. Therefore it is incumbent upon students to read articles for themselves. A cursory glance at key websites on a monthly basis will keep a student’s knowledge up to date. For example, recently there has been a DP on the conceptual framework, recommendations on key areas for European regulators to review, and a framework for integrated reporting published. These are current issues, which may or may not appear in the examination but candidates should ask themselves whether they could answer a question on such topics.Generally the pass rate was consistent with other examination diets, which would tend to indicate that the difficulty of question paper was consistent with past examinations.Question OneThis question required candidates to prepare a consolidated statement of cash flows using the indirect method for the Angel Group plc for the year ended 30 November 2013 in accordance with the requirements of IAS 7 Statement of Cash Flows. Questions requiring the preparation of consolidated statement of cash flows will always consist of fairly basic adjustments and more complex ones. The complex adjustments require candidates to determine how the statement of cash flows is affected by the information in the question. For example, in this question, a grant had been received by Angel but it had not recorded correctly in the financial statements. More basic adjustments would be the purchase of an associate, the implication of impairment of goodwill and the sale and purchase of financial assets. These latter adjustments just require candidates to show how these items are dealt with in the consolidated statement of cash flows. Invariably there will be a calculation of goodwill in the question so that candidates can demonstrate their group accounting skills. The impact on the cash flow statement will depend on the nature of the information given. In this case, a subsidiary was purchased and the balances had to be adjusted for in the consolidated statement of cash flows. Several candidates did not adjust for the purchase of the subsidiary .This of course affects several items in the consolidated statement of cash flows. However the marking scheme treated the non-adjustment of the various balances as a single error. Additionally, candidates had to show how a retirement benefit obligation as adjusted for the purchase of the subsidiary wasdealt with and also PPE movement was complicated by the capitalisation of interest in the period as well as the above-mentioned grants.Consolidated statement of cash flows questions will always have complex elements and this question was no different. However, there are some elements of the consolidated statement of cash flows which are quite basic and candidates always score well in this regard. Marks are awarded, for example, for simply showing the proceeds of the issue of share capital, which was simply the deduction of two figures in the statement of financial position. However, the difficulty with a consolidated statement of cash flows question is that it is more difficult to award marks for method as some of the items in the statement are either ‘right’ or ‘wrong’. In consolidated statement of financial position questions, marks are allocated for method for such calculations as goodwill, NCI, Group reserves etc. In this type of question there are not as many of these types of calculations. Additionally, candidates often place the wrong sign on the correct figure. For example, a deduction is made in the statement rather than an addition. If this is a simple subtraction of two figures and the candidate puts the wrong sign on the resultant figure then it is difficult to award marks.It is important as always to show all workings. For example, very few candidates correctly calculated the income taxes paid figure but there were several marks for this calculation, which were often awarded in the workings in the scripts. As intimated above, many of the figures in the statement do not need workings but where they do, it is important to show them.Candidates did quite well on this question but it is important to heed the advice given in the report above.Part b of the question required candidates to discuss the principles behind the classifications in the statement of cash flows whilst advising on two transactions. It is obviously important to know the principles behind the statement as classification of items is not always clear-cut and the principles have to be used to classify these items. Candidates found this question difficult to answer satisfactorily as many candidates simply outlined the headings in the statement rather than discussing the cause or reason for the classification. The second element of the question required a discussion of how two items should be treated. The wording above the two transactions was as follows: ‘they (the directors) are unsure of the meaning of the definition of cash and cash equivalents’. This sentence was an indicator of the type of discussion, in which candidates should have engaged, that is, whether the two items were cash or cash equivalents. However candidates often did not engage in this discussion choosing to extend their discussions from the first part of the question.Part c required candidates to discuss a comment by the Directors of Angel that codes of ethics were irrelevant and unimportant. Quite a worrying trait was that some candidates actually agreed with the directors’ comment, stating that the profit motive was more important than ethical behaviour. In previous examiners reports, I have commented that candidates often do not answer question 1c or do not apply their knowledge. The same comment applies again. This part of the question normally attracts high marks if candidates apply their knowledge and therefore it is a part of the paper, which should never be omitted.Question TwoQuestion 2 was split into 3 parts. Generally within each part of the question, marks are awarded for knowledge of the relevant standard(s) and for application of the standard(s) to the scenario. Thus it can be seen that if a candidate simply recites the IFRS, then it is unlikely that the candidate will score more than half marks. In fact, it is likely to be less than half marks. In part a of the question the following sentence could be seen ‘Havanna’s accounting policy for revenue recognition is to recognise the contract income in full at the date when the contract was signed’. Therefore it should have been evident that the knowledge required was that of IAS 18 Revenue. The level of knowledge needed to answer the question was quite basic but candidates had to apply that knowledge to gain the marks and again this was where any problem arose. However, this part of the question was answered quite well.Part b of the question dealt with a disposal group with the relevant standard being IFRS 5 Non current Assets Held for Sale and Discontinued Operations. Again the marks were split between knowledge and application. The main issue with the answers to this question was that candidates found reasons as to why the disposal group was incorrectly classified as such, when there was no evidence in the question of this fact. The main problem was the measurement of the disposal group but many candidates failed to recognise this fact. It should be said that every question dealing with IFRS 5 will not be centred on the determination as to whether the non-current asset or disposal group is ‘held for sale’. Again the knowledge level was basic and the application extremely important. The second part of part b required candidates to determine whether certain costs should be dealt with as part of continuing operations or as part of the disposal group. The marking of this section of the question was based upon the candidates reasoning and the treatment of the items involved. Obviously if the reasoning was inaccurate then few marks could be gained. The part of the question was not well answered and if candidates did not recognise that it was a measurement issue re IFRS 5 then they struggled to gain a pass mark in the part. Part c of the question required candidates to give advice on accounting for a sale and lease back of property in four different price scenarios. This part of the question was answered quite well by candidates. The main issue was that some candidates simply showed the accounting entries without discussing the implications. However candidates scored well on this part of question 2.Question ThreeAs mentioned in the introduction to this report, many of the scenarios set out in the question paper are based upon ‘real life’ examples and this question was a good example of this fact. In part a, an entity had a subsidiary which had two classes of shares, A and B, and the B-shares owned by minority shareholders were to be reported as a non-controlling interest. Candidates were required to determine whether this treatment was correct. The knowledge level required was simply the definition of equity and liability in IAS 32.The application however was given equal weighting in the marking. Candidates seemed to understand the definitions but could not apply them. If the application was not exactly correct, candidates scored marks for a sensible discussion. In answering this type of question, candidates should plan their answer by thinking of the knowledge required and how they are going to apply that knowledge as generally, both aspects are equally important. The question was generally answered reasonably well.Part b of the question dealt with hedging relationships. It was a difficult question in many ways but candidates could score reasonably well if they approached the question sensibly. As set out above marks were awarded for knowledge and application. Therefore candidates could gain marks for knowledge of cash flow hedge accounting. The application to the scenario was quite difficult and required candidates to set out the accounting on termination of the specific hedging relationship. However, a pass mark in this part of the question was easily be gained by those candidates who applied their knowledge. The second element of part b again dealt with hedging and again the above principles applied. Knowledge of the equity method was required and its application in a hedging situation. This part of the question was not well answered.Part c of the question dealt with the situation where the entity entered into a business combination with another listed bank. The question dealt with the situation where it was difficult to determine an acquirer. The knowledge required was that of IFRS 3 and IFRS 10.This type of question has been asked in the past and because of the introduction of IFRS 10, it was pertinent to ask candidates to apply the new standard. The key aspect of this question was the discussion of the principles and applying it to the scenario. The scenario contained a significant amount of information, which should have been used by candidates Marks were gained by discussing the various facts set out in the question. This part of the question was quite well answered.In conclusion, although this question may have seemed difficult, parts a and c simply required basic knowledge of the IFRS and part b reacquired knowledge of hedging relationships. At this level of a professional qualification, this knowledge level should be taken as granted. The application of this knowledge is where candidates were weakest. The question was not generally well answered by candidates.Question FourThis question required candidates to discuss how judgement and materiality play a significant part in the selection of an entity’s accounting policies, discuss the circumstances where an entity may change its accounting policies, setting out how a change of accounting policy is applied and the difficulties faced by entities where a change in accounting policy is made, and to discuss why the current treatment of prior period errors could lead to earnings management by companies, together with any further arguments against the current treatment. There was some comment by observers of the paper that this question was not a current issue.As set out in the question, often judgements used at the time of transition to IFRS have resulted in prior period adjustments and changes in estimates being disclosed infinancial statements. There are many instances of this issue nationally and internationally. The examiners guidance video sets out the nature of current issues and to paraphrase (last slide after 17 minutes and 45 seconds),’current issues will deal with the use of professional judgement, may be focused on a single extant standard and examine non compliance with basic aspects of IFRS. Candidates should read relevant articles in professional journals’ .This question fits exactly into this category of current issues.Any professional accountant should understand how critical is the use of judgement and materiality. In selecting an entity’s accounting policies many issues arise in practice over the use of extant standards and IAS 8 is no different. Understanding how a change in accounting policy or an accounting error is dealt with and the difficulties therein is again fundamental. Similarly if accountants cannot recognise the potential earnings management issues in this context, then there is a major issue for the profession.The question asked for discussion and examples and the marking scheme reflected these requirements. The weighting of the marks was heavily towards the discursive aspect of the question and many candidates failed to gain these marks, particularly as regards the examples as very few practical examples were given. This question demonstrates the difference in knowledge and application between paper F7 and P2.The preamble to the question also gave candidates guidance as to how to answer the question by saying ’Entities also often consider the acceptability of the use of hindsight in their reporting’ but often this guidance was ignored.Part b of the question set out three scenarios where there could possibly be a prior period error or change in an accounting policy. This part of the question was quite well answered by candidates. It is quite interesting that in part a there were very few examples given of prior period errors etc even though there were examples given in part b which could have been used in the correct context in part a.ConclusionThe paper required candidates to demonstrate knowledge and application. The knowledge level was that expected of a candidate at this level of a professional qualification. Many marks are lost if candidates do not demonstrate the application of this knowledge. A question on cash flows brings with it benefits and problems for candidates. There are marks for relatively simple adjustments but fewer marks for ‘method’ and therefore candidates need to ensure accuracy in their calculations. Candidates should always think that the marks are allocated for knowledge and application, and draft their answers accordingly. Current issues can be based around extant standards and therefore wider reading is required by candidates so that they have a real understanding of the problems that entities face. The examiners guidance is very helpful in this regard.Overall, candidates’ performance was similar to previous diets, which was encouraging.。
p5-examreport-d14
Examiner's reportP5 Advanced Performance ManagementDecember 2014IntroductionFirstly, we would like to offer our congratulations to all of those candidates who achieved a pass at this diet and our commiserations to those who did not.In this report, our aim is to indicate areas of good and poor performance with the specific additional purpose of helping future candidates assess what is required of them. We have added comments about potential improvements to examination approach that could be made after the commentary on each specific question.We will begin with general comments about the approach and then provide a commentary on the specific questions in the examination paper.General CommentsThe examination paper comprised two sections, A and B. Section A consisted of one compulsory question for 50 marks in total. Section B consisted of three optional questions for 25 marks each from which candidates were required to answer two questions.The vast majority of candidates attempted their allocation of three questions and there was little evidence of poor time management in terms of completing the paper. Amongst the section B questions, question 2 was certainly favoured in the number of candidates attempting it.The examining team continue to be concerned that the advice in past examiner's reports and approach articles does not seem to have been taken up by many candidates. We would strongly advise that candidates use these materials to ensure that they have the right overall attitude to P5, which is intended to lie at a post-graduate level.As a result, we would offer similar broad comments to past reports. Most examinations require a balance of memory work and evaluation/analysis. As one goes through the levels (say from F2 to F5 to P5) this balance changes, from pure memory to more analysis.Good candidates distinguish themselves by being aware that if they come to this examination expecting to repeat memorised material, they will probably score only between 20% and 30%. Many candidates have clearly been taught that they should define, in their answer, any ‘jargon’ terms in the question requirement, however, it is wrong to assume that this alone will achieve a passing answer at P5.Basic knowledge issues at this diet arose in two ways: 1) it was clear that a number of candidates confused terms used in P5 (performance prism confused with the performance pyramid, lifecycle costing confused with product lifecycle, cashflow confused with profit) and; 2) as in previous diets, basic management accounting calculations were not well understood or performed e.g. an inability to calculate the return on capital employed and simple calculations being done incorrectly through an inability to round answers.The basis of this examination is analysis and application which then leads to evaluation. The candidate will need a foundation in the techniques of the syllabus but should focus more on evaluation of these techniques and consideration of their usefulness to the given scenario. This is not difficult to revise as it is a mindset that can easily be encouraged by attempting past papers as an integral part of the revision process. Candidates need to be aware that performance management is an area which, at an advanced level, is dependent upon situation and environment. A good, professional level answer will go beyond the mere repetition of how a technique works and focus on relating it to the entity's specific environment. As in previous diets, it was very clear to the marking team that those candidates that had grasped the need for this went on to pass the paper.This issue leads directly to the repeated advice to candidates to ‘answer the question asked'. There are several detailed examples in the discussion below where candidates answered a different requirement from the one asked or simply ignored a part of the requirement (and thus the marks on offer). There was also a lack of recognition for the suggestions contained within the scenario. Candidates should remember that the scenario is intended to mimic real life, in so far as is possible in the examination context. Therefore, when the CEO of the company that you are advising in a question suggests that ‘you do not, at this stage, suggest long lists of additional indicators’ then candidates need to realise that they are wasting (valuable) time providing long lists of additional indicators.Question OneThis 50-mark question was based around a multinational, listed engineering business, Boltzman Machines (Boltzman). Boltzman had two operating divisions; manufacturing aerospace and automotive parts. The company has three business initiatives in progress and firstly, the candidates were required to show how these fit within the performance prism. Then the candidates were required to take an existing stakeholder analysis and discuss suitable management approaches from this, including an evaluation of five suggested performance measures. Next, Boltzman needed to be benchmarked against its main competitor with the method of benchmarking evaluated. Finally, candidates were asked to explain the problems of moving to just-in-time manufacturing at Boltzman.Part (i) for 9 marks, explaining the facets of the performance prism and relating the three initiatives to it, was generally well done, with many candidates scoring 7 out of 9 or higher. There was a minority of candidates who confused the performance prism with the performance pyramid and their responses struggled to be relevant to the question as a result.Part (ii) of the question, worth 14 marks, required the candidates to select and justify an appropriate management approach to each of four stakeholders and, using this analysis, evaluate five given performance measures. Those candidates that answered the question generally scored well on this part. Many candidates chose to rework the analysis of interest and power stating whether or not they agreed with it, which wasted time when the focus of the answer needed to be on suitable management approaches. The discussions of the five given performance measures tended to be general rather than specific to the issues in Boltzman and the stakeholder analysis and as a result, candidates tended to write many words before getting to the point of their answer.As mentioned , a number of candidates chose to ignore the advice in the scenario ‘The CEO has asked that you do not, at this stage, suggest long lists of additional indicators’ and its repetition in the question requirement to ‘evaluate the appropriateness of the performance measures suggested in Appendix 1‘. Again, these extra indicators (often without any justification) wasted valuable time. It may be helpful for candidates to read all of the question requirements rather than just part by part, since it would then be obvious that the part (iii) deals with suggestions for new indicators.Part (iii) for 16 marks requested that Boltzman be benchmarked against a similar company General Machines using the five performance measures already in use at Boltzman and providing two more justified measures and then, the approach to benchmarking be evaluated.While there were many passing answers to this part of the question, there were many basic mistakes made. First, many candidates still do not know how to calculate return on capital employed (ROCE) which is an important ratio. Second, some candidates are careless with simple calculations. Here, this was illustrated by a large number of candidates not correctly rounding figures e.g. 14.7% does not round to 14%, it rounds to 15%. Third, many candidates failed to address the second part to the requirement to evaluate the approach to benchmarking. The approach here was an external, competitive benchmarking. Those that did make an attemptoften only provided a rote-learned list of steps for carrying out benchmarking without assessing how the presented approach matches that ideal. It must be realised that evaluate means consider the pros/cons of a method and this could have also included discussion of the alternative methods of benchmarking (functional/internal).In part (iv) for 7 marks, candidates were asked to explain the problems of moving to JIT manufacturing at Boltzman. This part was generally well done with most candidates demonstrating a fair knowledge of the JIT processes. However, many candidates that probably could have scored full marks failed to do so as they did not discuss the ‘problems’ of moving to JIT. Instead, there was a discussion of how to implement JIT or the benefits of JIT with the problems only appearing incidentally. Again, the marking team thought that candidates could have scored more marks, more quickly, by focussing on the question asked.As has become common, those candidates who had practised writing professional answers prior to the examination performed admirably in the presentation area (4 marks). The markers were looking for suitable report headings, an introduction, a logical structure, signposted by the good use of subheadings in the answer, and a clear, concise style. A conclusion was not required for the 4 marks but if a suitable and substantive one was offered then it was given additional credit.Future candidates should note the need to learn the knowledge (e.g. definition of ROCE, performance prism) and then apply it in answering the question asked and in addition, ensure that answers are tailored to the specific requirements of the question.Section BQuestion TwoThis 25-mark question covered aspects of performance measurement in the context of the waste service of a local government body (BLA). This was the most popular question chosen in section B and was generally fairly well answered.Part (a) was worth 6 marks and involved explaining the usefulness of non-financial indicators at BLA.This part was often fairly done. There was, however, notable failure to grasp that cost measures, for example from budgets, are financial NOT non-financial indicators.Part (b) for 12 marks required the candidates to measure the value for money given by BLA’s waste service. This part was also fairly done but not many candidates scored a mark of 9 or above. A major aim of P5 is to give the candidates the ability to structure their work through the models – not just be able to state the models. A number of candidates did not know how to apply the definitions of economy, effectiveness, efficiency and so their indicators (though useful to BLA in general) were rather haphazard. The most common problem was in finding suitable indicators for efficiency with average pay per employee or complaint numbers often being wrongly suggested.Part (c) for 7 marks required a discussion of the problems of measuring qualitative performance factors and suggested solutions relevant to BLA. This part of the question generated the weakest answers, which was disappointing given the emphasis on measurement of performance in P5. Many candidates could not think of much to say except that this was subjective and gathering data difficult. There were few examples given to illustrate these difficulties and so solutions tended to be vague rather than practical (which is what is required).Future candidates should prepare to answer questions where they can demonstrate, in a practical context, the differences between financial/non-financial and quantitative/qualitative performance measures in measurement and interpretation.Question ThreeThis 25-mark question was based on a choice facing an electricity-generating firm, Maxwell. Maxwell had to replace old power stations with new ones under two constraints; the need to reduce CO2 emissions and; the need to increase generating capacity.Part (a), for 10 marks, asked for an assessment of two proposed plans for new power stations at Maxwell, given the company’s stated environmental goal. Those candidates that took the goal of the company and calculated how the company was performing against two suitable measures and then compared this to the targets set scored well. However, a number of candidates did not take such a logical approach and, for example, often did not check if their calculations lead to meeting the 10% rise in demand or the 20% fall in CO2 emissions.Part (b) for 6 marks required a discussion of lifecycle costing issues associated with the plan to build a new nuclear power station. This part was poorly done by some candidates who simply discussed what the product life cycle is with no reference to lifecycle costing. The key elements that were specific to this scenario were the design stage issues and the decommissioning costs and these were often ignored and the focus was on the growth, maturity and decline phases of a product without consideration that the end-product was electricity.Part (c) for 9 marks required an explanation of how input/output analysis would affect information systems and performance measurement at Maxwell. Only a few candidates knew that input/output analysis is about physical quantities first and foremost (not financial quantities) and so those that didn’t went off on the wrong track. As a result, they then did not discuss the issue of trying to interpret this information through attributing financial values which is a significant measurement aspect of this approach.Future candidates should prepare a logical approach to questions and ensure that if there is a quantified target/benchmark set then their answer explicitly checks performance against this.Question FourThis 25-mark question was about corporate failure and focussed on a mining business, Culam.Part (a) for 10 marks required an evaluation of two quantitative failure prediction models and their results for Culam. Answers for this part were generally of mixed quality with the general advantages and disadvantages of quantitative models well discussed but with most candidates failing to demonstrate understanding of how such models are constructed. This did not require detailed discussion of statistical techniques but did require that the candidates realised that the model equations came from an analysis of particular samples of companies whose relevance to Culam was in doubt.Part (b) for 7 marks required an explanation of the effects of a mine’s lifecycle on the Z-score and the probability of Culam’s failure. This part was often done with a focus on the discussion of cashflows in relation to the effect on the Z-score, when the model is principally based on the performance measure of profit. At P5, it is expected that candidates are well aware of the difference between these terms and that they are not interchangeable. Also, many answers were solely a description of the cashflows change through a mine’s life without connecting this in detail to the probability of failure.Part (c) was worth 8 marks and required four justified actions to reduce Culam’s likelihood of failure. This part was generally well done with many useful practical suggestions for reducing the probability of failure of Culam. Weaker answers often focussed on the need to measure different factors (e.g. non-financial) without indicating what actions to then take to reduce the probability of failure. General advice such as reduce costs or increase cashflows was only given credit if there was a more detailed discussion of how to do this at Culam.The important general lesson for future candidates from this question is that they should draw a clear distinction between different performance measures (e.g. profit, cash, and value). They should ensure that they can explain the differences to non-experts and that they know which techniques and models are relevant for each of these different measures.ConclusionIn conclusion, the main messages from this paper for future candidates are:∙Read the questions carefully and answer the question requirement set∙Defining jargon terms does not represent an adequate answer to a question asking for an evaluation or assessment∙Take care in calculation work∙Practice application of your knowledge in scenario contexts。
ACCA考试报告分析F2-examreport-2008D
Examiners’reportF2Management AccountingDecember2008This was the third examination under the new syllabus.The two hour paper,as usual,contained50multiple choice questions–40carried two marks each and the other10carried one mark each.This mix is exactly in line with the pilot paper.The general performance of candidates showed a definite improvement in December2008 compared with the previous two examinations.The following questions taken from the December2008examination are ones where the performance of candidates was particularly weak.Each of these questions carried2marks.Example1A manufacturing company operates a standard absorption costing st month25,000production hours were budgeted and the budgeted fixed production overhead cost was$125,st month the actual hours worked were24,000and the standard hours for actual production were27,000.What was the fixed production overhead capacity variance for last month?A$5,000AdverseB$5,000FavourableC$10,000AdverseD$10,000FavourableThe correct answer was A($5,000Adverse)and was selected by less than40%of the candidates.The fixed production overhead capacity variance is the difference between the budgeted hours and the actual hours worked with the difference being evaluated at the hourly standard fixed production overhead cost rate.So the value of the correct answer is calculated as:[(25,000–24,000)×$5]=$5,000.There is a second stage in determining the correct answer as both choices A and B contain a value of$5,000.Is the variance Adverse or Favourable?It is adverse because the predetermined standard rate of$5per hour was based on25,000 budgeted hours.By only working24,000hours this would cause overheads to be under absorbed–an adverse effect.Almost as many candidates selected choice B as selected the correct choice A.Candidates selecting a variance value of$10,000had presumably calculated the volume variance rather than the capacity variance,which was $10,000Favourable.This question tested Section E4(a)in the Study Guide.A one mark written question on this topic with just two choices(A or B)was also set in the June2008examination.A comparable outcome occurred then as the candidates opted for A and B in almost equal proportions.Example2The profit-volume chart for a single product company is as follows:($’000)What is the product’s contribution to sales ratio(expressed as a%)?A16%B28%C40%D72%The correct answer was C(40%).Only one third of the candidates selected the correct answer to this question. The diagram shows that at an activity level of$500,000worth of sales,the profit was$140,000.It also shows that the loss at zero activity is$60,000which also represents the total fixed costs.Therefore the contribution at $500,000of sales is$200,000(140,000+60,000)and the contribution to sales ratio is:[200,000÷500,000×100]=40%.Choice B was the most popular selection by candidates for this question.This was possibly based on the calculation of$140,000as a percentage of$500,000or just a pure guess?This question tested Section F1(c)in the Study Guide which refers to the identification of elements in profit-volume charts.Example3Last month a manufacturing company’s profit was$2,000,calculated using absorption costing principles.If marginal costing principles had been used,a loss of$3,000would have occurred.The company’s fixed production cost is$2per unit.Sales last month were10,000units.What was last month’s production(in units)?A7,500B9,500C10,500D12,500The correct answer was D(12,500units).Significantly less than50%of candidates selected this answer.The difference between the marginal costing loss and the absorption costing profit was$5,000.This equates with the change in inventory(in units)evaluated at$2(the fixed production cost per unit).Therefore the change in inventory last month was2,500units[5,000÷2].As the marginal costing‘profit’outcome was lower than the absorption costing profit then production was greater than sales last month–by2,500units.Therefore last month’s production was[10,000+2,500]=12,500units.Choice A(7,500units)could be obtained by deducting the2,500from the10,000in the final step.Nearly15% of candidates selected A.More than40%of the candidates selected either B or C which probably meant that they had taken the initial difference in‘profits’as$1,000which gave a inventory change of500units.This question tested section D4(d)in the Study Guide.The worst answered question in December2008has not been reproduced in this report as it again involved the reconciliation of budgeted and actual contributions in a standard marginal costing system[Study Guide E5(c)]. Very similar questions in both the December2007and June2008examinations were highlighted in the respective Examiner’s Reports.Students are advised to look back to these reports as they are still very relevant. Future candidates are advised to:∙Study the whole syllabus.The examination will always cover all sections of the Study Guide.∙Use the pilot paper as practice questions.The pilot paper is also a very good guide to the styles of questions that will continue to be set and to the coverage of the topics in the Study Guide.It is also gives a good indication of the approximate split between calculation and non-calculation questions that will continue in examinations in2009.∙Practise as many multiple choice questions as possible in preparing for the examination.∙Read questions carefully in the examination–including all the alternative choices of answer to each question.Candidates should remember that the examiner puts a lot of careful thought not only into each question and the correct answer but also into the distractors(the wrong answers to a multiple choicequestion).This point is well illustrated by Example3from the December2008examination(see above).。
JamesYu之ACCA考试经验分享：（一）General
这份⽂件⼀直没有在ACCA的站上公布，它⽤于准备最近的3.6考试是极其关键的，⽆论怎么强调它都不过分，甚⾄可以将它⽐作“XX中央⽂件精神”。
如果考友们不信，可以先仔细研读这份⽂件，然后去对照2004年12⽉的考试真题，关于那次考试的五道真题的相关内容，这份⽂件⾥全部都强调了，所以它的预测成功率是100%。
对于2005年6⽉考试的朋友，我不知道是否存在有2005年最新的Teachers’ conference notes，如果有的话，建议⼤家要发动团队的⼒量，通过各地的考友，包括在英国、新加坡、马来西亚的考友，找到这份⽂件；厉害的培训机构往往能事先得到这些⽂件。
如果没有，那就依照这份⽂件和考官⽂章（improving standards、IFRS1）去复习也⾏。
还有，2005年初，2.5的考官发表了⼀篇跟2.5和3.6都有关的⽂章，内容是有关IFRS1的。
虽然IFRS1已经在2004/12的3.6考试⾥⾯考过了，但是因为05年是欧盟开始执⾏IFRS的第⼀年，正值过渡时期，IFRS1的重要性就不⾔⽽喻了。
所以对于05年6⽉的3.6考试，IFRS1还是要扎扎实实准备的，不光要看教科书上的内容，还要仔细研究准则后⾯所附的范例，在2004/12的考试⾥⾯，所考IFRS1的内容并不是很深，也许这次考试会考得更深些。
Paper 3.6 – Advanced Corporate Reporting: SPEAKER’S NOTES: TEACHER’S CONFERENCESlide 3Candidates have tended to spend a disproportionate amount of time on question one with the result that they become short of time on other questions. There has and will be efforts to try and ensure that candidate will not be time pressured on question one by adjusting the number of transactions to process. Other questions will focus on core knowledge appropriate to this level in a given context.More emphasis will be placed on the Statement of Principles/Framework.. GBR students will be expected to have a great knowledge of differences between UK standards and IFRS. Developments in financial reporting such as different methods of communication financial information will become increasingly important.Over recent diets candidates have performed quite well on question 1 but have struggled with the discursive questions where technical knowledge has been required. An exception to this has been question 5 which has generally been a discursive question without the need for technical input. Questions will continue to be asked where candidates are expected to discuss and adjust financial statements but recent diets have proven that candidates have struggled with this type of question.Slide 4Candidate often answer the question they would like to have been set. Many students simply do not write sufficient to pass neither do they relate the number of marks to the amount that they should write. If candidates understood the basic principle of group accounts, the Framework and the key standards they would stand an excellent chance of passing. Very few candidates seem to have an in depth understanding of the subject.Slide 5Candidates’ performance seems to improve when their reading is wider than just the manual. Reading the accountancy journals if only on a selective basis will enhance the chance of success. (Feedback from one of the professional tutors) Slide 6Recent diets have shown that the answer to questions are too often very shallow and candidates seem to find it difficult to look at their knowledge base cross-sectionally. Most candidates can reproduce rote learned material but find it difficult to advise a client if it involves knowledge of a number of accounting standards.Many candidates only answer 3 questions which naturally means that there chance of passing is significantly reduced. This practice was particularly prevalent in June 2004 papers.The marks for “report” format are given on the basis that candidates use acceptable approach e.g. formal headings, computations in an appendix etc.Slide 7Guidance will be given in the examinable documents and in forum such as this on the nature of the knowledge required for exposure drafts. Discussion papers (if any) will generally be examined in terms of the major principles involved and will not be examined as a full question.Group accounting question will still be compulsory and follow same principles but note that changes brought about recent IASB activity may change the nature of the adjustments in the questions. As has been stated “national and international regulation” will become a more important part of the paper.Issues in corporate accounting practice will be scenario based with the majority of the marks for core knowledge. Obviously in these situations, part of the answer may involve a detailed knowledge of the IFRS. The marking scheme will be such thatcandidates can achieve the majority of the marks for the core knowledge.The delay in the issuing of EDs as standards means that a paper may seem to be over geared towards exposure drafts than the IAS equivalents. It means also that fuller knowledge may be required of some EDs. Foreign currency translation is a key area as was evidence by a question in June 2004’s diet. MNE’s (Multi National Enterprises) are an important element of this paper and foreign currency transactions/translation will be examined regularly.As has been stated before, if there is a question on cash flows in section A then the likely hood is that a question on internal re-organizations will appear in section B.Topics can be set in more than one question. For example impairment of assets can be issue to consider in several questions in a paper. Thus the subject mater is being examined cross-sectionally rather than just setting a single question on the subject.Slide 8Corporate governance overlaps with other papers and therefore a full question on the subject will not appear but will be needed to be taken in to account when answering questions.Environmental, social, human capital management and cultural considerations are important although questions will not be as frequent as other topics. Candidates have performed very well on this type of question in the past Note the UK governments’ initiative in setting up the “Accounting for people task force”Similarly share valuation will not be examined frequently.Price level changes relates to hyperinflationary situation which forms part of a question. IAS 15 has been with drawn and therefore CCA/CPP will not be examined.Corporate failure will be contextual and will be more an analysis of corporate performance not Argenti, Tafler etc.Traditional ratio analysis will not be examined as such but maybe required in evaluating part of a company’s performance.. A holistic approach to evaluation of corporate performance will be taken. Candidates have found this type question very difficult in recent diets as they focus entirely on ratios than looking at more practical issues e.g. the way the key stakeholders might react to the published results.Slide 9Note that the revenue recognition issues concerning long term contacts ought to be understood. Also the fact that there are legal requirements re reorganizations should be known. Note that any legal requirements in the International paper will be specified in the question. If a cash flow question is asked in Section A then the likely hood is that a reconstruction question will be asked in Section B. New accounting standards will be examined as soon as is feasibly possible in this paper. Current issues will be examined in every paper but core topics will not be ignored.Candidates’ knowledge of “revenue recognition” principle has been poor in recent diets and this is particularly disappointing as these principles underpin financial statements.Slide 10IFRS 1 is critical to companies. Therefore full knowledge is required by December 2004 sitting although it was examinable in June 2004. An adv i s o r y q u e s t i o n i s a p r o b a b i l i t y . / p > p b d s f i d = " 1 3 6 " > R e p o r t i n g f i n a n c i a l p e r f o r m a n c e i s a n i m p o r t a n t a g e n d a i t e m f o r I A S B . H o w e v e r t h e f o r m o f r e p o r t i n g i s y e t t o b e d e c i d e d s o a n y q u e s t i o n i n t h i s a r e a w i l l r e q u i r e d i s c u s s i o n a n d n o t c o m p u t a t i o n u n t i l t h e f o r m a t i s d e t e r m i n e d . / p > p b d s f i d = " 1 3 7 " > C a n d i d a t e s k n o w l e d g e o f r e c e n t i s s u e s s o m e t i m e s i s q u i t e p o o r a n d i t i s r e c o m m e n d e d t h a t c a n d i d a t e s a c c e s s w e b s i t e s s u c h a s t h o s e o f B i g 4 a c c o u n t a n c y f i r m s . / p > p b d s f i d = " 1 3 8 " > T h e i m p r o v e m e n t s p r o j e c t w i l l b e e x a m i n a b l e i n t e r m s o f t h e d e t a i l o f t h e n e w s t a n d a r d s . K n o w l e d g e o f o t h e r I A S B p r o j e c t s w i l l b e a t a s u p e r f i c i a l l e v e l w i t h c a n d i d a t e s g a i n i n g e x t r a m a r k s f o r t h e i r k n o w l e d g e r a t h e r t h a n i t b e i n g c o r e t o t h e q u e s t i o n . b r b d s f i d = " 1 3 9 " > S l i d e 1 1 / p > p b d s f i d = " 1 4 0 " > F i n a n c i a l i n s t r u m e n t s w i l l b e d e a l t w i t h a t a f a i r l y i n t r o d u c t o r y l e v e l . T h e i n i t i a l r e c o g n i t i o n , t h e c l a s s i f i c a t i o n a n d s u b s e q u e n t r e - m e a s u r e m e n t w i l l b e e x a m i n e d . T h e t y p e s o f h e d g e m a i n l y f a i r v a l u e , c a s h f l o w a n d h e d g e o f a n e t i n v e s t m e n t w i l l b e e x a m i n e d t o g e t h e r w i t h t h e e f f e c t i v e n e s s o f t h e h e d g e . T h e i m p a i r m e n t t e s t i n g o f f i n a n c i a l i n s t r u m e n t s w i l l b e e x a m i n e d . N o t e t h a t m a n y q u e s t i o n s i n t h e I n t e r n a t i o n a l p a p e r w i l l c o n t a i n f i n a n c i a l i n s t r u m e n t s a n d w i l l t h e r e f o r e h a v e t o b e a n s w e r e d i n a c c o r d a n c e w i t h I A S 3 9 . / p > p b d s f i d = " 1 4 1 " > D e - r e c o g n i t i o n i s s u e s w i l l b e s i m p l y e x a m i n e d . F o r e x a m p l e : d e b t f a c t o r i n g / s u b s t a n c e i s s u e s . F i n a n c i a l l i a b il i t i e s w i l l b e l o o k e d a t f r o m t h e p o i n t o f v i e w o f c l a s s i f i c a t i o n a n d m e a s u r e m e n t . / p > p b d s f i d = " 1 4 2 " > E m b e d d e d d e r i v a t i v e s w i l l b e a t a n i n t r o d u c t o r y l e v e l . F o r e x a m p l e t h e r e c o g n i t i o n o f t h e f a c t t h e r e a r e a t l e a s t t w o c o n t r a c t u a l e l e m e n t s t o t h e c o n t r a c t i n a s a l e o r p u r c h a s e c o n t r a c t . / p > p b d s f i d = " 1 4 3 " > A f u l l q u e s t i o n o n f i n a n c i a l i n s t r u m e n t s w i l l a p p e a r i n f u t u r e d i e t s . / p > / d i v > s c r i p t b d s f i d = " 1 4 4 " > a ( " s h o w _ c o n t e n 1 " ) ; / s c r i p t > d i v s t y l e = " m a r g i n : 0 a u t o ; w i d t h : 1 0 0 % ; m a r g i n - b o t t o m : 1 0 p x ; m a r g i n - t o p : 1 5 p x ; " b d s f i d = " 1 4 5 " > s c r i p t s r c = " / / j s . 5 1 t e s t . n e t / j s _ n e w / s h o w _ c o n t e n t _ v i p _ p r o . j s " b d s f i d = " 1 4 6 " > / s c r i p t > s t y l e b d s f i d = " 1 4 7 " > . v i p _ p r o { h e i g h t : 5 5 p x ; p a d d i n g : 0 5 p x 1 0 p x ; f l o a t : l e f t ; } . v i p _ p r o a { f o n t - s i z e : 1 6 p x ; l i n e - h e i g h t : 1 8 p x ; f o n t - w e i g h t : b o l d ; h e i g h t : 1 0 0 % ; d i s p l a y : - m s - f l e x b o x ; d i s p l a y : f l e x ; - m s - f l e x - p a c k : c e n t e r ; j u s t i f y - c o n t e n t : c e n t e r ; - m s - f l e x - a l i g n : c e n t e r ; a l i g n - i t e m s : c e n t e r ; c o l o r : # f f f f f f ; - w e b k i t - t r a n s i t i o n : a l l 0 . 3 s ; - o - t r a n s i t i o n : a l l 0 . 3 s ; t r a n s i t i o n : a l l 0 . 3 s ; t e x t - a l i g n : c e n t e r ; } . v i p _ d e s c { o v e r f l o w : h i d d e n ; h e i g h t : 1 0 0 % ; } . v i p _ p r o : h o v e r a { - w e b k i t - t r a n s f o r m : s c a l e ( 1 . 0 5 ) ; - m s - t r a n s f o r m : s c a l e ( 1 . 0 5 ) ; t r a n s f o r m : s c a l e ( 1 . 0 5 ) ; } . v i p _ p r o : n t h - c h i l d ( 1 n ) a { b a c k g r o u n d : # 2 6 6 2 d 0 ; b a c k g r o u n d : - w e b k i t - l i n e a r - g r a d i e n t ( 3 1 5 d e g , # 2 6 6 2 d 0 0 % , # 3 1 7 f e 8 5 0 % , # 3 5 a 5 e c 1 0 0 % ) ; b a c k g r o u n d : - o - l i n e a r - g r a d i e n t ( 3 1 5 d e g , # 2 6 6 2 d 0 0 % , # 3 1 7 f e 8 5 0 % , # 3 5 a 5 e c 1 0 0 % ) ; b a c k g r o u n d : l i n e a r - g r a d i e n t ( 1 3 5 d e g , # 2 6 62 d 0 0 % , #3 1 7 f e 8 5 0 % , # 3 5 a 5 e c 1 0 0 % ) ; } . v i p _ p r o : n t h - c h i l d ( 2 n ) a { b a c k g r o u n d : l i n e a r - g ra d i e n t ( - 9 0 d e g , # d e a 9 6 5 , # e d c 3 6 9 ) ; } . v i p _ s p l i t { w i d t h : 4 8 % ; } v i p _ c s s { m a r g i n : 0 - 5 p x ; o v e r f l o w : h i d d e n ; } / s t y l e > d i v c l a s s = " v i p _ c s s "b d s f i d = " 1 4 8 " > d i vc l a s s = " v i p _ r o w v i p _ s p l i t v i p _ p r o " bd s f i d = " 1 4 9 " > d i v c l a s s = " v i p _ de s c " b d sf i d = " 1 5 0 " >。
ACCA考试报告分析F2-examreport-2015D
Examiner’s reportF2/FMA Management AccountingFor CBE and Paper exams covering July to December 2015 General CommentsThe examination consists of two sections. Section A of the paper contains 35 objective test questions – each worth 2 marks, and section B contains 3 MTQs worth ten marks each. All questions are compulsory. The paper is two hour examination. A specimen paper reflecting this structure is available on the ACCA website together with a number of practice MTQsAs always, excellent scores were achieved by some candidates. I congratulate both them and their teachers. I offer my commiserations to those who were not successful.In section A the worst answered MCQ questions were calculation based. Calculation questions accounted for approximately 46% of section A questions, and as usual were answered worse than the narrative based MCQs. Seven out of the 10 worst answered section A questions were calculation based in the December diet.In section B 60% of the marks were for calculation. There was little difference in performance between section B calculation and narrative questions.As is usually the case for this paper, F2 candidates on average, performed better than FMA candidates.The following questions are ones where the performance of candidates was very weak.Section A Sample questions for discussionExample 1A company’s total operating cost is semi variable. It flexes its profit budget from an output level of 1,000 units to an output level of 2,000 units.Which of the following statements is true?A Operating profit will double between the two output levelsB Fixed cost per unit at the two output levels will be the sameC Total contribution will double between the two output levelsD Contribution per unit will increase between the two output levelsThis was a badly answered question with only 20% of candidates choosing the correct answer. It covers syllabus area B 2 a and A 3g.Candidates often appear to find questions that ask for the effect of a change in input data on performance indicators difficult. It may help them to “invent” simple figures to test the validity of the statements on offer.For example if we assume a sales price of $10 per unit ,a variable cost of $2 per unit and a fixed cost of $4,000 per period, then the following figures can be quickly produced.Sales units 1,000 2,000$ $Sales revenue 10,000 20,000Variable cost 2,000 4,000Total contribution 8,000 16,000Fixed cost 2,000 2,000Operating profit 6,000 14,000It is soon apparent that alternative C is correct, and that the rest are incorrect.Incorrect answers appear to have been selected because of confusion between “per unit “ and “total” figures.For example B was most popular alternative. This suggests some confusion between fixed cost per unit (which will decrease as volume increases) and total fixed cost (which will remain the same).Choosing option D again suggest confusion between contribution per unit (which will remain constant) and total contribution (which will increase in direct proportion to volume).Candidates are recommended to plot some graphs of total costs and revenues with respect to volume, and cost and revenue per unit with respect to volume to ensure they fully understand this area.Example 2The following spreadsheet shows part of a time series analysis of a company’s sales.What is the four quarter centred moving average of sales units for quarter 4, 2014?A 2,500B 5,025C 5,000D 10,000This question covers syllabus area C2i.Spreadsheet based questions are commonly some of the worst answered questions on the paper and this one proved no exception The correct answer is A. This is arrived at by averaging the four quarter moving totals that straddle quarter 4, 2014.( (9,000 + 11,000) ÷ 2 = 10,000). This gives a centred moving total, which when averaged over the four quarters (10,000 ÷ 4) gives 2,500.The most popular choice was D. Candidates here failed to complete the final step and chose the centred moving total rather than a centred moving average. It is common practice by examiners, when writing multiple choice questions, to offer distractors (wrong answers) based on a figure that occurs part way through the calculation of the right answer. With this in mind candidates should make sure their calculations are complete before looking at the 4 alternative answers on offer.Alternative B was arrived at by incorrectly averaging the incorrect numbers and demonstrated a lack of understanding of the area. (7,000 + 9,000 + 11,000 + 13,200) ÷ 8 = 5,025.Alternative C was a variation on D involving dividing the centred moving total by 4. ((9,000 + 11,000) ÷ 4 = 5,000).The similarity of the statistics for this question suggests that a lot of candidates lacked knowledge of the area and tried to guess the right answer. As such candidates may need to revisit time series analysis.Finally it was clear that many candidates were not performing reasonableness checks on their answers. Sales units per quarter given in the question varied between 1,100 and 4,100.It should have been obvious that the average had to lay somewhere between these numbers leaving alternative A as the only viable solution. Example 3A process produces two joint products A andB in equal physical quantities. A and B are sold at split off point for $5 per kg and $8 per kg respectively. There are no further costs after the split off point.If joint costs are apportioned on a relative sales value basis, which of the following statements is true?A Both products will have the same return on sales ratio (operating margin)B Product A will have the higher return on sales ratio (operating margin)C The cost per kg will be the same for both productsD The cost per kg of product A will be higher than that of product BThis question covers syllabus area B3b (xi) and required knowledge of the different methods of apportioning joint costs. If joint costs are apportioned on a relative sales value basis and there are no further costs after split off point then all joint products will have the same amount of profits per $ of sales. This is arguably the major benefit of this method. Because one product cannot be produced without the other, it makes sense to make them appear equally profitable.This means that alternative A is correct and that alternative B is incorrect. The popularity of alternative D is perhaps due to confusion between profit per kg and profit per $ of sales.The physical method of apportioning joint costs apportions equal cost to each kilogram of output. However as this method is not being used, and a kilogram of B has a higher sales value than a kilogram of A , then alternative C is incorrect.Finally D is incorrect, because as product A has a lower sales price per kilogram than product B, the relative sales value method will apportion less cost per kilogram than product B.Section BSection B contains 3 questions, one from each of syllabus areas C Budgeting, D Standard Costing and E Performance Measurement. This approach will continue in future papers. The balance of MCQ questions in section A reflects this weighting so as to preserve the overall balance of the paper. The spacemen paper reflects the weightings and this balance of questions will be used in future papers.Common problems with section B questions include the following∙ A failure to include scrap value of assets in payback and NPV calculations.∙An inability to calculate and explain sales volume and sales price variances.∙ A lack of knowledge concerning residual income.∙An apparent difficulty with questions presented in spreadsheet format∙ A difficulty with questions involving the reconciliation of actual and budgeted figuresFuture candidates are advised to:∙Study the whole syllabus, because the exam will cover the full syllabus.∙Practise as many questions as possible.∙Read questions very carefully in the examination∙Ensure that their calculations are complete before selecting their answer to multiple choice questions ∙Try to attempt the “easy” examination questions first.∙Not to spend too much time on apparently “difficult” questions.∙Attempt all questions in the examination (there are no negative marks for incorrect answers).∙For paper exam only, present section B answers as tidily as possible and ensure that all parts of the question are answered∙Read previous Examiner’s Reports.。
F5 2012 12月份考官报告
Examiner’s reportF5 Performance ManagementDecember 2012General CommentsThe examination consisted of five compulsory questions worth 20 marks each.The vast majority of candidates attempted all five questions, and there was little evidence of time pressure. Where questions were left unanswered by candidates, this appeared to be due to a lack of knowledge or poor exam technique, as opposed to time pressure, although occasionally a candidate would state that they had run out of time.Many candidates started with question 5 this sitting. This was the question on activity-based costing and was overall one of the better answered questions on the paper, particularly parts (a) and (b), the numerical parts of the question. Question 1 on cost-volume-profit analysis was often left until last, and the lower quality of the answers suggested that this was because of a lack of knowledge of this area of the syllabus.Generally speaking, candidates performed well on questions 2a, 3, and 5a and (b). The questions candidates found most challenging were the whole of question 1, 2b and c, the whole of question 4 and 5c. This is mainly due to candidates not understanding core syllabus areas well enough; a lack of technical knowledge and also due to a failure to read question requirements carefully. Question 1 was newer to the syllabus than the other topics examined but there was an article on this in the student accountant which should have helped in answering this question.A number of common issues arose in candidate’s answers:∙Failing to read the question requirement clearly and therefore providing irrelevant answers which scored few if any marks.∙Poor time management between questions; some candidates wrote far too much for some questions and this put them under time pressure to finish remaining questions.∙Not learning lessons from earlier examiner’s reports and hence making the same mistakes.∙Illegible handwriting and poor layout of answers. The handwriting in candidate’s answers is sometimes so bad that no marks can be awarded at all because it is simply not possible to read it.Specific CommentsQuestion OnePart (a) of this question required candidates to calculate the weighted average contribution to sales ratio for Hair Co. Using the most simple approach for this, firstly then, it was necessary to calculate the individual contribution for each of the products. From this, the total contribution could be calculated by applying the sales volumes to the unit contributions. Then, the total sales figure could be calculated, finishing with the calculation of the ratio by dividing the first figure by the second.The majority of candidates were able to calculate the unit contributions, which is obviously a very basic F2 skill. However, many students seemed unclear where to go from here. The most common error was that candidates then simply added together the three unit contributions, added together the three unit selling prices, and divided the former by the latter, giving a contribution to sales ratio of 36.9%. The problem with this calculation is that it does not take into account the relative sales volume of each product and it is not therefore a weighted average contribution to sales ratio but rather just an average contribution to sales ratio.Part (b) asked candidates to calculate the break-even sales ratio for the company. This is a very simple calculation and was answered correctly by about half of candidates. Follow-on marks were given for using the ratio calculated in part a, even if this ratio was incorrect. All that needed to be done to calculate the break-even sales revenue was for the fixed costs of $640,000 to be divided by the ratio. There is a far more complicated method of performing this calculation but it takes a ridiculously long time to perform and I’m not sure whyanyone would use it when there is such a simple way to calculate the required figure. Some candidates did attempt to use it though, but it is not to be recommended, given the length of time it takes and the complexity of the calculation itself. Hence, I am not going to describe it here.Part c examined break-even charts. This was poorly answered by the majority of candidates with very few scoring full marks. There seemed to be two main problems. Firstly, despite the article, which described all the different charts that could be examined, there seemed to be a lack of knowledge about what a break-even chart looked like. Many candidates drew profit-volume charts, which are different. Secondly, in order to plot the lines, candidates needed to do some preliminary calculations for cumulative profit and revenue. Many missed this point and were therefore unable to plot the lines. This area needs to be revised for future sittings as there is clearly a knowledge gap here.Part d asked candidates to comment on their findings for 3 marks. Answers to this were weak. The main point to identify was the fact that the company would break even earlier if it sold products in order of their CS ratios first. The reality is, however, that the company would neither sell the products in a constant mix or in order of their profitability, therefore the true break-even point would really lie somewhere in the middle of the two. Question TwoThis was a straight forward variance question. It should have been well-answered but it wasn’t, apart from part a. In part (a), the requirement asked for calculations of the total labour rate and total efficiency variances. These were very simple calculations which about 1/2 of candidates scored full marks on. The most common error that occurred was that candidates used a standard cost of $6 an hour rather than the correct standard cost of $12 per hour. The $6 given in the question was the standard cost of labour for each batch, but given that a batch only takes half an hour, it was necessary to identify that this figure needed to be doubled to arrive at the standard cost per hour rather than per batch. It is really important to read the question carefully when picking up key information.Part b was more difficult, with a requirement to analyse each of the variances from part a into component parts for planning and operational variances. There were some poor attempts here, with a substantial number of candidates writing about planning and operational variances rather than performing the calculations. This was surprising, given that the requirement was very clear as to what was expected. Only a very small minority of candidates attempted to produce a total planning variance and a total operational variance, without splitting it between rate and efficiency as the question required.There are two main ways of calculating the labour rate planning variance and the labour efficiency operational variance tested in part (b). The first one is the method I have used in my suggested solution, whereby the actual labour hours are used for the labour rate planning variance and the actual labour rate is used for the labour efficiency operational variance. I like this method because it enables us to reconcile the planning and operational variances back to the total variances for rate and efficiency. However, an equally valid method is to use the revised labour hours for the labour rate planning variance and the revised labour rate for the labour efficiency operational variance. Either approach will score you full marks, but if you use the former method, you should use it for both variances and if you use the latter method, you should also use it for both variances. Both the labour rate operational variance and the labour efficiency planning variance remain the same with either method.Part c was the discussion part of the question where candidates had to assess the performance of the production manager. Marks were given for a discussion that followed on from the number calculated in parts a and b or, where calculations hadn’t been performed, marks were still available for sensible discussion following on from the data given in the question.Question ThreeThis was a classic performance management question and was generally well-answered by candidates compared to other questions on the paper. The company in the question had made certain changes and introduced some incentives in order to boost sales and the requirement asked for a discussion of whether these changes and incentives had been effective. As usual, it was necessary to do some preliminary calculations in order to assess performance and candidates should be reminded that absolute figures are rarely useful and percentage changes are far more informative.The most common weakness in answers was the classic commentary stating that, for example, “Sales have gone up, which is good.” Comments such as these simply won’t score marks. Candidates needed to consider the relationship between the data and calculations with the information given in the question, in this case relating to the changes and incentives introduced. If this link is not being made, rarely will comments score marks.Good candidates identified that, although sales had increased by 25%, net profit had decreased by 33%, but this was due to the mass of expenses that had been incurred in bringing about the changes. Consequently, the benefits of these changes would be expected to continue for some time, and it would certainly be useful to see quarter 3’s results when these were available.Poorer candidates seemed to think that the decrease in net profit margin was a sign that things were going wrong and cost of sales must be increasing dramatically. Again, I would emphasize that, at this level, candidates are expected to link the information in the scenario with the data and their calculations in order to draw valid conclusions. The candidates producing weaker answers appeared almost not to have read the scenario and simply to have read the data. In a question like this, it is really useful to annotate the written parts of the scenario and where, for example, it states that $200,000 has been spent on advertising, note down next to it the calculations that might help to analyse the effect of that (NPM, increase in sales.) Then, when writing answers, the link has already been noted down and is ready to be discussed.As far as the calculations go, it is useful to produce a small schedule either at the beginning or end of the answer with all workings on. This makes it easy to mark and see where the calculations have come from, so that credit can still be given even where minor errors have been made.Question FourAnswers to this question were weak in parts. Part a asked candidates to explain what a monthly rolling budget was and how it would operate at Designit. The question was looking for a few key points – the budget covers a twelve month period; it is updated monthly; one month is added whilst another is removed; the first month is prepared in a lot of detail compared to the other months. The most common problem with answers was that they talked about quarterly budgets and how they would operate, rather than monthly budgets. Again, I think this must be due to inadequate reading of the question.In part (b) candidates were asked to discuss the problems that might occur if rolling budgets and the new bonus scheme outlined in the scenario was to be introduced. Answers here were not bad, on the whole, with most candidates identifying that time pressure, increased costs and demotivation would all be a problem.Part c asked for a discussion of the problems with the current bonus scheme and a suggestion of an alternative more effective one. Many candidates identified the fact that, in the current scheme, the first target was too easy and the second target was too hard, meaning that the managers were not motivated to work hard. However, only a minority of candidates were able to discuss a feasible alternative scheme. The question wasn’t looking for complicated suggestions, just common sense answers suggesting perhaps a scheme with a number of different bonus rates over narrower bands of sales.Finally, part d was supposed to provide the opportunity to gain some easy marks discussing the risk of using spreadsheets for budgeting. Answers to this tended to miss the key points unfortunately – the risk of errors arising from the input of incorrect formulae, for example, or the problems caused by lack of audit trail.Question FiveThe last question on the paper covered activity based costing and was definitely the question that students liked best. Part (a) was a simple calculation of transfer prices using traditional absorption costing and there were plenty of correct answers here. Part b asked for a recalculation of the transfer prices using activity based costing to allocate the overheads. Many candidates scored full marks, although when errors were made, the main ones were to use machine hours as the driver for machine set up costs and the number of set ups as the driver for machine maintenance costs. This error always seems to occur with these two categories of costs and I don’t really understand why. I can only put it down to poor reading of the question.In part (c), candidates had to calculate last month’s profits for each division, showing it for each product and in total. Full follow on marks were given for profit figures based on the candidates own transfer prices in part b. One of the biggest problems was that some candidates didn’t split the profits between the two products. This was a problem because it then made it difficult for them to earn all of the marks available in part (cii).Part (cii) required a discussion of whether activity based costing should be implemented, considering it from the view of each of the divisional managers. Stronger candidates set their answer out using two headings – one to consider the decision from the point of view of the assembly division’s manager and one to consider it from the retail division manager’s viewpoint. The key point that the question was getting at was that the transfer prices set using machine hours as a basis for apportionment actually solve the problem of reducing R’s transfer price so that its external selling price can be reduced, without needing to resort to using activity-based costing. What would be the point of using ABC, which is time consuming and expensive, when resolution can be found simply by apportioning costs on the basis of machine hours? Although only the strongest candidates identified this point, many candidates scored enough marks to still gain a pass on this part of the question.。
F5 2012 12月份考官报告
Examiner’s reportF5 Performance ManagementDecember 2012General CommentsThe examination consisted of five compulsory questions worth 20 marks each.The vast majority of candidates attempted all five questions, and there was little evidence of time pressure. Where questions were left unanswered by candidates, this appeared to be due to a lack of knowledge or poor exam technique, as opposed to time pressure, although occasionally a candidate would state that they had run out of time.Many candidates started with question 5 this sitting. This was the question on activity-based costing and was overall one of the better answered questions on the paper, particularly parts (a) and (b), the numerical parts of the question. Question 1 on cost-volume-profit analysis was often left until last, and the lower quality of the answers suggested that this was because of a lack of knowledge of this area of the syllabus.Generally speaking, candidates performed well on questions 2a, 3, and 5a and (b). The questions candidates found most challenging were the whole of question 1, 2b and c, the whole of question 4 and 5c. This is mainly due to candidates not understanding core syllabus areas well enough; a lack of technical knowledge and also due to a failure to read question requirements carefully. Question 1 was newer to the syllabus than the other topics examined but there was an article on this in the student accountant which should have helped in answering this question.A number of common issues arose in candidate’s answers:∙Failing to read the question requirement clearly and therefore providing irrelevant answers which scored few if any marks.∙Poor time management between questions; some candidates wrote far too much for some questions and this put them under time pressure to finish remaining questions.∙Not learning lessons from earlier examiner’s reports and hence making the same mistakes.∙Illegible handwriting and poor layout of answers. The handwriting in candidate’s answers is sometimes so bad that no marks can be awarded at all because it is simply not possible to read it.Specific CommentsQuestion OnePart (a) of this question required candidates to calculate the weighted average contribution to sales ratio for Hair Co. Using the most simple approach for this, firstly then, it was necessary to calculate the individual contribution for each of the products. From this, the total contribution could be calculated by applying the sales volumes to the unit contributions. Then, the total sales figure could be calculated, finishing with the calculation of the ratio by dividing the first figure by the second.The majority of candidates were able to calculate the unit contributions, which is obviously a very basic F2 skill. However, many students seemed unclear where to go from here. The most common error was that candidates then simply added together the three unit contributions, added together the three unit selling prices, and divided the former by the latter, giving a contribution to sales ratio of 36.9%. The problem with this calculation is that it does not take into account the relative sales volume of each product and it is not therefore a weighted average contribution to sales ratio but rather just an average contribution to sales ratio.Part (b) asked candidates to calculate the break-even sales ratio for the company. This is a very simple calculation and was answered correctly by about half of candidates. Follow-on marks were given for using the ratio calculated in part a, even if this ratio was incorrect. All that needed to be done to calculate the break-even sales revenue was for the fixed costs of $640,000 to be divided by the ratio. There is a far more complicated method of performing this calculation but it takes a ridiculously long time to perform and I’m not sure whyanyone would use it when there is such a simple way to calculate the required figure. Some candidates did attempt to use it though, but it is not to be recommended, given the length of time it takes and the complexity of the calculation itself. Hence, I am not going to describe it here.Part c examined break-even charts. This was poorly answered by the majority of candidates with very few scoring full marks. There seemed to be two main problems. Firstly, despite the article, which described all the different charts that could be examined, there seemed to be a lack of knowledge about what a break-even chart looked like. Many candidates drew profit-volume charts, which are different. Secondly, in order to plot the lines, candidates needed to do some preliminary calculations for cumulative profit and revenue. Many missed this point and were therefore unable to plot the lines. This area needs to be revised for future sittings as there is clearly a knowledge gap here.Part d asked candidates to comment on their findings for 3 marks. Answers to this were weak. The main point to identify was the fact that the company would break even earlier if it sold products in order of their CS ratios first. The reality is, however, that the company would neither sell the products in a constant mix or in order of their profitability, therefore the true break-even point would really lie somewhere in the middle of the two. Question TwoThis was a straight forward variance question. It should have been well-answered but it wasn’t, apart from part a. In part (a), the requirement asked for calculations of the total labour rate and total efficiency variances. These were very simple calculations which about 1/2 of candidates scored full marks on. The most common error that occurred was that candidates used a standard cost of $6 an hour rather than the correct standard cost of $12 per hour. The $6 given in the question was the standard cost of labour for each batch, but given that a batch only takes half an hour, it was necessary to identify that this figure needed to be doubled to arrive at the standard cost per hour rather than per batch. It is really important to read the question carefully when picking up key information.Part b was more difficult, with a requirement to analyse each of the variances from part a into component parts for planning and operational variances. There were some poor attempts here, with a substantial number of candidates writing about planning and operational variances rather than performing the calculations. This was surprising, given that the requirement was very clear as to what was expected. Only a very small minority of candidates attempted to produce a total planning variance and a total operational variance, without splitting it between rate and efficiency as the question required.There are two main ways of calculating the labour rate planning variance and the labour efficiency operational variance tested in part (b). The first one is the method I have used in my suggested solution, whereby the actual labour hours are used for the labour rate planning variance and the actual labour rate is used for the labour efficiency operational variance. I like this method because it enables us to reconcile the planning and operational variances back to the total variances for rate and efficiency. However, an equally valid method is to use the revised labour hours for the labour rate planning variance and the revised labour rate for the labour efficiency operational variance. Either approach will score you full marks, but if you use the former method, you should use it for both variances and if you use the latter method, you should also use it for both variances. Both the labour rate operational variance and the labour efficiency planning variance remain the same with either method.Part c was the discussion part of the question where candidates had to assess the performance of the production manager. Marks were given for a discussion that followed on from the number calculated in parts a and b or, where calculations hadn’t been performed, marks were still available for sensible discussion following on from the data given in the question.Question ThreeThis was a classic performance management question and was generally well-answered by candidates compared to other questions on the paper. The company in the question had made certain changes and introduced some incentives in order to boost sales and the requirement asked for a discussion of whether these changes and incentives had been effective. As usual, it was necessary to do some preliminary calculations in order to assess performance and candidates should be reminded that absolute figures are rarely useful and percentage changes are far more informative.The most common weakness in answers was the classic commentary stating that, for example, “Sales have gone up, which is good.” Comments such as these simply won’t score marks. Candidates needed to consider the relationship between the data and calculations with the information given in the question, in this case relating to the changes and incentives introduced. If this link is not being made, rarely will comments score marks.Good candidates identified that, although sales had increased by 25%, net profit had decreased by 33%, but this was due to the mass of expenses that had been incurred in bringing about the changes. Consequently, the benefits of these changes would be expected to continue for some time, and it would certainly be useful to see quarter 3’s results when these were available.Poorer candidates seemed to think that the decrease in net profit margin was a sign that things were going wrong and cost of sales must be increasing dramatically. Again, I would emphasize that, at this level, candidates are expected to link the information in the scenario with the data and their calculations in order to draw valid conclusions. The candidates producing weaker answers appeared almost not to have read the scenario and simply to have read the data. In a question like this, it is really useful to annotate the written parts of the scenario and where, for example, it states that $200,000 has been spent on advertising, note down next to it the calculations that might help to analyse the effect of that (NPM, increase in sales.) Then, when writing answers, the link has already been noted down and is ready to be discussed.As far as the calculations go, it is useful to produce a small schedule either at the beginning or end of the answer with all workings on. This makes it easy to mark and see where the calculations have come from, so that credit can still be given even where minor errors have been made.Question FourAnswers to this question were weak in parts. Part a asked candidates to explain what a monthly rolling budget was and how it would operate at Designit. The question was looking for a few key points – the budget covers a twelve month period; it is updated monthly; one month is added whilst another is removed; the first month is prepared in a lot of detail compared to the other months. The most common problem with answers was that they talked about quarterly budgets and how they would operate, rather than monthly budgets. Again, I think this must be due to inadequate reading of the question.In part (b) candidates were asked to discuss the problems that might occur if rolling budgets and the new bonus scheme outlined in the scenario was to be introduced. Answers here were not bad, on the whole, with most candidates identifying that time pressure, increased costs and demotivation would all be a problem.Part c asked for a discussion of the problems with the current bonus scheme and a suggestion of an alternative more effective one. Many candidates identified the fact that, in the current scheme, the first target was too easy and the second target was too hard, meaning that the managers were not motivated to work hard. However, only a minority of candidates were able to discuss a feasible alternative scheme. The question wasn’t looking for complicated suggestions, just common sense answers suggesting perhaps a scheme with a number of different bonus rates over narrower bands of sales.Finally, part d was supposed to provide the opportunity to gain some easy marks discussing the risk of using spreadsheets for budgeting. Answers to this tended to miss the key points unfortunately – the risk of errors arising from the input of incorrect formulae, for example, or the problems caused by lack of audit trail.Question FiveThe last question on the paper covered activity based costing and was definitely the question that students liked best. Part (a) was a simple calculation of transfer prices using traditional absorption costing and there were plenty of correct answers here. Part b asked for a recalculation of the transfer prices using activity based costing to allocate the overheads. Many candidates scored full marks, although when errors were made, the main ones were to use machine hours as the driver for machine set up costs and the number of set ups as the driver for machine maintenance costs. This error always seems to occur with these two categories of costs and I don’t really understand why. I can only put it down to poor reading of the question.In part (c), candidates had to calculate last month’s profits for each division, showing it for each product and in total. Full follow on marks were given for profit figures based on the candidates own transfer prices in part b. One of the biggest problems was that some candidates didn’t split the profits between the two products. This was a problem because it then made it difficult for them to earn all of the marks available in part (cii).Part (cii) required a discussion of whether activity based costing should be implemented, considering it from the view of each of the divisional managers. Stronger candidates set their answer out using two headings – one to consider the decision from the point of view of the assembly division’s manager and one to consider it from the retail division manager’s viewpoint. The key point that the question was getting at was that the transfer prices set using machine hours as a basis for apportionment actually solve the problem of reducing R’s transfer price so that its external selling price can be reduced, without needing to resort to using activity-based costing. What would be the point of using ABC, which is time consuming and expensive, when resolution can be found simply by apportioning costs on the basis of machine hours? Although only the strongest candidates identified this point, many candidates scored enough marks to still gain a pass on this part of the question.。