ACCA Exam Tips

Use at your own risk


Q1 Prepare consolidated statement of financial position and/or consolidated statement of profit or loss and other comprehensive income for single subsidiary and probably with an associate, covering the following adjustments:

- determine cost of investment in subsidiary and associate
- determine fair value (with depreciation) adjustment to subsidiary’s assets
- calculate goodwill
- eliminate unrealised profit adjustment on inventory or PPE
- eliminate intra-group balances and transactions
- calculate non-controlling interest
- calculate consolidated retained earnings and other reserves
- discuss issues relating to the preparation of group financial statements
- account for change in fair value of financial asset
- FRS110/FRS103/FRS28R/FRS39

Q2 Prepare entity’s (revised) statement of profit or loss and other comprehensive income and/or statement of financial position, including adjustments relating to FRSs.

Q3 Prepare statement of cash flows (FRS7) with related interpretation and with explanation of ratios. Likely to have a twist such as distortion due to a large acquisition/disposal of assets, revaluation, exceptional item or related party transaction.

Q4/Q5 Explain concepts theories, principles and practices with application into mini-case questions. These questions will include elements of conceptual issues or aspects of regulatory framework

Important FRSs you should not miss for Q2/Q4/Q5:

- Conceptual Framework
- FRS1
- FRS8 – accounting for changes in accounting policy and correction of prior period errors
- FRS10 – discuss events after the reporting period
- FRS11 – accounting for construction contracts
- FRS12 – accounting for current and deferred tax
- FRS16 – accounting for depreciation and revaluation
- FRS17 – accounting for finance lease (including sale and leaseback transaction)
- FRS23 – accounting for borrowing costs
- FRS38 – accounting for intangible asset
- FRS32/FRS39 – accounting for convertible bond or financial liability at amortised cost
- FRS105 – accounting for NCA HFS

ACCA Preparatory Course

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