However, following are the Exam Tips (Important Topics) of ACCA F7 for December 2014 session that may appear in exams as long questions according to expert tutors and tuition providers.
Tips are not really relevant as paper is now 40% OT’s. While Question 1 may come from any of two, consolidation or financial statements. Other Question require in depth knowledge of standards. So every syllabus area is important.
– Expect a few questions on non-core areas – inflation, specialized entities.
– Q1 & 2: Interpretation or statement of cash flows – or consolidation if Q3 not a consolidation. Other possibilities are conceptual framework, intangible/tangible assets and impairment, provisions and contingencies, revenue and grants, financial instruments discontinued operations/assets held for sales or earnings per share.
– Q3: Single entity or consolidation, will include adjustments on other syllabus areas.
– The 40 marks of MCQs will be mainly on the Standards / Published Accounts, and some on interpretation/cash flows. Watch out also for brief consolidation calculations or principles.
– The 30 marker will probably be a consolidation or published accounts exercise.
– One of the 15 markers will be the topic not examined as the 30 marker.
– The second 15 marker will be a statement of cash flow/with some Interpretation, or on standards.
– The well-prepared student has nothing to fear with MCQs, but the student who has not covered the breadth of the Syllabus will find it difficult to pass
– MCQs on the whole syllabus.
– Q1: Review of company performance and position.
– Q2: Extracts from consolidated SFP, with associate, Pups and fair value adjustment.
– Q3: Single company accounts question (profit or loss account and SFP), including taxation, lease, and intangible assets.
Section A: 40 marks MCQ’s from any syllabus area
– 30 marks Consolidation or Financial Statement question
– 15 marks from Revenue recognition
– 15 marks on IAS 41 Agriculture (New in Syllabus)
Common areas that feature on a regular basis in the exam are as follows:
– Construction contracts.
– Revenue recognition.
– Substance vs form.
– Convertible instruments (IAS 32/IFRS 9).
– Accounting for taxation, as part of final accounts question.
– Accounting for assets, particularly IAS 16.
– Provisions and contingencies.
– MCQs – Financial instruments, leases, substance over form, agriculture, deferred tax.
– Consolidated statement of financial position, including a goodwill and NCI calculation.
– Consolidated statement of profit or loss and other comprehensive income.