ICAEW Corporate reporting November 2021

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found the audit bits ok - quite straight forward. FR bits were v time pressured but quite liked Q3 best and the inflo notes I had basically meant I didnt have to go into it which was helpful

Interested to know what you wrote for Q3! Would be helpful to know what they were looking for

Reply 21

Surfchick97

Original post by Pancakes2124

Interested to know what you wrote for Q3! Would be helpful to know what they were looking for

The FR treatment think was just disposal proceeds from getting rid of a subsidiary and therefore only consolidating profit etc for the period of control. 40% sale was more around movement in NCI and a change in the value of the investment, not actual disposal. The deferred/contingent consideration I said would have to be based on what was most likely to happen and should be amortised. Then there was group vs individual accounts just discussed single line vs consolidation treatment. Can't remember what else was in Q3. If you let me know what else there was I can explain what I did

Reply 22

PC199656

Original post by Surfchick97

What did you do with the development costs, losses, and intercompany loan that was listed? I also mentioned what you said regarding the disposals and impact as well as the single entity impact on investment. And in terms of the contingent consideration I said it was likely to go up due to the development costs likely needing capitalsing and then worked out a super brief (definitely wrong disposal calc). Recon I'd get many marks from narrative with little to no calculations?

Reply 23

Pancakes2124

I did not really understand the change in NCI because the disposal happens at year end which means that in the financial statements an NCI still would not be recognised right? Could be wrong not sure

Reply 24

PC199656

Original post by Pancakes2124

I did not really understand the change in NCI because the disposal happens at year end which means that in the financial statements an NCI still would not be recognised right? Could be wrong not sure

I think as it just asked to discuss the financial reporting treatment that it was worth mentioning that after the part disposal of the sub (second option), the subsequent treatment would just be that there would be no gain or loss calculated and the differnce would just be that there is now an NCI of 40% going forward... thats what i put anyway

Reply 25

Pancakes2124

How did everyone do today

Reply 26

Mk2020

Original post by Pancakes2124

How did everyone do today

Scraped 56! So happy whooo!
How did you do?

Reply 27

Pancakes2124

Passed and officially qualified thank god! Got 51 just scraped a pass

Reply 28

Mk2020

Original post by Pancakes2124

Passed and officially qualified thank god! Got 51 just scraped a pass

Well done!!! So good to get CR out the way! Have you qualified now?

Reply 29

nomanzzz

Original post by Mk2020

Scraped 56! So happy whooo!
How did you do?

Brother could you please tell me what is your strategy for CR and how you prepare for this exam. As I am also preparing for SBM and CR for July 2022. I need your advice bro