Accounting

SeanPuddin

Who else feels like a cold cup of tea?

claire h

I'm not a liquid... last time I checked...

oeNeo

I don't get it..

Accounting is gonna suck ass I think. Hopefully I can get a high C though, I'd be happy with that. Reliable sources (my accountancy teacher who is also an exam-supervisor) as told me that service firms are coming up, it's a pity hate them

Club accounts, tab statement, interp (obviously), cash flow and a flexible budget would be great, but unlikely.

Patrick

Ok i hope i'm not going to be eating my words but this exam should be a high scorer

You get marks for knowing the layout of stuff so don't feel like "a cold cup of tea"!

My teacher has predicted the follow:

1. Manufacturing a/c
2. Cash Flow
3. Farm
4. Depreciation
5. Ratios
6. Suspense
7. Tabular
8. Break even (marginal costing)
9. Production Budget

Break even is really easy in fairness and very quick.
Cash flow is also simple, here's how I remember the layout. Don't laugh too much

Oh - Operating Activities
Ring - Return on Investment & Servicing of Finance
Tonight - Taxation
Cos - Capital Expenditure & Financial Investments
Eddie - Equity Dividends
Macken - Management of liquid resources (usually not needed)
Forgot - Financing

Personally I'm gonna go for Q1 anyway - whatever comes up. Then Ratios..put a good bit of work into them over the weekend. And it's possible cash flow could be a 100m instead of 60m but then again Suspense or Tabular would also be delicious

As for Section 3... like I said break-even is lovely. However I can only do that or Production budget so I'm feckered there otherwise Maybe I'll look over some others tomorrow.

Any others thoughts?

claire h

I think a cash flow is more likely to come up as a 100 mark, along with either suspense or tabular.

Published accounts *could* come up as well. I know they've been on the last two years, but they might break the pattern, shake things up a bit.

Patrick

Yeah I hope published doesn't though .. all them smelly notes!

oeNeo

You know in Cash Flow Statements when you're journalising all the entries? Is it important that the notes be word for word correct or is it okay if you get the general idea across?

Patrick

jornalise which entries? you think of suspense accounts?

oeNeo

Crap yea you're right, stupid brain. I've done so many today that they're all mushed into one big stupid account.

Patrick

hehe yeh well i don't think the comment matters much as long as u've something there. u defo loose marks for nothing

claire h

Yeah, you basically just rewrite what it said in the question. 'The correction of putting x in the wrong account due to f**king incompetence'. I hate the people in these questions. They shouldn't be allowed do accounts at all, they just screw everything up.

Healio

anyone got the formulae for the ratio question?:(

c0rk3r

why is everyone ruling out interpretation , i know it has been question 5 since metusila was a young fella ( my accounting teachers saying , sad i know ) but still a posability.

everyone is saying it wont come up but im praying it does along with cash flow with narginal costing being the icing on the cake

claire h

I don't think anyone's ruling it out. It's bound to come up. I'm not going to do it, because I hate it with a fiery vengeance, but if you're good at it it's a good question to do, I guess.

c0rk3r

its the easiest question , learn the 20 or so formulas then just apply them and earn what they mean and good facts around that basis.

purplepolkadot

Profitability-
Return on Investment: Net Profit before Int. and Tax
Capital Employed

Return on Net Profit after Int., Tax and Pref. Divd.
Shareholders’ Equity: S’holders’ Funds (OSC + Reserves)

Net Margin/Prof. Net Profit
Percentage: Sales

Activity-
Stock Turnover: Sales @ Cost Price
Average Stock

Debtors/Creditors Debtors X 12/365 Creditors X 12/365
Turnover: Cr. Sales Cr. Purchases

Liquidity-
Current Ratio: CA:CL

Acid Test Ratio/ CA – (Stock+Prepayments):CL
Quick Ratio:

Gearing-
Loans, Deb. Loans +Pref Shares X 100
Cap. Employed 1

*if highly geared (i.e. above 50%, too much outside money has a stake in the company)

Interest Cover: Net Prof. before Int. and Tax
Interest

Investment (Shareholders in particular)-
EPS: Net Prof. after Tax + Pref. Divd. X 100
No. ord. shares issued 1

Price Earnings Ratio: Market Price
EPS

DPS: Ord. Divd. X 100
No. ord. shares 1

Divd. Yield: DPS X 100
Market Price 1

Divd. Cover: Net Prof. after Int. + Pref. Divd. X 100
Ord. Share Dividend 1

Recoupment Period: Payout: Market Price ~~~ Performance: Market Price
DPS ~~~ EPS


MARGINAL COSTING- SALES – VC =CONT. – FIXED COSTS = PROFIT

BEP: Fixed Costs
Contribution

Production needed for Target Profit: FC + Target Prof. CPU
When profit of 10% of Sales Rev. is reqd.
Fixed Costs
(CPU - 10%SP)


okay so i dunno how well that looks copied from word. you can imagine what should be underlined and multiplied by 100/1

oeNeo

I don't like them that much either but I'm gonna do it, just because it's easy marks. The only forumlae I know off-hand are in the attatchment, I'll learn the other tomorrow morning.

(Might be mistakes. Also I'm not 100% sure which ones you're supposed to multiply by 100/1 yet)

edit: forgot to include the attachment but it's not needed so it's all good.

claire h

I can't believe revaluation came up....

I screwed up the suspense Q by not reading one of the bits properly, my club account balances were off by about E140,000, but apart from those two rather crucial 100-mark questions, it was fine. I hope.

Stench Blossoms

my club was off by loads aswell....

i didnt like that marginal costing question at all and im normally pretty good at them...

hadnt a club bout suspense so i did interpretation which was a nightmare i tot...

the tabular was grand tho...

Patrick

My Q1 didn't work out ..nor did club .. ah well got them attempted. Suspense worked and i couldn't believe.
Got 3744 for the difference in the suspense account i think.

Yeh the maringal costing question wasn't like the usual and that was really annoying. Some people say it made it easier than usual. I dunno .. it threw me a bit. Hopefully i got it right.

Roller Toaster

Accounting was my last exam so it was kind of annoying to go out on whats probably my weakest subject, I think I managed to pull off a C since I did okay in the 2 100 markers and the marginal costing question but made a complete botch of the two 60 markers I guess since I put so much faith into vehicle depr coming up. Also my exam started about 10 minutes late and it was one of those examiners who can't keep their mouth shut for more than ten minutes, at the end he refused to take into account the fact that the exam had started late which meant my tab statement was very rushed. Is it worth complaining to the department or should I just let it slide?

oeNeo

That paper was terrible. None of my accounts worked out. I did cash flow, tab, suspense, interp and cash budget. The cash budget was terrible I thought. The others were okay but I just messed-up a lot. Bah!