SFMA Assessment 9 May 2009

Saint Sonner

If anyone is doing the second chance assessment for SFMA. Could you post your ideas on the Case Study: JJ Limited and possible questions. I'm stuck!

Thanks

Hanley

Is that the one about the football team?? I haven't seen it but one of the girls I work with was describing it to me. It sounded REALLY similar to a past exam question (tho it could have been off a sample paper) where TROLAK Town are talking about buying a new goalkeepr - Paolo Goodsavo.

Might be worth looking at that paper and the solution for ideas.

Saint Sonner

Its about a basketball team but that example sounds good as its about buying a player also.

Thats great help thanks Hanley

Saint Sonner

Excuse my ignorance but i'm still preparing for this exam and haven't yet discovered the similar question re the purchase of a goalkeeper.

Can you give me any more direction as where to fine it? Sorry for being a pain!

woodie3

Hi

I also have this assignment on sat and i am very lost at this stage. Hanley do you know where this question that you think is similar to the case study is because i had a look and i cant find it. Also does anyone think the question might be maximum price that the company could afford to pay for the stadium or calculate the existing operating cycle i doubt it can be ratios cos it only gives the results for one year.

does anyone have any ideas it would be greatly appreciated.

Thanks

Hanley

woodie3 wrote: »

Hi

I also have this assignment on sat and i am very lost at this stage. Hanley do you know where this question that you think is similar to the case study is because i had a look and i cant find it. Also does anyone think the question might be maximum price that the company could afford to pay for the stadium or calculate the existing operating cycle i doubt it can be ratios cos it only gives the results for one year.

does anyone have any ideas it would be greatly appreciated.

Thanks

It's prof 3 autumn '03 Q5

Mostly NPV calc and payback.

Might find something useful in it tho.

Dreamslily

Hi ,
I'm doing the SFMA on sat and I found the case study so hard to understand :(because first I though it will be on relevant cost but then when I read it again , it kind of confusion me on

‘A recent independent report valued the company’s freehold land and building which comprise the basketball stadium and adjacent car park at €2.5 million’

‘JJ ltd agreed an overdraft limited of €30,000 for the year ended 31/12/2009 ‘- do this meant we will be ask a cash budget too .

Any help will be greatly appreciated

Thanks

Saint Sonner

I am reading it and to be honest i was keeping a really simplistic view on it. I was working out how much the new player should be bought for and i was working out cash budgets to determine if and when the team will break its overdraft limit.

I thought myself that ratios are out of the question due to only one year included. I was also worried i haven't looked enough at the balance sheet and didn't really know what line they will go down for including the note regarding the re valuation of the land & property.

I can't see how practical the stadium proposal part of the question could be due to the lack of figures regarding this i was thinking that it will be a theoritical part. Does anyone have any views on what way a theory question could be asked on this part?

Just hoping for 8/15 at this stage so as not to fall behing the pass average!!!

woodie3

Hi i was able to find the soloution to autumn 03 q5 on the net but i cant locate the question, Hanley could you please post a link to the question on the board please if you can as i can see from the soloution that this would be of great help.
Thanks a mill for your help.

woodie3

saint sooner how do you think that a cash budget will come in to this question sorry i just have completly confused myself on this assignment. I do reckon we will be asked whats the maximum jj limited should pay to purchase the player.
Theory i was tinking maybe it could be something to do with short term sources of finance pros and cons cos they threw in the overdraft.
I dont get the note on the revaluation of the plant and property at all??
Ya the stadium bit is weird too cos there are numbers id say it will have to be theory.

Hanley

woodie3 wrote: »

Hi i was able to find the soloution to autumn 03 q5 on the net but i cant locate the question, Hanley could you please post a link to the question on the board please if you can as i can see from the soloution that this would be of great help.
Thanks a mill for your help.

Hope this helps;

Saint Sonner

woodie3 wrote: »

saint sooner how do you think that a cash budget will come in to this question sorry i just have completly confused myself on this assignment. I do reckon we will be asked whats the maximum jj limited should pay to purchase the player.
Theory i was tinking maybe it could be something to do with short term sources of finance pros and cons cos they threw in the overdraft.
I dont get the note on the revaluation of the plant and property at all??
Ya the stadium bit is weird too cos there are numbers id say it will have to be theory.

Thanks for your tips on theory woodie! I was thinking they would ask for a cash budget on the four quarters to show if the co will go over their overdraft limit which you see they do in quarters 2 & 3 if they don't buy troy! It's relatively straight forward to compile once you have done the workings for the max the player should be bought.

Other than that I'm going to rely heavily on what I should know (very little) and what I can find in materials!

Good luck all anyway!f

Dreamslily

Hi guys,
i was thinking in the same line as Saint because i think it will be a cash budget instead of one , i think we will ask for two one is if we dont purchase the player and the other is that what happen if we purchase the new player .

in relation to the question A 03 question 5 , i dont think our case study is a npv at all because we dont havethe COC %

thanks very much and best of luck tomorrow

woodie3

ya i think its def cash budgets now aswell for the four quarters cool thanks for tips and best of luck tomorrow

Saint Sonner

I think that Assessment couldn't have went better i'd say it was alot handier than the first one that was done in January!

woodie3

ya it was the job i had the first two answers done and in my notes and the theory one was fine! when do the results come out?