Page 19 - CIMA May 18 - MCS Day 1 Tasks

Chapter 6

ADVANCED FINANCIAL REPORTING

(F2) FAMILIARISATION

1. ANALYSIS OF PERFORMANCE AND POSITION

 Using suitable ratios analyse the financial performance and position of Menta. Use the
financial statements provided in the pre‐seen, together with any other relevant information
from the pre‐seen.
 Using suitable ratios analyse the financial performance and position of Dawlbus. Use the
financial statements provided in the pre‐seen, together with any other relevant information
from the pre‐seen.

2. SOURCES OF LONG‐TERM FINANCE
 Consider the ways in which Menta could raise long‐term finance together with the reasons
why they may wish to do so, together with any relevant implications.
 Comment on the ability to calculate a weighted average cost of capital for Menta from the
pre‐seen, and its uses.

3. FINANCIAL REPORTING STANDARDS

Revise the requirements of each of the following financial reporting standards* / topics and
discuss how they may be relevant to Menta and the pre‐seen information.

 IAS 8 Accounting policies, changes in accounting estimates and errors
 IAS 16 Property, plant and equipment
 IAS 36 Impairment of assets
 IAS 38 Intangible assets
 IAS 17 Leases
 IAS 18 Revenue
 IAS 20 Government grants and disclosure of government assistance
 IAS 37 Provisions, contingent liabilities and contingent assets
 IAS 21 Foreign currency – both foreign currency transactions and foreign operations
 IFRS 5 Assets held for sale and discontinued operations
 IFRS 8 Operating segments
 IFRS 3 Business combinations
 IFRS 10 Consolidated financial statements
 IFRS 11 Joint arrangements

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