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p2 - ACCA PAPER

Decent Essays

Corporate Reporting June 2011 Time allowed Reading time: 15 minutes Writing time: 3 hours This paper is divided into two sections Section A This question is compulsory and MUST be answered Section B TWO questions ONLY to be answered Do not open this paper until instructed by the supervisor This question paper must not be removed from the examination hall Kaplan Publishing/Kaplan Financial Paper P2 (INT & UK) ACCA FINAL ASSESSMENT ACCA P2 (INT & UK) CORPORATE REPORTING © Kaplan Financial Limited, 2010 The text in this material and any others made available by any Kaplan Group company does not amount to advice on a particular matter and should not be taken as such. No reliance should be placed …show more content…

The group has used equity accounting for the joint venture in Kevla. No dividends have been received from Kevla but the land and buildings transferred have been revalued at the year-end. (d) The investments included under non-current assets comprised the joint venture in Kevla ($265 million), the shares in Meal ($300 million), and investments in corporate bonds ($35 million). The bonds had been purchased in November 20X1 and were deemed to be highly liquid, although Baron intended to hold them for the long term as their maturity date is 1 January 20X9. The short term investments comprised the following items: (e) 20X0 $m 23 21 _____ 152 _____ Government securities (repayable 1 April 20X2) Cash on seven day deposit 20X1 $m 51 101 _____ 44 _____ The taxation charge in the statement of comprehensive income is made up of the following items: Income tax Tax attributable to joint venture $m 171 20 ___ 191 ___ 6 KAPLAN PUBLISHING FINAL ASSESSMENT QUESTIONS (f) The movement on tangible non-current assets of the Baron Group during the year was as follows: Cost or valuation 1 December 20X0 Additions Revaluation Disposals and transfers $m 2,100 380 (30) (680) _____ At 30 November 20X1 1,770 _____

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