Table Of ContentTo download more visit http://freeaccastudymaterial.com
m
o
c
.
l
a T
o
d
i o
r w
n
e l
o
a
d
t
m
a
o
r
e
m v
i
s
i
t
http://freeaccastudymaterial.com h
y t
t
p
:
/
d /f
r
e
e
u a
c
c
a
t
s
s tu
d
y
a m
fb.com/freeaccastudymaterial
a
t
c e
r
i
a
c l.
c
o
m
a
e
e
r
f
join us on facebook @ fb.com/freeaccastudymaterial
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
ACCA APPROVED
CONTENT PROVIDER
A
ACCA approved content provider C
C
A
BPP Learning Media is dedicated to supporting aspiring business professionals
P
with top-quality learning material as they study for demanding professional 2
exams, often whilst working full time. BPP Learning Media’s commitment
to student success is shown by our record of quality, innovation and market
m
leadership in paper-based and e-learning materials. BPP Learning Media’s study C
o
r
materials are written by professionally qualified specialists who know from po
r
personal experience the importance of top-quality materials for exam success. at o
e
R
e
p c
o
Paper P2 rt
in .
Corporate Reporting (International and UK) g
( l
This Kit provides material specifically for the practice One of a suite of products supporting Paper P2 In
t a TT
and revision stage of your studies for Paper P2 Corporate Reporting, for use independently or as er oo
Corporate Reporting that has been comprehensively part of a package, this Kit is targeted at ACCA’s na d d
reviewed by the ACCA examining team. This exams from 1 September 2015 to 31 August 2016 tio i oo
n r ww
uanndiq guuei dreavniecwe p ernosvuidrees t hthea bt etshte a qnude mstioosnts e, fsfoecluttivioen s and contains: al an e nlonlo
• Banks of questions on every syllabus area d aa
resource for practising and revising for the exam. • Answers with detailed guidance on approaching U dd
K t
• qTuhereseti omnosck exams with full answers and guidance ) P ma more vmore v
ra isis
ctice it hit h
& y tttt
R pp
e :/:/
vis d /fr/fr
io ee
n ee
K ACCA Approuved aa
it cc
cc
aa
t
Free access ss
2F Practice & Revision Kit s tutu
015or e to our Exam dydy
toxa a Success site mm
3m Paper P2 aa
Contact us 1 As fr c tete
B1L4oP2nP-d 1Ho4no4 uW sUex12b r8idAgAe Road ugust 2om 1 Se C(Ionrtperonraattieo nRaelp aoncrdt iUngn ited Kingdom) Look inside rial.corial.co
0p
United Kingdom 16te a mm
T 0845 075 1100 (UK) m Practice & Revision Kit for exams from
b
T +44 (0)20 8740 2211 (Overseas) e
E [email protected] r 1 Septembeer 2015 to 31 August 2016
bpp.com/learningmedia
e
April 2015
£18.00
r
f
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
ACP2(INT)RK15 (RICOH).indd 1-3 31/03/2015 10:28
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
ACCA APPROVED CONTENT PROVIDER
As the first accredited publisher of ACCA materials, BPP Learning Media has set the benchmarkm for
producing exceptional study materials for students and tutors alike.
Our Study Texts, Practice & Revision Kits and i-Passes (for ACCA F1/FIA FAB, ACCA F2/FIA FMA, ACCA F3/
o
FIA FFA and ACCA F4) are reviewed by the ACCA examining team and are written by our in-house authors
with industry and teaching experience who understand what is required for exam success.
c
.
l
EXAM SUCCESS SITE
a TT
oo
To help maximise your chances of succeeding in your exams, we’ve put together a suite of exclusive ACCA
dd
resources. Our Exam Success site provides you with access to a free digitail version of this publication, as oo
r ww
well as extra resources designed to focus your efforts on exams and study methods.
nn
e ll
oo
To access the Exam Success site, please email [email protected] with the subject line “Access to Exam aa
dd
Success site - eBook”, including your order reference number andt the name of the book you’ve bought (ie
mm
ACCA F7 Study Text) for your access code. Once you have received your code, please follow the instructions
a
oo
below:
rr
ee
m v v
ii
ss
ii
tt
hh
To access the BPP ACCA Exam Success site for thiys material tttt
pp
please go to: ::
//
d /f/f
rr
www.bpp.com/ExamSuccessSite ee
ee
u aa
cc
n Create a user account if you don’t already have one. cc
aa
Make sure you reply to the confirmtation email.
ss
s tutu
dd
n Log in using your registered username and password. yy
Select the paper you wish to aaccess. mm
aa
tt
c ee
n Enter the code you received when prompted. You will only rr
ii
aa
have to do this once for each paper you are studying.
c l.l.
cc
oo
mm
a
e
e
r
f
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
P
R
m
A
o C
c T
. I
l
a TT
C
oo
dd
PAPER P2 i E oo
r ww
nn
e ll
oo
aa
CORPORATE REPORTING dd
t
& mm
a
oo
(INTERNATIONAL AND UNITED KINGDOM) rr
ee
m v v
ii
ss
R itit
hh
y tt
tt
E pp
::
//
d /f/f
rr
V ee
ee
u aa
cc
BPP Learning Media is an ACCA Approved Content Provider for the ACCA qualification. I cc
aa
This means we work closely with ACCAt to ensure our products fully prepare you for ss
your ACCA exams. s S tutu
dd
yy
In this Practice and Revision Kit, awhich has been reviewed by the ACCA examination I mm
team, we: aa
tt
c O ee
Discuss the best strategies for revising and taking your ACCA exams rr
ii
aa
Ensure you are well cprepared for your exam N l.cl.c
oo
Provide you with lots of great guidance on tackling questions mm
a
Provide you with three mock exams
e
Provide ACCA exam answers as well as our own for selected questions K
Our Passcareds support this paper.
I
r
T
f
FOR EXAMS FROM 1 SEPTEMBER 2015 TO 31 AUGUST 2016
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
m
o
c
.
l
a TT
oo
dd
i oo
First edition 2007 r ww
Ninth edition April 2015 nn
e ll
oo
aa
ISBN 9781 4727 2693 3 dd
(previous ISBN 9781 4727 1108 3) t m m
a
oo
e-ISBN 9781 4727 2745 9 rere
m v v
ii
British Library Cataloguing-in-Publication Data ss
ii
tt
A catalogue record for this book All our rights reserved. No part of this publication may be
hh
is available from the British Library ryeproduced, stored in a retrieval system or transmitted, in tttt
pp
any form or by any means, electronic, mechanical, ::
//
dphotocopying, recording or otherwise, without the prior /f/f
rr
Published by written permission of BPP Learning Media Ltd. ee
ee
u aa
BPP Learning Media Ltd cc
cc
BPP House, Aldine Place We are grateful to the Association of Chartered Certified aa
t
ss
London W12 8AA s Accountants for permission to reproduce past tutu
examination questions. The suggested solutions in the dd
www.bpp.com/learningmedia a practice answer bank have been prepared by BPP ymym
Learning Media Ltd, except where otherwise stated.
aa
tt
Printed in the United Kingdom by c ee
rr
ii
aa
RICOH UK Limited c l.l.
cc
Unit 2
oo
Wells Place mm
a
Merstham
RH1 3LG
e
©
Your learning maeterials, published by BPP Learning BPP Learning Media Ltd
Media Ltd, are printed on paper obtained from 2015
traceable, srustainable sources.
f
ii
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
Contents
Page
Finding questions
Question index............................................................................................................................................................m......v
Topic index....................................................................................................................................................................viii
Helping you with your revision
....................................................................................................o.................ix
Revising P2
c
Revising P2.......................................................................................................................................................................x
Passing the P2 exam.........................................................................................................................................................xi
Exam information..........................................................................................................................l.................................xiii
Analysis of past papers..............................................................................................................a....................................xiii TT
oo
Exam update..................................................................................................................................................................xxii
dd
Useful websites..................................................................................................................i...........................................xxiv oo
r ww
Questions and answers nn
e ll
oo
Questions..........................................................................................................................................................................3
aa
Answers........................................................................................................................................................................101 dd
t
mm
Exam practice a
oo
rr
Mock exam 1 ee
Questions.......................................................................................m.....................................................................351 v v
ii
ss
Plan of attack.......................................................................................................................................................359 ii
tt
Answers...............................................................................................................................................................360 hh
y tt
tt
Mock exam 2 pp
::
Questions....................................................................d........................................................................................379 //f//f
Plan of attack.......................................................................................................................................................389 rere
Answers...............................................................................................................................................................392 ee
u aa
Mock exam 3 (December 2014) cc
cc
Questions.....................................................t.......................................................................................................413 aa
ss
Plan of attack............................................s...........................................................................................................421 tutu
Answers...............................................................................................................................................................423 dd
yy
ACCA's exam answers a mm
June 2014............................................................................................................................................................443 aa
tt
December 2014..........................c.........................................................................................................................455 ee
rr
ii
aa
Mathematical tables..........c................................................................................................................................471 l.l.
cc
oo
Review form mm
a
e
e
r
f
i ii
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
A note about copyright
Dear Customer
What does the little © mean and why does it matter?
Your market-leading BPP books, course materials and e-learning materials do not write and update themselves.
m
People write them: on their own behalf or as employees of an organisation that invests in this activity. Copyright law
protects their livelihoods. It does so by creating rights over the use of the content.
Breach of copyright is a form of theft – as well as being a criminal offence in some jurisdictions,o it is potentially a
serious breach of professional ethics.
c
With current technology, things might seem a bit hazy but, basically, without the express permission of BPP
Learning Media:
.
Photocopying our materials is a breach of copyright l
a TT
Scanning, ripcasting or conversion of our digital materials into different file formats, uploading them to oo
dd
Facebook or emailing them to your friends is a breach of copyright i oo
r ww
You can, of course, sell your books, in the form in which you have bought them – once you have finished with nn
e ll
them. (Is this fair to your fellow students? We update for a reason.) Please note the e-products are sold on a single oo
aa
user licence basis: we do not supply 'unlock' codes to people who have bought them second-hand. dd
t
mm
And what about outside the UK? BPP Learning Media strives to makea our materials available at prices students can
oo
afford by local printing arrangements, pricing policies and partnerships which are clearly listed on our website. A rr
ee
tiny minority ignore this and indulge in criminal activity by illegalmly photocopying our material or supporting v v
organisations that do. If they act illegally and unethically in one area, can you really trust them? isis
ii
tt
hh
y tt
tt
pp
::
//
d /f/f
rr
ee
ee
u aa
cc
cc
aa
t
ss
s tutu
dd
yy
a mm
aa
tt
c ee
rr
ii
aa
c l.l.
cc
oo
mm
a
e
e
r
f
iv Finding questions
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
Question index
The headings in this checklist/index indicate the main topics of questions, but questions often cover several
different topics.
Questions set under the previous syllabus Advanced Corporate Reporting paper are included because their style and
content are similar to those which appear in the P2 exam. The questions have been amended to reflect the current
exam format.
m
Time Page number
allocation
Marks Mins oQuestion Answer
Part A: Regulatory and ethical framework
c
Financial reporting framework
.
1 Conceptual framework (12/07, amended) 25 45 3 101
l
2 Accounting standards and disclosure (12/08) 25 a45 3 103 TT
oo
3 Lizzer (6/13) 25 45 4 106
dd
i oo
4 Venue (12/11, amended) 25 45 5 109
r ww
nn
Part B: Accounting standards e lolo
aa
dd
5 Preparation question: Sundry standards t– – 6 113
mm
a
Non-current assets oo
rr
ee
6 Key (12/09) m 25 45 7 116 v v
7 Prochain (ACR, 6/06) 25 45 8 119 isis
ii
tt
8 Johan (12/08) 25 45 9 121
hh
9 Scramble (12/11) y 25 45 10 125 tttt
pp
::
Employee benefits d //f//f
rr
10 Preparation question: Defined benefit plan – – 11 127 ee
ee
11 Macaljoy (12/07, amended) u 25 45 12 129 aa
cc
cc
12 Smith (6/09, amended) 25 45 13 132
aa
t
ss
Events after reporting period, provsisions and tutu
dd
contingencies
yy
a mm
13 Ryder (ACR, 12/05) 25 45 14 134
aa
14 Royan (6/12, amended) c 15 27 15 137 tete
rr
15 Electron (Pilot paper) 25 45 15 138 iaia
c l.l.
Income taxes cc
oo
16 Cohort (ACR, 6/02, amaended) 22 40 16 141 mm
17 Panel (ACR, 12/05) 25 45 17 142
e
18 Kesare (Pilot paper) 25 45 18 145
Financial instruments
e
19 Preparation question: Financial instruments – – 19 147
20 Bental (1r2/13, amended) 25 45 20 148
21 Avco f(6/14, amended) 25 45 21 151
22 Complexity (12/09) 25 45 22 154
23 Ambush (ACR, 12/05, amended) 25 45 22 156
24 Aron (6/09, amended) 25 45 23 158
Finding questions v
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
Leases
25 Preparation question: Leases – – 24 163
26 Havanna (12/13) 25 45 25 164
27 Holcombe (6/10, amended) 25 45 26 167
28 William (6/12) 25 45 27 170
Share-based payment
m
29 Leigh (ACR, 6/07) 25 45 28 173
30 Margie (12/10) 25 45 29 176
o
31 Greenie (12/10) 25 45 30 178
Performance reporting
c
32 Zack (12/13) 25 45 31 181
.
33 Minco (6/14, amended) 25 45 32 185
l
34 Alexandra (6/11) 25 a45 33 189 TT
oo
35 Cate (6/10) 25 45 34 192
dd
36 Calcula 25 i45 35 195 oo
r ww
Related parties nn
e ll
oo
37 Egin Group (ACR, 6/06) 25 45 36 199 aa
dd
t
Part C: Group financial statements a mm
oo
rr
Revision of basic groups ee
m v v
38 Marrgrett (12/08) 25 45 38 202 isis
ii
tt
39 Preparation question: Associate – – 39 205
hh
y tt
Complex groups tptp
::
//
40 Preparation question: 'D'-shaped group d – – 40 207 /f/f
rr
41 Preparation question: Sub-subsidiary – – 41 209 ee
ee
42 Glove (ACR, 6/07, amended) u 25 45 43 211 aa
cc
cc
43 Case study question: Minny (12/12) 50 90 44 216
aa
t
ss
44 Case study question: Trailer (6/13) 50 90 46 221
s tutu
dd
Changes in group structures
yy
a mm
45 Preparation question: Part disposal – – 48 229
aa
46 Preparation question: Purchasce of further interest – – 50 231 tete
rr
47 Case study question: Marchant (6/14) 50 90 50 233 iaia
48 Ejoy (ACR, 6/06, amendedc) 30 54 52 240 l.cl.c
oo
49 Case study question: Traveler (12/11) 50 90 54 244 mm
a
50 Case study question: Robby (6/12) 50 90 56 250
51 Case study questieon: Bravado (6/09) 50 90 58 256
52 Case study question: Grange (12/09) 50 90 60 261
e
53 Case study question: Ashanti (6/10, amended) 50 90 62 269
Foreign tranrsactions and entities
54 Preparfation question: Foreign operation – – 64 276
55 Aspire (6/14) 25 45 66 278
56 Memo (ACR, 6/04, amended) 32 58 67 281
57 Case study question: Rose (6/11) 50 90 69 285
vi Finding questions
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
TToo ddoowwnnllooaadd mmoorree vviissiitt hhttttpp::////ffrreeeeaaccccaassttuuddyymmaatteerriiaall..ccoomm
Time Page number
allocation
Marks Mins Question Answer
Group statements of cash flows
58 Preparation question: Consolidated statement of cash flows – – 71 290
59 Case study question: Angel (12/13) 50 90 74 292
m
60 Case study question: Jocatt (12/10) 50 90 78 297
61 Case study question: Warrburt (12/08, amended) 50 90 82 303
o
Part D: Developments in reporting
c
Environmental and social reporting
.
62 Glowball (ACR, Pilot paper) 25 45 86 308
l
Current developments a TT
oo
63 Preparation question: Current issues – – 87 310 dd
i oo
64 Fair values and IFRS 13 25 r45 88 313 ww
nn
65 Jones and Cousin (ACR 12/06) 25 e 45 88 315 ll
oo
aa
Specialised entities and specialised transactions
dd
t
66 Lockfine (6/11) 25 45 89 318 mm
a
oo
67 Seltec (6/10) 25 45 90 321 rr
ee
68 Ethan (6/12) m 25 45 91 324 v v
ii
69 Norman (6/08) 25 45 92 327 ss
ii
tt
70 Preparation question: Reconstruction scheme – – 93 330 hh
y tt
tt
71 Plans 15 27 94 333 pp
::
//
72 Decany (12/11) d 25 45 94 335 /f/f
rr
73 Lucky Dairy (ACR, 6/02, amended) 25 45 95 339 ee
ee
u aa
IFRS for small and medium-sized entities cc
cc
74 IFRSs and SMEs (ACR, 6/06, amended)t 25 45 97 341 aa
ss
75 Whitebirk (12/10, amended) s 22 40 97 344 tutu
dd
yy
Mock exam 1 a mm
aa
76 Case study question: Ribby (6/08) tt
c ee
77 Coate (12/12) rr
ii
aa
78 Blackcutt (12/12) c l.l.
cc
79 Jayach (12/12) oo
mm
a
Mock exam 2
80 Case study queestion: Beth (12/07, amended)
81 Verge (6/13)
82 Janne (6/1e3)
83 Implementing IFRS (6/08)
r
Mock exam 3 (December 2014)
f
84 Case study question: Joey (12/14)
85 Coatmin (12/14)
86 Kayte (12/14)
87 Estoil(12/14)
Finding questions v ii
jjooiinn uuss oonn ffaacceebbooookk @@ ffbb..ccoomm//ffrreeeeaaccccaassttuuddyymmaatteerriiaall
