A parent entity acquired 75% of the equity shares in a subsidiary entity for $156,000.

The
remaining 25% of the equity shares were valued at $36,000.
The net assets of the subsidiary were $170,000 at acquisition.
Assuming that the non-controlling interest is valued using the fair value method, which of the
following is the correct value that should be included for goodwill in the consolidated
statement of financial position?
$28,500
$22,000
$64,500
($26,000

Inventory days for an entity over three years are:

Which of the following is most likely to have caused the decrease in inventory days in year
3?
A planned new product launch at the start of year 4
A new unqualified member of warehouse staff appointed in year 3
Large price reductions in year 3 to encourage sales
A reduction in sales due to the economic environment
Which of the following should be treated as a non-adjusting event, as required by IAS
10 Events after the Reporting Period in the financial statements of an entity for the period
ended 31 March 20X4? The financial statements were approved for publication on 20 July
20X4.
Notice was received on 31 May 20X4 that a major customer had ceased trading and
was unlikely to make any further payments.
Inventory items at 31 March 20X4, original cost $45,000, were sold in June 20X4 for
$25,000.
During 20X3, a customer commenced legal action against the entity. At 31March
20X4, legal advisers were of the opinion that the entity would lose the case, so a
provision of $175,000 was created for the damages claimed by the customer. On 27
April 20X4, the court awarded damages of $210,000 to the customer.
There was a fire on 2 May 20X4 in the entity's main warehouse which destroyed 75%
of its total inventory.

Which THREE of the following, (if included in the measure of segment profit or loss reported
to the chief operating decision maker), are required by IFRS 8 Operating Segments?
Revenues from transactions with other operating segments
Cost of sales
Amortisation
Income tax expense
Administrative expenses
Distribution costs
An entity had the following amounts in its financial statements:
Statement of financial position (extracts)
Calculate the tax paid that would be included in the entity's statement of cash flows for year
3.
Give your answer as a whole number.
$
he annual sales revenue for an entity was $3,819,000. The trade receivables balance at the
year-end was $458,000.
The trade receivables balance included $34,000 for a customer that had been declared
bankrupt and would not be making any further payments. The sales revenue included
$135,000 of sales for cash.
Calculate trade receivable days for the entity.
Give your answer to the nearest whole day.
days
An entity has a defined benefit pension plan and the actuary has provided the following
values:

Other information in respect of the year ended 31 December 20X1 is as follows:

The actuarial gain or loss on pension plan assets is:

a gain of $22,000
a loss of $22,000
a gain of $28,000
a loss of $28,000
In accordance with the International Accounting Standard Boards The
Conceptual Framework for Financial Reporting, the underlying assumption to be
used in the preparation of financial statements is:

A.
Relevance

B.
Going concern

C.
Accruals

D.
Understandability
The International Federation of Accountants (IFAC) in its International good
practice guidance, "Evaluating and improving governance in organisations"
(2009) identified 12 key principles of evaluating and improving governance in
organisations.
Which of the following principles identified by the IFAC guide was stated as being
the objective of governance?
Resource utilisation should align with strategic direction
The governing body should be properly constituted and structured to achieve an
appropriate balance between performance and conformance
The creation and optimisation of sustainable stakeholder value

Good governance should be fully integrated into the organisation