CPA FR 問題集 : Financial Reporting

On 1 January 2008 Sudden Ltd purchased a freehold office block for $2.5 million. At the date of acquisition the useful life was estimated to be 50 years and the residual value $250,000. The company policy is to depreciate freehold property on the straight-line basis. On 31 December 2013 the residual value of the offices was estimated at $450,000 due to an increase in commercial property prices. The estimated useful life of the property remained unchanged.
What amount will berecognizedin profit or loss as depreciation in respect of the freehold property in the year to 31 December 2013?

• A. $40,556
• B. $41,000
• C. $45,000
• D. $45,555

Relied Ltd owns a factory with an opening carrying value of $60m. At 1 January 2012 the directors decided to sell the property, but have continued to use the factory for manufacturing during the year. As they have made no positive moves towards disposal, they are well aware that the property is not held for sale.
They wish to classify the building as an investment property and recognise a loss of $10m in the income statement based on a market value at 31 December 2012 of $50m. It is estimated that the factory has a remaining life of 20 years and the estimated cost to sells would be $50,000. Relied Ltd applies the cost model to their other factories.
How should be the factoryrecognizedin the statement of Relied Ltd?

• A. Cost model should be applied with a $10m reduction in the revaluation reserve and $57mrecognizedin the statement of financial position as at 31 December 2012.
• B. Recognizedunder IAS 16 with a depreciation charge of $3m in the statement of profit or loss and $57m in the statement of financial position as at 31 December 2012.
• C. Recognizedunder IFRS 5 property held for sale with $49.95m in the statement of financial position and a charge of $10.05m in the statement of profit or loss for the year ended 31 December 2012.
• D. Fair value model should be applied with a loss of $10mrecognizedin the statement of other comprehensive income and $50m in the statement of financial position as at 31 December 2012.

BEATS plc acquired 75% of the ordinary shares in JOHN Ltd on 1 April 2012. BEATS plc has prepared a consolidated statement of financial position at 31 March 2013, which shows goodwill of $200,000 and consolidated retained earnings of $400,000. However, this consolidated statement of financial position has ignored the fair value of an item of plant held by JOHN Ltdwhich at the date of acquisition was $120,000 in excess of its carrying amount. The asset has a remaining useful life of five years.
After adjusting for the above fair value, what amounts should be shown for goodwill in BEATS plc's consolidated statement of financial position as at 31 March 2013?

• A. $110,000
• B. $200,000
• C. $120,000
• D. $80,000

Julie plc has one associated company, Andrew Ltd, in which Julie plc holds 40% of the issued 100,000 $1 ordinary shares. The financial controller of Julie plc is unsure how the following transactions should be reflected in the consolidated statement of cash flows and has asked you to confirm the overall impact.
(1)
In the previous accounting period, Julie plc had made a cash advance of $100,000 to Andrew Ltd. During the current accounting period, Andrew Ltd repaid $30,000 of this cash advance.
(2)
During the current accounting period, Andrew Ltd sold an item of property, plant and machinery at its carrying amount for $20,000 cash.
(3)
During the current accounting period, Andrew Ltd paid a dividend of 20c per share.
In accordance with IAS 7 Statement of Cash Flows, what is the impact of the above cash transactions on Julie plc's consolidated statement of cash flows for the current accounting period?

• A. Cash from repayment of cash advance from associate $30,000; cash from sale of associate's plant $20,000
• B. Cash from repayment of cash advance from associate $30,000; dividend received from associate $8,000
• C. Dividend received from associate $8,000
• D. Cash from sale of associate's plant $20,000; dividend paid by associate $20,000

Jamal Co buys some goods from SA of France on 30 September (year end is 31 December). The invoice value is EUR40,000 and is due for settlement in equalinstallmentson 30 November and 31 January. The exchange rate moved as follows:
EUR = $1 30-Sep1.60 30-Nov1.80 31-Dec1.90 31-Jan1.85
What are the total exchange gains / (losses) that will be included in the operating profit of Jamal Co for the year ended 31 December 2012?

• A. A gain of $3,078
• B. A gain of $3,363
• C. A loss of $1,689
• D. A gain of $1,389