powered by logo

Forums

Marking

Exams

answered on 03-Jan-25 07:40

Out of the total 6 questions we need to attend 5 But if i do not know the answer to a sub question among the 5 questions and i wrote an answer to the 6 question Will they consider it

latest answer

Yes. Best of 4 will be considered

Aswin Mohan

Aswin Mohan

CA Inter

710

1

1K+

By Products if material

Financial Reporting

answered on 03-Jan-25 09:52

Sir, Unless mentioned, we should treat the By products as Immaterial and to consider its NRV as reduction from main cost if given that the by product is Material, then to reduce its cost

latest answer

If by product is material, treat as joint cost.

Hemachandra D

Hemachandra D

CA Final

9K+

1

824

Margin on Product 1 and 2

Financial Reporting

answered on 09-Jan-25 10:35

In this video at 10:45, For product 1 the Revised sales value at split point is Rs 200 (250-50), and the Joint cost of Product 1 is 100, so margin of Rs 100(200-100)/(250-150), but the margin for the processing cost of Rs 50 incurred is Zero, so in some angle the Product 1 will be valued above the actual cost, and product 2 will be valued below the cost, if we follow the Relative sales method

latest answer

We do not have sales value at split off point right. We have derived the NRv at splitoff point. Profit for product 1 is lesser due to further processing cost. In real life when a product is not saleable at split off point, the company has no choice but to process it further. Even if the incremental margin is nil. however if the incremental margin is negative, they will not process it further.

Hemachandra D

Hemachandra D

CA Final

9K+

5

766

Lack of Demand

Financial Reporting

answered on 03-Jan-25 10:05

Sir say for this same question the Mangament expects/estimates that the lack of demand and competition continues even for next year, in that case they expect to produce only 50000 for next year, so in that case can we consider 50000 as normal for next year and fixed cost to be allocated is 10000000/50000 = 200

latest answer

Yes, if the management reasonably expects production to remain at 50,000 units next year due to prevailing market conditions, it is justifiable to consider 50,000 units as the normal capacity. In that case, the fixed cost allocation would be ₹200 per unit for the next year's calculations. However, if this situation is temporary, you should use the original normal capacity unless there’s evidence that long-term conditions have changed.

Hemachandra D

Hemachandra D

CA Final

9K+

1

970

Doubt regarding payments of cash forcast

Financial Management

answered on 03-Jan-25 11:16

for payment of cash for A ltd, shouldn't the amount be 55000 since the credit terms is 1 month calender month. Aren't we supposed to take purchase of Dec rather than for Nov as answer shown is the amount corresponding to Nov

latest answer

But question clearly says payment is scheduled on 7th Jan. Question also says amount is not for any specific month, but a standing amount and differences are reconciled and adjusted periodically.

Parvathy P

Parvathy P

CA Final

6K+

1

172

Minerals and Minerals Product

Financial Reporting

answered on 03-Jan-25 10:09

Sir Mineral and Mineral Products are excluded from this Ind As for Measurement purpose, does Cement is a Mineral product ?

latest answer

Inventories of minerals and mineral products (e.g., coal, crude oil) are excluded only if they are measured at net realizable value (NRV) under well-established industry practices. This exclusion is for the mining company and not for cement company.

Hemachandra D

Hemachandra D

CA Final

9K+

5

989

Foreign Exchange Exposure - TYK 5

AFM

answered on 03-Jan-25 05:54

Sir, in Q 5(iii) why we are not taking the average of Bid and Ask Rates of Spot and Forward Rates and Finding the premium or discount of USD on INR? Also what is meant by premium/ discouny of USD on INR. Should we find Premium on USD(Base Currency) or Discount on INR( Non Base Currency) Basically I'm not clear in this question!

latest answer

Premium / dsicount is always computed for bid and ask separately unless they specify compute for average Explained in class and revision video also what we mean by premium / discount - - basically int rate differential - We compute it for a specific quote- here they gave 2 months and 3 months both quotes and hence finding for average of both Premium of USD on INR with USDINR direct quote means USD Premium Pls watch our free class for next 3 days and doubt should be cleared

R M

R M

ACCA Professional

4K+

1

759

Ind as 38

Financial Reporting

answered on 03-Jan-25 10:15

Is coustomer list intangible asset or it can be recognised if cost is measurable

latest answer

If the separability criteria is met then, Acquired Customer Lists: If acquired separately (e.g., purchase of a database), it is recognized at cost. If acquired in a business combination, it is recognized at its fair value as part of the purchase price allocation. Internally Generated Customer Lists: A customer list developed internally cannot be recognized as an intangible asset. Costs of developing or maintaining customer relationships are typically expensed as incurred because it is challenging to reliably measure the cost or demonstrate control over the asset.

Krishna Krishna

Krishna Krishna

CA Final

780

1

433

What to do if result was successful and no need to pay the outstanding liabilities?

Auditing

answered on 05-Jan-25 23:10

What to do if result was successful and no need to pay the outstanding liabilities? Do we reverse the OS balance again?

latest answer

Provisions are estimated only. So it can be written back

Manu Jacob

Manu Jacob

CA Final

6K+

1

803

Consolidated financial stt

Accountancy

answered on 09-Jan-25 11:43

In ur example cost of control and minority interest working Note why don't u take Esc and p&l both If u take both in subsidiary u got 70000 instead of 50000 80%(70000) for capital reserve and 20%(70000) for MI calculation will do But u do it with 80%(50000)

latest answer

We need to separate P&L since it is mid year acquisition. And hence done separately.

dhivya annam

dhivya annam

CA Inter

1K+

4

258