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Qualification => GCE AS & A2 Level => Queries => Topic started by: sabbath_92 on April 28, 2010, 08:51:38 am

Title: Anyone have CIE Accounting A2 exams this june?
Post by: sabbath_92 on April 28, 2010, 08:51:38 am
I kind of need some clarifications with a few MCQ past paper questions. I'll sort them and post all of them here if I get any replies.
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: ~ A.F ~ on April 28, 2010, 08:55:03 am
Shoshou Mony (administrator) is..
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: sabbath_92 on April 28, 2010, 09:17:43 am
This is one of the firsts:

A company has in issue 200 000 redeemable preference shares of $1 each. These were issued many years ago at a premium of 8%
It now proposes to redeem all the preference shares at a premium of 10%, partly financed by a cash issue of 50 000 new ordinary shares at $2 each, at a price of $ 3.50
How much will the transfer to the capital redemption reseve fund be?
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: immortal on April 29, 2010, 09:32:42 pm
A capital redemption reseve will b created for $ 100,000    (200000-50000*2)

The share premium A/C will b increased by $ 55,000    (75000-20000)
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: Monica on April 29, 2010, 10:35:20 pm
I am here for help. Post the paper and question also please.
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: sabbath_92 on May 03, 2010, 07:23:40 pm
A capital redemption reseve will b created for $ 100,000    (200000-50000*2)

The share premium A/C will b increased by $ 55,000    (75000-20000)

Naah, the answer is $25,000.
The amount recieved from the new issues of shares is 50,000x3.50=175,000 [The full price will be taken cos we are assuming the premium was decided so that it covers the cost of the redemption.]
The remaining amount needed for the redemption to take place is 200,000-175,000. This will be taken from a reserve and transferred to the CRRF.

I will post the lot tomorrow morning. Thanks.
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: immortal on May 03, 2010, 09:05:36 pm
There r no assumptions in accounting, it only deals wit facts and figures.
As for da question, wat i stated b4 is correct, its as per da new syllabus.
because da old syllabus takes da 8% in 2 consideration,so different answer.
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: sabbath_92 on May 04, 2010, 06:32:20 am
There r no assumptions in accounting, it only deals wit facts and figures.
As for da question, wat i stated b4 is correct, its as per da new syllabus.
because da old syllabus takes da 8% in 2 consideration,so different answer.

Well according to the new syllabus you are wrong, and examiners don't care about the old syllabus. And I used the word assumption for the explanation, it's a fact.
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: sabbath_92 on May 04, 2010, 06:40:11 am
Could someone explain these:

May June 09- Paper 3
Question 5
Question 14
Question 30

The link to the paper is here: http://www.freeexampapers.com/Dndex.php?d=QSBMZXZlbC9BY2NvdW50aW5nL0NJRQ==

Thanks.
Title: Re: Anyone have CIE Accounting A2 exams this june?
Post by: immortal on May 04, 2010, 11:06:01 am
Q5>=C
      1500+600-210=1890(shareholders fund)
       1890/2100(num of shares)=0.9(balance-sheet value of share)

Q14>=C
        The average shud b found & spread over 5 years.
         common mistake is making B

Q30>D
        find da combition which gives da highest return,this can b found by knowing da return of investment.