Question
Question 1. A Co has publicly traded shares and reports profit after tax of $100 million for the year ended 31 December 20X0. On 1
Question 1. A Co has publicly traded shares and reports profit after tax of $100 million for the year ended 31 December 20X0. On 1 January 20X0, the entity had 200 million ordinary shares in issue and $80 million 6% irredeemable preference shares. The preference dividends are payable on 31 December each year. In accordance with IAS 33 Earnings per Share (EPS), what is the EPS for the year ended 31 December 20X0?
34.0 cents
35.7 cents
47.6 cents
50.0 cents
Question 2. Y Co adopts IFRS for the first time for its financial statements for the year ended 31 December 20X5. Which of the following statements is true under IFRS 1, First time Adoption of International Financial Reporting Standards?
The opening balances at 1 January 20X4, and the financial statements for the years ended 31 December 20X4 (comparatives) and 31 December 20X5 must comply with IFRS in force at 31 December 20X5.
The opening balances at 1 January 20X4, and the financial statements for the years ended 31 December 20X4 (comparatives) and 31 December 20X5 must comply with IFRS in force at 1 January 20X4.
The opening balances at 1 January 20X5, and the financial statements for the year ended 31 December 20X5 must comply with IFRS in force at 1 January 20X5. The financial statements for 20X4 remain unchanged.
The opening balances at 1 January 20X5, and the financial statements for the year ended 31 December 20X5 must comply with IFRS in force at 31 December 20X5. The financial statements for 20X4 remain unchanged.
Question 3. Ralph Co aquires 80% of Angus Co on 1 January 20X7 for $780,000. At this date the net assets of Angus Co had a book value of $720,000 and a fair value of $750,000. The difference was due to land that was still held at 31 December 20X7. The NCI was measured as a proportion of net assets. Extracts from the statements of financial position of the two companies at 31 December 20X7 were as follows: Ralph $'000 Angus $'000 Property, plant and equipment 1,290 640 Investment 780 - Current assets 370 450 What is consolidated total assets?
2,960,000
2,930,000
2,780,000
2,742,000
Question 4. IAS 24 Related Party Disclosure requires disclosure of transactions between related parties . Which of the following transactions should always be disclosed?
Intra group transactions in consolidated financial statements
Transactions between two companies with a common director
Transactions between state controlled companies
Transactions between a holding company and its associate
Question 5. Gain Co acquired a property in 20X0 for a cost of $10 million. Gain Co revalues all of its property annually in accordance with IAS 16 Property, Plant & Equipment. On 15 December 20X1 Gain Co entered into a binding sale agreement and title to the property passed to Gloss Co for $25 million cash. The consideration is payable in March 20X2. The carrying amount of the property at 15 December 20X1 was 22 million.
In accordance with IAS 16, what profit should be reported in profit or loss for Gain Co for the years ending 31 December 20X1 and 31 December 20X2 in respect of the disposal?
20X1 = Nil, 20X2 = $3 million
20X1 = $3 million, 20X2 = $12 million
20X1 = $3 million, 20X2 = $Nil
20X1 = $15 million, 20X2 = $Nil
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