Free CIMA CIMAPRA19-F02-1-ENG Exam Questions
Absolute Free CIMAPRA19-F02-1-ENG Exam Practice for Comprehensive Preparation
-
CIMA CIMAPRA19-F02-1-ENG Exam Questions
-
Provided By: CIMA
- Exam: F2 Advanced Financial Reporting (Online)
- Certification: CIMA Professional Qualification
-
Total Questions: 270
-
Updated On: May 22, 2026
-
Rated: 4.9 |
-
Online Users: 540
-
Question 1
-
The tax benefit on a company's asset is 180,000 and the useful life on that asset is five years. The company creates a deferred tax provision to spread this benefit over the asset's useful life.What entry is needed to reduce this deferred tax provision in the company's year two accounts?
Answer: A
-
-
Question 2
-
LM has made the following share purchases during the year:* Purchased 55% of the equity share capital of OP.* Purchased 45% of the equity share capital of QR.LM have the power to appoint the majority of board members on the QR board.* Purchased 30% of the equity share capital of ST. LM is represented by one director on the main board of ST which has five members in total. The other 70% of ST's equity share capital is owned by a single company, UV.The Managing Director has told you that OP has performed well, but both QR and ST have not performed as expected. He is therefore pleased thatOP will be included as a subsidiaryand that QR and ST will only be included as investments in the group financial statements.In accordance with the ethical principle of professional competence and due care how should the investments in OP, QR and ST be treated in the group financial statements?
Answer: A
-
-
Question 3
-
RS has issued an instrument with a nominal value of $1 million, at a discount of 2.5%, and a coupon rate of 6%. The terms of the issue are that the instrument must eitherbe redeemed at par, at the option of the holder, in three years' time, or alternativelyconverted into equity shares in RS.The characteristics of this instrument taken as a whole indicates that it would be classifed as which of the following?
Answer: A
-
-
Question 4
-
JKL measure gearingas debt:equity, based on book values.At 31 December 20X5the ratio is 2:3 and JKL would like this to be 2:5.Which of the following transactions individually would achieve this?
Answer: B
-
-
Question 5
-
J's current share price is $1.80,with a dividend of $0.20 a share just about to be paid.Dividends have increased at an average annualgrowth rate of 4.5% and this is expected to continue into the future.What is JJ'scost of equity?
Answer: A
-