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FRA Exam Today!

2456

Comments

  • aina2aina2 Settling In Nicely Registered Posts: 15
    I've found in a dictionary that obsolete means 'out of fashion' which in this case makes sense cause the company was selling clothes to retailers
    I wish I had known that before...
  • LizzimLizzim Feels At Home Registered Posts: 48
    obsolete stock is stock that is no longer 'current' - there may have been an updated version introduced which means that you can no longer sell the stock for the price you had originally intended.
  • aina2aina2 Settling In Nicely Registered Posts: 15
    Well, that explains everything
  • purple19mpurple19m Feels At Home Registered Posts: 92
    For the appropration account it was split into 2 six months wasn't it? Worried i may of worked that out incorrect and it will all be wrong!!
  • LizzimLizzim Feels At Home Registered Posts: 48
    Yes it was 6 months each - I checked several times cos I kept messing that bit up on past papers!
  • purple19mpurple19m Feels At Home Registered Posts: 92
    Oh fab! I've done well today then lol Kept thinking surely they wouldn't just let us halve everything!! So was thinking hope this is right! YAY. Thanks for replying. roll on feb
  • LizzimLizzim Feels At Home Registered Posts: 48
    I know, can't wait till Feb - the results come out just after my birthday so hopefully it will be good news!!
  • mona06mona06 Just Joined Registered Posts: 4
    it seems my poor english made me fail. i got closing stock figure wrong, my profit is also different from everybody's and am not shure the memo i wrote is good enought :crying: Do you think thats enough reason to fail? my section 1 at should be ok i did get TB so i hope the rest should be fine.
  • LizzimLizzim Feels At Home Registered Posts: 48
    mona, your profit figure is not much different to everyone else's - as long as you carried that amount forward correctly and did the appropriation ok you shouldn't fail just on that bit! Also as long as you got the important points in the memo they most likely will not punish you too much for poor english - we are after all learning accountancy not english!
  • sunnysunny Feels At Home Registered Posts: 43
    me too, my English. I got closing figure 39300. My net profit:95800.
  • AndreaAndrea Settling In Nicely Registered Posts: 15
    I think I did ok, my trail balance in section balanced, so thats good. My Net profit in section 2 was £100,000 & Closing stock £41,000. My main problem is the written questions, like the 1 about provision for doubtful debts, I started to waffle on about the prudence concept! Then the last question was a bit tricky aswell. Oh well, whats done is done, can't change it now....
  • LizzimLizzim Feels At Home Registered Posts: 48
    Andrea,

    I believe the prudence concept was relevant to the provision for doubtful debts - I mentioned it as well!
  • AndreaAndrea Settling In Nicely Registered Posts: 15
    At least I'm not alone, just hope I managed to make sense :blushing:
  • KyleKyle Feels At Home Registered Posts: 45
    I got Net Profit of 100,000 and Closing Stock of 41,000.

    My suspense account didn't balance after the journals though, which concerned me, but I couldn't see any problem with the journals, so I'm hoping it just wasn't meant to.

    The exam seemed really short though, I was finished with the paper after 80 minutes, checked it thoroughly a few times and left.
  • LizzimLizzim Feels At Home Registered Posts: 48
    My suspense account balanced - 1 entry was a Cr of 2500 connected to a vehicle purchase, so total on credit side was £3000. The balancing entries (I think) were 2 Dr of £1500 each but can't remember which account the journal was in relation to!
  • KyleKyle Feels At Home Registered Posts: 45
    Lizzim wrote: »
    My suspense account balanced - 1 entry was a Cr of 2500 connected to a vehicle purchase, so total on credit side was £3000. The balancing entries (I think) were 2 Dr of £1500 each but can't remember which account the journal was in relation to!

    Yeah, I got the 2500 vehicle one. But the Advertising Expense accrual had been debited to Advertising Expense twice, but all other entries were correct, so I only credited that once. It gave me a nice round £100,000 Net Profit (which worked out to a divisible Net Profit through the entire appropriation account, so I ruled it out as being that).

    Just irritated me at the time, I hope I've done enough with or without it anyways.
  • sunnysunny Feels At Home Registered Posts: 43
    When will AAT post the exam paper and answer on this website?
    Yes, I remember there were one Cr 2500 and two Dr 1500 to balance Suspenses account as well.
  • KyleKyle Feels At Home Registered Posts: 45
    sunny wrote: »
    When will AAT post the exam paper and answer on this website?
    Yes, I remember there were one Cr 2500 and two Dr 1500 to balance Suspenses account as well.

    The Suspense account had a balance of 500 CR. So, 3000 DR less 2500 CR would leave a balance of 500 DR not CR, surely?

    Also, didn't that give you an awkward Net profit? 100,000 went through the appropriation so perfectly (first 6 months 25000 split 12500, 6250, 6250 and last 6 months 36000 split 21600, 14400).
  • katiehkatieh Feels At Home Registered Posts: 25
    Well I got closing stock at 39300 and net profit of 98300. So I know I worked out my closing stock wrong.

    As for suspense I Dr vehicles 2500 and Cr suspense giving my 3000 Cr
    Then I Dr suspense 1500 Cr advertising? 1500 and Dr suspense 1500 Cr accruals 1500 which give me Dr 3000 so emptied the suspense account.

    As for section 1 I got my trial balance to balance so I can't possibly done too many errors???:001_unsure:
  • sunnysunny Feels At Home Registered Posts: 43
    HI, CR 500+CR2500= Cr 3000, Dr 3000, Banlance?
    My profit was not perfect 10000, I got 95800, sth may be wrong.

    I was stucked with retired Partner,have you done it well?
  • sunnysunny Feels At Home Registered Posts: 43
    katieh wrote: »
    Well I got closing stock at 39300 and net profit of 98300. So I know I worked out my closing stock wrong.

    As for suspense I Dr vehicles 2500 and Cr suspense giving my 3000 Cr
    Then I Dr suspense 1500 Cr advertising? 1500 and Dr suspense 1500 Cr accruals 1500 which give me Dr 3000 so emptied the suspense account.

    As for section 1 I got my trial balance to balance so I can't possibly done too many errors???:001_unsure:

    My closing stock is 39300, but why our profit is different? :tongue_smilie:
    I think we should not add 1700 to closing stock, because it was sold out, so just substraced the cost vaule, right?
  • KyleKyle Feels At Home Registered Posts: 45
    sunny wrote: »
    HI, CR 500+CR2500= Cr 3000, Dr 3000, Banlance?
    My profit was not perfect 10000, I got 95800, sth may be wrong.

    I was stucked with retired Partner,have you done it well?

    Yeah, you're right, guess I just misread the question.

    The closing stock question, you had to deduct the value (Cost) of the obsolete stock and add back the the amount it sold for (Net Realizable Value).
  • aina2aina2 Settling In Nicely Registered Posts: 15
    Goodwill question. Was there a goodwill account to be finished or capital accounts of parnters. as far as I remeber it was goodwil so debited 50,000 as split accordin to the old parofit ahare ratio 25000, 12500, 12500 and then credited with tne new profit share ratio 60/40 which is 30,000 and 20,000. Is that correct?
  • KyleKyle Feels At Home Registered Posts: 45
    aina2 wrote: »
    Goodwill question. Was there a goodwill account to be finished or capital accounts of parnters. as far as I remeber it was goodwil so debited 50,000 as split accordin to the old parofit ahare ratio 25000, 12500, 12500 and then credited with tne new profit share ratio 60/40 which is 30,000 and 20,000. Is that correct?

    It was a Goodwill account. And you had to show the individual partner's entries in the account. As goodwill is an intangible asset, to create it, you have to debit the goodwill account and to eliminate it you had to credit it.

    I did the same as you, so I hope it's right!
  • RoscoRosco Just Joined Registered Posts: 1
    I got confused by the last question - as it mentioned the capital accounts I transferred A's goodwill to the capital acc and debited 7,500 and 17,500 from b & c's to cover their goodwill....
    I'm wasn't sure if this was the way it should be done as i'd never seen it like that but the mention of the capital account made me panic - surely we didn't need to show a transfer to the capita; acc if we were just removing goodwill!

    I couldn't make my Trial Balance balance in section 1 either - had to use a suspense acc of about £600 - anyone else have this problem????
  • stevebornersteveborner Settling In Nicely Registered Posts: 21
    i got the same stock figure as everyone else, my net profit was only 78575 though (i didnt carry the journal through How Stupid!!!!!) but hopefully as I carried the figures forward correctly and used the correct pro forma.....

    my tb was out by a small amount, 2800 or something off the top of my head
  • Nicolaw1702Nicolaw1702 Feels At Home BoltonRegistered Posts: 64
    I found the exam yesterday quite easy to be honest, especially the first section, my TB balanced first time,

    By readin all ure posts , I got the suspense acc correct too,

    althugh I never got £100,000 net profit, If i got this incorrect surely its not a fail coz I was fine with the Goodwill acc (ithink) and also the appropriation acc

    Im worrying now, And we have months to wait for results :crying:
  • GreggmanGreggman New Member Registered Posts: 8
    Hi I though it wasn't as bad as Monday (famous last words!).
    I got closing stock to be 39300 and then showed the sale of obsolete stock as additional sales income in P&L. Don't know if it's right but gave a nice round net of £100,000 which seemed to suit the Appropriation task.

    Managed to get TB to balance so didn't use suspense...
  • andrewtdkandrewtdk Well-Known Registered Posts: 150
    I wasnt sure about the closing stock, i got 41000 but i was wondering wheter to include the items that were sold as it gave no date of sale. If it was before the year end would it not be including as closing stock as the items have been sold?

    Other than that everything balanced got similar figures as everyone else, it seemed easyer that all the past papers and id finished it and checked through several times after 70 minutes.
  • Nicolaw1702Nicolaw1702 Feels At Home BoltonRegistered Posts: 64
    I dnt know where I went wrong with the Net profit then, but just spoken with the tutor and she said as long as you show competence shouldnt be a problem.

    I never sat the ECR exam Monday, did it last June, didnt think It was too bad, but it was a while back,

    I am just sorting out my technician level now
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