Section 2 PEV

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
Everyone seems to be going on about section 1. But I have always found section 2 the worst. When the land was sold did anyone put it in the P & L account. Also was the memo the last question? I never turned the page!
Also the ratio per employee did anyone add the extra employee into the equation?

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    2.2b was the last question it was the memo. I did not put the proceeds of the sale anywhere as the notes said that they had been distributed. It was a bit tricky, I put it in, then I took it out, then I put it in again and finally I took it out!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    I didnt put the land into the P & L as proceeds were distributed. I didnt add another employee either as I thought the 70 employees were jst the manufacturing employees? Hmmm.. not sure what is correct. You prob did fine though. Yes I checked the memo was the final question and it was.

    I still think I have failed section 1! Only time will tell. How long til we have to wait? Is it Feb?
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    Hi Silver - I saw Keith after the exam and wanted to know if I knew what benchmarking was. I said I knew it from the book, and he said he did go through it - I'm not sure!

    I thought the exam was OK, and section 1 I found fine, but I have always struggled with the what if senarios!

    Yes we find out in February about the 10th - 14th - good valentines present!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    Everyone I talked to did this slightly differently. I took the cost of the land (think it was £500K) out of Fixed Assets and put it into Cash along with the difference between the old Debtors figure and the new one (since the Credit Controller had been employed). This didn't change the overall total of the balance sheet. I also added the employee on when it came to the Revenue per Employee ratio, but don't know if this was right or not.

    I did Section 2 and then went back to question 1.3 - the indices one. That one really threw me. For part C of the question which was the memo to the MD did anyone else restate the prices to November and then say that the cost of ink was actually going down not going up?

    I'm pretty convinced I'm resitting this one in June !!!

    Susan
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    I went to town on this one! I revised the price in November and did a variance split, for the index question. Hope I did right!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    I went to town on this one! I revised the price in November and did a variance split, for the index question. Hope I did right!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV
    burnawn wrote:
    Everyone I talked to did this slightly differently. I took the cost of the land (think it was £500K) out of Fixed Assets and put it into Cash along with the difference between the old Debtors figure and the new one (since the Credit Controller had been employed). This didn't change the overall total of the balance sheet. I also added the employee on when it came to the Revenue per Employee ratio, but don't know if this was right or not.

    I did Section 2 and then went back to question 1.3 - the indices one. That one really threw me. For part C of the question which was the memo to the MD did anyone else restate the prices to November and then say that the cost of ink was actually going down not going up?

    I'm pretty convinced I'm resitting this one in June !!!

    Susan

    Hi Susan

    Yeah I did that with the ink, took a wild guess, don't know if it's right tho'. I added the sale of the land into the P&L as additional income and took it out of the assets in the BS. I got an operating profit of £952, again don't know if it's right

    Debs
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    Hi Debs

    That was my operating profit too. i too included the sale of the land. I think everyone does it all slightly different, lets just hope we've all done enough to pass this one!!
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Section 2 PEV

    Thanks heavens for that.

    Roll on February I say. The only good thing is that the results seem to come round faster from the December sitting than they do from the June one.

    Good luck to everyone.

    Susan

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