[Brookes97]

Thought my Section B was quite nice despite having to give up on 9 marks worth of Q’s due to time, but I know I got royally screwed by Section A. The only silver lining from my section A was some good ol’ Gift Holdover Relief.

I’ve got a feeling I’ll be doing this again in Sep or by some miracle I’ve scraped a low 50s pass.

[Brookes97]

Pass with 67, such a difference when it’s a subject you enjoy!

[Brookes97]

Thanks Tovey, that’s super helpful that there’s an identical question in the Exam Kit.

IRR Function of the following:
T1: -109.92
T2: 5.63
T3: 5.63
T4: 113.63

Does get the 4.7% in the mark scheme. Very reassuring to have cleared this up before the exam!

[Brookes97]

Also interested in the reasoning behind this. It seems a bit ridiculous that they release pre-exam mocks without mark schemes. Appreciate they have expert tutors going through it, but usually at break-neck speeds and without much explanation as to why they’re doing things other than “because it’s correct”.

MV of the bond is calculated across 4 years without the tax-shield on interest payments.
YTM is calculated with the tax-shield on interest payments because it’s a Kd calculation.
YTM is the discount rate where the present value is equal to the MV. (Essentially IRR).

Not a clue why they’ve slapped an additional year onto the four-year redeemable bonds.

[Brookes97]

1A. Culture
Got a few points under Stories, Symbols, Routines & Rituals, but couldn’t for the life of me recommend any suggestions for how to change the culture to suit a diversification strat.

1B. Leadership
Mentioned the old leadership style was Autocratic. Waffled about Freezing, Changing, and Re-Freezing. Recommended a democratic leadership style might be suitable, but didn’t relate this to the case study very well / at all.

2A. Integrated Reporting
Defined what integrated reporting was and tried to relate it to how it would help Staff and Customers concerned about the new diversification strategy, but didn’t do it very well and half answered it really.

2B. IR Capitals and KPIs
Ballsed this up pretty bad, couldn’t remember the capitals, just knew there were six.

3A. Porter’s Diamond – 3 Country Comparison
Best question on the exam, more like this for the September resit thank you. Got carried away with this one and spent far too long answering it / writing too much.

3B. Risk Analysis / Identification
Another nice question, thought the risks were pretty obvious in the text of the exhibit with the three countries.

4. Outsourcing Finance Activities (Presentation)
This question felt easier to answer than 1 and 2, but not sure what I recommended to keep in-house or outsource was correct. The Professional Marks were awarded for being able to make a good argument, so perhaps no wrong answers if you can justify them.

Outsource
– AP
– AR
– Payroll

In-House
– Finance Analysts
– Finance / Management Accountants
– Collections

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