CIMA Managerial Level FINANCIAL ACCOUNTING AND TAX PRINCIPLES - Paper P7 Jan 2006

Business Management Pillar Management Accounting Pillar Financial Management Pillar Paper P4 Organisational Management & Information Systems Paper P5 Integrated Management Paper P1 Management Accounting Performance Evaluation Paper P2 Management Accounting Decision Management Paper P7 Financial Accounting & Tax Principles Paper P8 Financial Analysis Paper P6 Management Accounting Business Strategy Paper P3 Management Accounting Risk & Control Strategy Paper P9 Management Accounting Financial Strategy Test of Professional Competence in Management Accounting MANAGERIAL LEVEL STRATEGIC LEVEL CIMA SYLLABUS 2006 TOPCIMA (Click Here)

CIMA SYLLABUS 2006 (Click Here) Paper P7 Financial Accounting & Tax Principles

CIMA Paper P7 FINANCIAL ACCOUNTING AND TAX PRINCIPLES Examination Structure - Section A - 50 marks Variety of objective test questions: multiple choice questions; complete the sentence; calculate a value; definition in a fixed number of words; list Each question worth between 2 and 4 marks Section B – 30 marks Six compulsory questions worth 5 marks each A short scenario may be used which could relate to several questions Section C – 20 marks A choice of one question from two Mainly numerical questions At least one will be preparation of financial statements (Click Here)

Paper 7 Financial Accounting & Tax Principles Principles of Business Taxation (20%) Single Company Financial Accounts (45%) Managing Short Term Finance (25%) Principles of Regulation of Financial Reporting (10%) (Click Here)

Employee taxation Sources of tax rules Direct taxes on company profits and gains Tax concepts Tax avoidance and tax evasion (Click Here) International taxation Record keeping, deadlines and payments Indirect taxes collected by the company Principles of Business Taxation (20%) IAS 12 accounting and disclosure requirements

Short-term finance & principles of short-term investment Working capital characteristics Cash-flow forecasts and changing variables Working capital ratios & working capital cycle Age analyses of balances and establishing collection targets (Click Here) Managing Short Term Finance (25%) Purchasing and stock control; EOQ Baumol & Miller- Orr models Payment terms and settlement discounts The credit cycle and the payment cycle Export finance

Inventories IAS 2. Related parties, IAS 24. Reporting performance; IASs 1; 8, 14, 18 & 35 Tangible non- current assets, IAS 16. Intangible non- current assets IAS 38. Impairment of assets IAS 36 Preparation of cash flow statements Preparation of financial statements of a single company, including statement of changes in equity (Click Here) Single Company Financial Accounts (45%) Issue and redemption of shares, IAS 32 and IAS 39 Construction contracts IAS 11 and IAS 23. Post balance sheet events IAS 10. Provisions & contingencies IAS 37 Leases (lessee only) IAS 17

(Click Here) Need for regulation of accounts External audit Process of developing an IAS Ways in which IASs are used Principles of Regulation of Financial Reporting (10%) IASB’s Framework Role and structure of IASB and IOSCO GAAP based on prescriptive v principles based standards Elements in a regulatory framework