CTA PART TIME LEVEL 2 & FULL TIME JANUARY INTAKE - APPLIED FINANCIAL ACCOUNTING

AND REPORTING - 2022 TEST 1: REQUIRED

Required Marks

Sub- Total
total
A Write an email to the board of directors of Kata discussing the statutory concerns you
might have regarding any information in the scenario. Your answer should be limited 7
to Companies and Other Business Entities Act references.
1 8
Communication – Email format
B Discuss, including calculations, the correct accounting classification and measurement 10
of the information under Contract with BP Petroleum as at 1 January 2021.
• Ignore taxation

Communication – Logical flow 1 11

C Prepare a prior period error note in relation to the information under Acquisition of 15
Aveco (Pvt) Ltd, note 6 & 7 in the scenario.
1 16
Communication – Presentation.
D Prepare the journal entries to account for the acquisition of Aveco in the separate 7
books of Kata. 7

E Prepare the deconsolidation journals for the Kata Airways Group in reference to IFRS 42
10 para B98 for the year ended 31 December 2021.
• Include all workings as marks will be awarded for them
• Include taxation effects
1 43
Communication – journal narrations
F How will Kata report its value creation making use of the following capitals in its
Integrated Report?
• Human capital 14
• Manufactured capital
• Natural capital 15
• Social and relationship capital
1
Communication – logical flow
Total Marks 100

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