TOPICWISE ICAP PAST PAPER ANALYSIS - CFAP 4 (BFD/MAC)

SUMMER 2008 - WINTER 2020

ABDUL AZEEM - PhD Scholar, ACCA, CMA (USA), MS Commerce, M. Com, Diploma (FM) SKANS SCHOOL OF ACCOUNTANCY
abdulazeemeducationist@gmail.com CA FINAL COMPENDIUM
 TOPICWISE ICAP PAST PAPER ANALYSIS - CFAP 4 (BFD/MAC)
SUMMER 2008 - WINTER 2020

STUDY TEXT BFD/

TOPICS MAC ATTEMPT Q# NAME DESCRIPTION OF QUESTIONS MARKS
(Weightage) PAPER

MAC W - 2009 5 Aftab Ltd. Decision about manufacturing CNG Kits in house or import from Italy 13
Relevant Costing Principles &

MAC W - 2009 6 Rafiq Industries Sale price of different packs by adding 25% profit on relevant costs 17
MAC S - 2010 5 Haji Amin (Pvt) Ltd. Manufacuting cost of product M using relevant cositng approach 18
Decision Making

MAC S - 2011 5 Ahram Ltd. Prioritising the purchase of material locally and internationally 17
Chapter 2 & 3

(a) Determination of most financially beneficial option from two options (b)
MAC S - 2012 1 Himalaya Chemicals Ltd. Discussion of other factors 16
MAC S - 2012 4 (a) Sky Ltd. Determine the product mix that could optimize profit of Sky Ltd. 17
MAC W - 2012 4 Industrial Tool Ltd. Computation of sale price by adding margin of 30% above relevant costs 13
MAC S - 2013 2 Sophisticated Packaging Computation of sale price of order by adding 20% margin on sale price 17
MAC W - 2013 3 Taj Ltd. Recommendation for disposal of Tea Segment with pros and cons 23
MAC W - 2013 5 Mujahid (Pvt) Ltd. Purchase of raw material locally or import and risks in import 21
MAC W - 2017 4 Bela Chemical Limited Selection of best option from expansion vs refinement of joint products 15
11 5.50% 187
(a) Maximum profit calculations under restricted sales revenue (b)
MAC S - 2008 1 Azmat Industries Recommendation about taking further credit facility 14
Linear Programming &

MAC S - 2010 2 Buraq Motors Shadow price per hour with limited capacity in assembly department 14
Limiting Factor

MAC S - 2011 6 A Company Linear programming model and determination of tables and chairs 16
Chapter 4

MAC S - 2012 2 Quality Appliances Ltd. Drawing constraints on graph and finding optimal production mix 15
MAC S - 2014 5 A Company Optimum production plan and shadow price of scarce resources 17
MAC S - 2015 5 Asim Ltd. Decision making on the basis of shadow price 15
MAC W - 2015 3 Ali Ltd. Optimal production plan for next month 15
MAC W - 2016 6 Target Manufacturers Ltd. Shadow price per machine hour 14
MAC W - 2017 2 Bravo Limited Optimal production plan for next month 12
MAC S - 2018 6 ABC Limited Optimal product plan for quarter ended September 2018 & Contribution. 16
10 4.36% 148

MAC S - 2008 3 (a) GH Scientific Corporation (a) Decision tree (b) Advise whether research should be carried out or not. 10
BFD W - 2008 5 Zaheer Ltd. WACC, NPV and sensitivity of material, labour cost and setup cost 20
BFD W - 2009 2 Kohat Ltd. NPV with inflation, taxation and decision making 14
BFD S - 2009 6 JKL Phone Ltd. Selection of suitable call rates using decision tree or joint probability approach 15
BFD S - 2011 4 JAP Recreation Club NPV with inflation, relevant costing and taxation 16
BFD W - 2011 2 Khayyam Ltd. (a) Decision tree (b) Advise whether to undertake this project or not 14
BFD W - 2011 6 Skill Enhancement Centre Minimum number of enrolments to justify textile course on the basis of NPV 17
Capital investment Appraisal

BFD W - 2012 2 (a) N/A Five limitations of NPV technique of investment appraisal 5
MAC S - 2013 3 XYZ Limited (a) Probability to earn required rate of return (b) Expected rate of return 12
Chapter 5 to 8

BFD S - 2013 4 Katkhair Engineering Ltd. NPV of EN-43 project and sensitivty of sale price, discount rate 24
BFD W - 2013 1 Premier Airline Company Evaluating restructuring proposal scheme using NPV approach 23
BFD S - 2014 2 Inovative Builders Suggestion of price of different appartment to earn required IRR 17
BFD W - 2014 3 ZC Ltd. NPV of new machines replaced in place of existing machines and other factors 15
BFD S - 2015 1 Kamyab Mart Decision to close or continue the store for 3 more years and other factors 16
BFD W - 2016 2 Suffer Ltd. NPV with inflation, income tax, sales tax and sensitivity of direct material cost 26
BFD S - 2017 1 Dr. Tahir Lodhi NPV with relevant costing and cost of capital computation 27
BFD S - 2017 4 Shah Brothers Ltd. (SBL) Selection of suitable price using probabilities 14
BFD S - 2018 4 OJ Limited Investment decision by using MIRR 25
(a) Evaluation of project at specified tender price (b) Sensitivity of sale price and
BFD W - 2019 3 (a) Ghauri Limited (GL) cost of capital 25
(a) Evaluation of project by using NPV and MIRR
(b) Report writing for discussion of non-financial factors to be consdiered for
BFD W - 2020 Q 2 Eco Energy (EE) final decision, benefits of sensitivity analysis and simulation 20
20 10.45% 355

BFD S - 2008 4 Mohani Ltd. Evaluation of lease or borrowing to buy option 18

asing & Asset Replacement

(a) Calculate of annual operating lease rental to earn required NPV (b) IRR of
BFD W - 2008 4 Hafeez Ltd. lease 18
Replacement or overhauling of the generator and % change in overhauling cost
BFD S - 2009 2 UVW Rental Services to have indifferent position between two options. 17
Decision

BFD S - 2010 4 DS Leasing Company (a) Breakeven lease rentals of lessor (b) Lease or buy decision by lessee 20
Chapter 9

ABDUL AZEEM - PhD Scholar, ACCA, CMA (USA), MS Commerce, M. Com, Diploma (FM) SKANS SCHOOL OF ACCOUNTANCY
abdulazeemeducationist@gmail.com CA FINAL COMPENDIUM
 Leasing & Asset Replacemen
TOPICWISE ICAP PAST PAPER ANALYSIS - CFAP 4 (BFD/MAC)

Decision
SUMMER 2008 - WINTER 2020
Chapter 9

BFD S - 2011 3 HIN Textile Mills Evaluation of two different lease options 12
BFD W - 2012 2 (b) CDN Ltd. Determination of optimal replacement cycle of machine 15
BFD S - 2013 1 Haala Car Rental services Disposal of five cars now or retain for further two years 20
BFD W - 2013 2 Supreme Group Provision of company maintained leased cars vs car allowance 15
BFD S - 2016 3 White Garments Optimal replacement cycle of cutting machine 17
BFD S - 2016 5 Silver Line rental services Evaluation of two different lease options from different banks 17
(a) Replacement or overhauling of machine. Advise the best option (b)
23
BFD S - 2019 2 Red Limited (RL) Sensitivity analysis of maintenance cost and dollar rate
11 5.65% 192
BFD S - 2012 2 CB Investment Limited Determine the most beneficial investment mix 20
Capital Rationing

BFD ssss 1 Kailash Ltd. Determination of most beneficial project mix in capital rationing situation 14
Chapter 11

(a) Optimum investment mix under capital rationing (b) Maximum interest rate
20
BFD W - 2016 3 Malik Investment Ltd. on financing for remaining projects
Determine the optimum investment mix for MIL if (a) all projects are division
and can be scaled upwards upto 50% (b) all projects are indivisible and excess 16
BFD W - 2018 5 Mars Investment Ltd. funds can be invested at 8% p.a.
4 2.06% 70
Cost of equity using CAPM, expected rate of return on each security, value of
BFD S - 2008 1 Mr. Faraz portfolio, portfolio beta and expected rate of return of portfolio 18
BFD S - 2008 2 (b) Fiaz Ltd. Computation of weighted average cost of capital 6
BFD W - 2008 6 Javed Ltd. Computation of weighted average cost of capital 13
Weighted average cost of Capital, Portfolio theory and CAPM & Adjusted Present Value

BFD W - 2008 7 Mushtaq Ltd. Project evaluation using portfolio theory and CAPM 12
BFD S - 2009 5 GHI Ltd. Recommendation of optimal capital structure 15
Beta, Risk and return comparison, Identfication of underperformed shares,
20
BFD W - 2009 1 AITF Revised beta after excluding under performing shares
BFD S - 2010 3 NS Technologies APV, its advantages over WACC and investment appraisal using APV 16
BFD W - 2010 3 Iron Ltd. Project evaluation using portfolio theory and CAPM 13
FR Cooperative Housing Effective annual yield of each mutual fund and comparison of return & risk for
15
BFD S - 2011 2 Society each fund
BFD S - 2012 1 MAC Fertilizers Computation of current WACC and risk adjusted (project specific) WACC 19
(a) Computation of risk and return on investment in UAE or Bangladesh (b)
Discuss the view of directors about investments © Discussion of additional
BFD W - 2012 5 EFO Pakistan Ltd. factors before taking final decision 19
BFD W - 2013 6 Paramount Industries Ltd. Project evaluation using portfolio theory and CAPM 12
Chapter 13, 14 & 16

BFD S - 2014 5 (a) Sailent Engineering Ltd. Computation of existing WACC for the month of May 2014 9

(a) Preparation of revised portfolio of provident fund and its expected return (b)
BFD S - 2015 3 Azad Textiles Ltd. Comparison of revised portfolio risk and return with existing portfolio 18
(a) Difference between systematic and unsystematic risk (b) Determination of
expected return and systematic risk of proposed investment © Evaluating the
BFD W - 2015 4 Akhtar impact of company's decision making on investors' risk and return 17
Impression Home (a) Decision between debt & equity finance (b) Increase in PBIT to maintain
BFD W - 2015 5 Furnishing Limited D/E ratio 15
Situations under which adjusted present value (APV) is suitable, evaluation of
BFD W - 2014 4 SSG Ltd. project by using APV 19
Selection of optimal capital structure based on profit, net assets value, cash flow
BFD S - 2016 1 Golden Industries Ltd position 25
Weighted average cost of capital at the end of financial year if stock analysts'
BFD W - 2017 2 (b) Golden Industries Ltd view point is implemented. 20
BFD S - 2018 2 Weta Pakistan Limited Selection of portfolio for investment and calculation of systematic risk (beta) 16
BFD W - 2018 3 Venus Trading Ltd. Evaluation of proposed contract by using adjusted present value. 21
Tezgam investment (a) Using alpha value, recommendation of mutual fund
BFD W - 2019 5 Limited (TIL) (b) Limitations of using the alpha values 16
(a) WACC of KPL (b) Purpose of CAPM and Weaknesses of CAPM
(c) Discussion of WACC as minimum average rate of return
(d) Circumstances to use current WACC and discussion of suitable other
methods
BFD W - 2020 1 KP Limited (e) Computation of risk adjusted discount rate 22
23 11.07% 376

ABDUL AZEEM - PhD Scholar, ACCA, CMA (USA), MS Commerce, M. Com, Diploma (FM) SKANS SCHOOL OF ACCOUNTANCY
abdulazeemeducationist@gmail.com CA FINAL COMPENDIUM
 TOPICWISE ICAP PAST PAPER ANALYSIS - CFAP 4 (BFD/MAC)
SUMMER 2008 - WINTER 2020

BFD S - 2008 2 (a) Fiaz Ltd. Market price of Fiaz Ltd's equity and TFCs 6
(a) Evaluation of demerger scheme on the basis of DCF method (b) Additional
20
BFD S - 2008 5 Hali Ltd. information required for better decision making
BFD S - 2009 4 MNO Chemicals Acquisition decision from two companies 21
BFD W - 2009 3 Tarbella Enterprises Calculation of maxiumum price for target company using DCF method 13
Management buyout - Debt equity ratio covenant verification for commercial
BFD W - 2009 4 Bannu Holdings bank financing and investment bank financing 24
(a) Value of target company using DCF method (b) computation of synergy
BFD S - 2010 2 MK Ltd. effect 25

(i) Types of synergies (ii) Total value of bid at current market price, EPS after
BFD W - 2010 1 Platinium Ltd. acquisition (iii) Evaluation of zero coupon debentures as purchase consideration 20
a (i) Calculation of WACC (ii) Value of company using FCF method (b)
BFD W - 2010 5 Cooper Industries Ltd. Comaprison of three options and recommendations 23
Determine the purchase consideration that ARA should be willing to pay for the
BFD S - 2011 5 ARA Venture Capital Ltd. acquisition of 60% shares in PUN 25
(a) Selection of purchase consideration from entire debt and 60:40 debt equity
ratio (b) Other matters to be considered and impact on debt equity ratio, market
BFD S - 2011 6 URD Pakistan Ltd. price 17
(a) Bid price that ISL may offer for acquisition of APPL (b) Impact of
BFD W - 2011 3 Ibn - Seena Ltd. acquisition on wealth of shareholders after 5 years. 20
(a) Two advantages and disadvantages of growth by acquisition (b) Optimal
sales level to maximise profit and amount of cash flow gap at optimal level of
BFD S - 2012 4 FF Internationals sales © bid price that FFI may offer for acquisition of CSL 30
(a) (i) Share price after takeover (ii) cost of equity of merged entity (b) Discuss
Mergers, Acquisition and Business valuation

the bid from the point of view of shareholders of IJQ including the concerns
BFD W - 2012 3 GHP Ltd. raised by Mr. Danish 18
(a) WACC of both companies after demerger (b) Evaluation of demerger scheme
BFD W - 2012 4 KLR Ltd. using FCF method 25
Analyse each of the three alternatives relating to issuance of debentures and
BFD S - 2013 2 (b) Harappa Pakistan Ltd. circumstances of suitability 13
Chapter 17 & 18

(a) Maximum price that TPL may pay for the acquisition of DPL (b) (i) Number
of shares which TPL would be required to issue to the shareholders of DPL as
price consideration (ii) Benefits accured to exiting shareholders of TPL and DPL
BFD S - 2013 5 Taxila Power Ltd. (iii) Other relevant factors for acquisition of DPL by TPL 25
Maximum price that MGL may offer for the acquisition of entire shareholdings
BFD S - 2014 1 Modern Garments Ltd. of ETML - a foreign subsidiary 18
Effect of the above investment on SEL's share price under each of three types of
BFD S - 2014 5 (c) Sailent Engineering Ltd. market hypothesis. 5

Evaluate the proposal of acquisiton by using Dividend valuation model with

BFD W - 2014 6 Insaaf Chemicals Ltd. growth, P/E ratio method and PV of free cash flows method and recommend. 20
(a) Range of market values using NAV, P/E ratio and DCF methods and
limitations (b) Most suitable price for IPO © Other matters that should consider
BFD S - 2015 2 Ajar Cement (Pvt) Ltd. before deciding to list the company 24
BFD W - 2015 1 National Airline Ltd. Bid price for acquisition of 40% stake in NAL by using FCF method 21
Management buyout - Debt equity ratio covenant verification by using multiple
BFD W - 2015 2 Ryan Group sources of financing and discussion of difficulties in MBO 15
(a) Share exchange ratio and its acceptability to both shareholders (b) Additional
BFD S - 2016 2 Violet Telecom Ltd. factors to be consdiered for proposed acquisition 17
(a) Evaluation of proposed acquisition for shareholders of both companies under
weak efficient and strong efficient market hypothesis (b) Other factors which
BFD W - 2016 5 Mangal Ltd. may influence the interests of shareholders 20
(a) Suggested IPO price and number of shares to be issued for IPO (b)
BFD S - 2017 5 Mars Petroleum Ltd. Advantages of leverage for shareholders of company 17

BFD W - 2017 1 CT Limited Expansion of Steel production capacity by disposing of investment properties. 18
BFD S - 2018 1 Tulip Textile Limited Evaluation of proposed acquisistion from point of view of shareholders. 25

BFD W - 2018 1 Sun Public Ltd. Evaluation of demerger scheme and four factors of additional information 23
(a) Share exchange ratio and its acceptability to both shareholders (b) Additional
BFD S - 2019 1 Yellow Limited (YL) factors to be consdiered for proposed acquisition 24
Using Free cash flow method, maximum price that KL may offer for the
BFD W-2019 2(a) Karakorum Limited (KL) acquisition of entire shareholding of SL. 13

ABDUL AZEEM - PhD Scholar, ACCA, CMA (USA), MS Commerce, M. Com, Diploma (FM) SKANS SCHOOL OF ACCOUNTANCY
abdulazeemeducationist@gmail.com CA FINAL COMPENDIUM
 TOPICWISE ICAP PAST PAPER ANALYSIS - CFAP 4 (BFD/MAC)
SUMMER 2008 - WINTER 2020
(a) Range of market values using NAV, P/E ratio and DCF methods and
limitations (b) Suitability of assumptions made in different valuation approaches
BFD W - 2020 3 Dynamic Limited in part (a) 20
31 17.80% 605
Recommendation of international investment in Bangladesh and Sri Lanka via
Interational Investment

BFD W - 2010 4 Gold Ltd. subsidiary 24

(a) net present value of foreign investment project and its viablity (b)
Identification of risks and uncertinities in foreign investment © Strategies to
Chapter 20

Decision

BFD W - 2011 5 Ghazali Ltd. counter the risks of increase in local taxes and exchange controls 20
Evaluation of introducing low quality products in local market or importing
variety of plastic products from China using NPV, IRR, MIRR, DPP with
BFD S - 2012 3 Beta Ltd. comments 17
BFD W - 2015 6 Sandra Ltd. Evaluation of investment in plant to assemble a vehicle (Ferris) 22
Moderax Company
BFD W - 2017 3 Pakistan Evaluation of foreign investment 24
5 3.15% 107
Profit & loss under forward cover for on time shipment,delayed shipment and
BFD S - 2008 6 Momin Industries Ltd. cancelled shipment 17
Computation of net receipt or payment under forward cover and money market
BFD W - 2009 6 Qalat Industries Ltd. hedge 12
BFD W - 2010 2 (a) Silver Ltd. US $ net receipt hedging using Forward cover and money market hedge 10
(a) Net payment or receipt after hedging under forward contract and money
Foreign Currency Risk Management

market hedge (b) Demonstrate how multilateral netting might be beneficial to

BFD W - 2011 4 Khaldun Corporation Khaldun 14
Selection of best foreign currency risk hedging method from forward contract,
Chapter 19, 21,22,23

BFD S - 2012 5 Alpha Automobiles Ltd. money market, currency futures and currency options 14
(a) Amount in PKR under no protection, forward contract, money market and
over the counter option (b) Factors to be considered for hedging of foreign
BFD W - 2020 4 Peshawar Engineering Co receipt 18
BFD S - 2013 3 Shariq Holdings Ltd. Foreign currency risk hedging by using forward contract and futures 11
BFD W - 2013 3 Finest Holding Co. Ltd. Demonstrate how multilateral netting might be of benefit to FHCL. 7

BFD S - 2015 6 Zain Exporters Enterprise Profit & loss under forward cover for on time shipment and delayed shipment 17
BFD W - 2015 3 Wonder Limited Advise and devise a hedging strategy for WL and ME 10
BFD S - 2017 3(a) Jehlum Motors Ltd. Hedging Foregin exchange risk using money market or currency futures 12
BFD W - 2017 5 (a) Captain (Pvt) Ltd. Hedging Foregin exchange risk using Forward contract and money market hedge 11
BFD S - 2018 3 Aqeeq Pakistan (Pvt) Ltd. Hedging Foreign exchange risk by using money market and future contract 15

BFD W - 2018 2(a) The Pluto Group Ltd. Amount of savings which can be achieved by PGL by using multilateral netting. 6
Hedging Foreign exchange risk by using forward contract, money market and
BFD S - 2019 4 (a) Orange Limited (OL) currency options 10
15 5.41% 184
(a) Six monthly interest payment under interest rate swap (b) Amount receivable
Interest Rate Risk & Stock

BFD W - 2008 3 Imran Ltd. or payable by each party in swap during first six months 10
BFD W - 2010 2 (b) Silver Ltd. (b) Hedging of interest rate risk on lending via interest rate futures 10
Risk Management

(a) (i) Net interest payable or receivable under interest rate swap (ii) Merits and
Chapter 24

demerits of interest rate swap (b) Hedging of interest rate risk using interest rate
BFD W - 2016 1 Ramzi Corporation futures 17
BFD S - 2017 3 (b) Jehlum Motors Ltd. Hedging interest rate risk using interest rate futures 5
BFD W - 2017 5 (b) Captain (Pvt) Ltd. Hedging price risk of investment in shares by using stock futures 8
BFD W - 2018 2(b) The Pluto Group Ltd. Interest rate risk hedging through interest rate futures 11
BFD S - 2019 4 (b) Orange Limited (OL) Interest rate hedging through interest rate futures 5
7 1.94% 66
(a) Calculate minimum amount of equity to be issued to comply with TFCs
Chapter 12 & 15

Sources of Finance and Dividend Policy

covenant (b) Calculation of right share ratio, price of right share and impact on
BFD S - 2008 3 Jalib Ltd. market price 15
(a) Amount of equity required to be injected to maintain debt equity ratio (b)
BFD W - 2008 1 Shoaib Investment Ltd. Computation of % holding of single large investor for part( a) 13
BFD S - 2009 1 ABC Ltd. Recommendation about local currency loan vs foreign currency loan 20
(a) Right shares ratio (b) Right share offer price © Theoretical ex-right price (d)
BFD W - 2009 5 Sajawal Sugar Mills Ltd. Value of each right 17
(a) Estimation of dividend amount under existing payout policy (b) Evaluation
BFD S - 2010 1 YB Pakistan Ltd. of loan repayment after five years 22

ABDUL AZEEM - PhD Scholar, ACCA, CMA (USA), MS Commerce, M. Com, Diploma (FM) SKANS SCHOOL OF ACCOUNTANCY
abdulazeemeducationist@gmail.com CA FINAL COMPENDIUM
 Sources of Finance and Div
Cha TOPICWISE ICAP PAST PAPER ANALYSIS - CFAP 4 (BFD/MAC)
SUMMER 2008 - WINTER 2020
(a) Theoretical ex-right price, value of right and price after one year (b) Why
BFD S - 2010 5 PSD Engineering Ltd. issue of TFCs is expected to result in fall in price to earning ratio 17
(a) Amount of sales in next year to maintain existing financial leverage and
effect on operating leverage (b) Selection of one product on the basis of
BFD S - 2011 1 GER Auto Parts Ltd. operating and financial leverage. 15
(a) Argument of Dividend Irrelevance Theory (b) Estimation of price by using
BFD W - 2011 1 Al-Ghazali Pakistan Ltd. MM dividend irrelevance theory © Justification of MM theory 15

(a) Amount raised by issue of debt and equity (b) Number of right shares and ex-
BFD W - 2012 1 ABM Ltd. right price © Whether debt equity ratio would remain within threshold? 18
BFD S - 2013 2 (a) Harappa Pakistan Ltd. Seven factors for credit rating of debt instrument 7
BFD S - 2014 5 (b) Sailent Engineering Ltd. Evaluation of equity or debt finance for new investments 11
BFD S - 2014 3 Grand Power Ltd. Evaluation of dividend withholding or market borrowing 17
Using FCFE, discuss the company's decision for 2014 and evaluate the directors'
BFD S - 2015 4 Target Company Ltd. plan to increase dividend payment by using Dividend Capacity 15
BFD S - 2016 4 Modern Vehicles Ltd. Evaluation of local and international financing options 24
BFD W - 2017 2 (a) A Company Four factors influencing dividend policy 4
(a) Share price after right issue (b) Comment under MM Theory of dividend
Relevance theory ©Justification of MM Theory with the help of market value
BFD S - 2019 5 Green Limited (GL) (d) Evaluation of both financing options and recommendation 22
Impact on control, earning per share, gearing ratio under (i) debt fiinance (ii)
BFD W-2019 2(b) Karakorum Limited (KL) equity finance 10
17 7.71% 262
MAC W - 2008 6 RS Enterprises Forecast profit statement for the year ending 30th November, 2009 16
MAC S - 2010 1 Shahid Footwear Budgeted profit and loss for year 2010 - 11 16
MAC S - 2010 3 Abdul Habib Ltd. Cash requirements for first two quarters 17
Forecasting and Budgeting

(a) Total budgeted profit under present situation and under the
MAC W - 2010 1 Umair Enterprises recommendations of consultant (b) Discussion of other factors 20
MAC W - 2011 3 Takneek Co. Ltd. Monthwise cash flow for the project 14
Chapter 25

MAC W - 2012 1 SGL Ltd. Projected cash flow statement for the year ending 31st December, 2013 17
MAC W - 2013 6 Beta (Pvt.) Ltd. Budgeted profit and loss for year 2013 - 14 20
MAC S - 2014 1(b) SMPL Construction Statement showing monthly cash flows relating to first 8 months of project 18
MAC W - 2014 4 Cinemax Ltd. Budgeted P&L for first year of operation 16
MAC W - 2015 5 (b) N/A Advantages of zero based budgeting 3
MAC S - 2016 6 Company A Monthwise cash budget for July, August & September 20X6 20
MAC W - 2016 3 ABC Ltd. Budgeted profit and loss account for the year 2017 23
MAC W - 2017 5 Khyber prviate Limited Cash budget for year 2018 20
13 6.47% 220
MAC S - 2008 4 Nihal Ltd. Actual cost of material used, mix and labour cost variances 20
MAC S - 2009 2 AMAX Ltd. Computation of 8 variances and contribution reconciliation statement 18
Standard Costing and Variance Analysis

MAC W - 2009 3 Wahid Ltd. Material price, usage,

(a) Calculation mix
of sales andvolume,
price, yield variances
material price, mix, yield, labour rate and 18
MAC S - 2011 1 Mubin Ltd. efficiency
Calculationvariances
of sales (b) Causes
volume of variances
, sales price and labour efficiency variances with 20
MAC W - 2011 2 Sanatkar Ltd. bifuration intobetween
(a) Differnece planningfixed
and operational variancesunder absorption costing and
overheads variances 16
MAC W - 2012 6 Ancient Pharma Ltd. marginal costing (b) Profit reconciliation statement under absorption costing 20
Chapter 26 & 27

MAC S - 2013 7 A Company Material price, usage, mix and yield variances 7
MAC S - 2014 1 (a) SMPL Construction Four criticisms on standard costing system 4
MAC W - 2014 2 Umair (Pvt) Ltd. Material price, usage, mix and yield variances 12
MAC S - 2016 6 Adil Ltd. Journal entries of standard costing with process costing concepts 20
Variances calculation and contribution reconciliation statement using planning 17
BFD W - 2016 4 Smart Ltd. & operational variances
(a) Sales price, sales volume, sales mix and quantity variances (b) Comment on 19
BFD S - 2018 5 Ikraam (Pvt) Ltd. variances and impact of variances on profitability
(a) Computation of sales, material,labour and variable overheads variances
(b) Operating statement to reconcile budgeted contribution to actual
20
contribution
BFD W - 2020 5 Super Cakes (c) Report on impact of operating statement on board and its actions
13 6.21% 211
MAC S - 2010 6 Emmad Ltd. (a) Profit maximisation price (b) Minimum price acceptable to Faisalabad 22
MAC S - 2012 4 (b) Sky Ltd. Minimum transfer price for component Beta 3
(a) Optimal production plan to maximise overall company profitability (b) Effect
Transfer Pricing

on amount of bonus by change from divisional profitability maximisation to

Chapter: 28

MAC W - 2012 5 ICL company profitability maximisation 20

ABDUL AZEEM - PhD Scholar, ACCA, CMA (USA), MS Commerce, M. Com, Diploma (FM) SKANS SCHOOL OF ACCOUNTANCY
abdulazeemeducationist@gmail.com CA FINAL COMPENDIUM
 TOPICWISE ICAP PAST PAPER ANALYSIS - CFAP 4 (BFD/MAC)

Transfer Pricing
Chapter: 28
SUMMER 2008 - WINTER 2020
MAC S - 2014 3 Sigma Ltd. (a) Profit maximisation of company (b) Determination of transfer price 16
MAC S - 2016 1 Alpha (Pvt) Ltd. Most feasible plan for company giving priority to product Z 12
Optimal production plan on basis of overall profitability of company and
BFD S - 2017 2 Hamid Ltd. increase in profit as compared to existing profit 25
Optimal production plan on basis of overall profitability of company and
BFD W - 2018 4 Jupiter Ltd. increase in profit as compared to existing profit 23
7 3.56% 121
MAC S - 2008 2 Yousaf Aziz & Company Working capital at the end of year (Manufacturing business) 15

(a) Working Capital Requirement & implact on profitability by change in

MAC W - 2008 4 XYZ & FGH Ltd. working capital policy (b) Selection from Factor financing vs bank financing 15
MAC S - 2009 6 Ahmed Sons (Pvt) Ltd. Evaluation of factor finance, bank loan or losing cash discount 12
MAC W - 2009 1 Zain Ltd. Working capital requirment 18
MAC S - 2011 2 Punjnad Juice Company Projected working capital requirment for two years 15
Working Capital Management

Top Generators Pakistan (a) Difference between aggressive and conservative strategy (b) Evaluation of
BFD W - 2013 5 Limited aggressive and conservative working capital strategy 21
MAC S - 2014 2 ABC Ltd. Evaluation of working capital revision policy / Working Capital Requirement 15
Chapter : 29

(a) Maximum growth in sale to achieve required D/E ratio (b) Working Capital
BFD W - 2014 2 ARQ (Private) Limited Financing Requirement 12
Minimum increase in running finance limit which company should seek from
MAC S - 2015 4 Riaz Ltd. bankers 13

BFD S - 2015 5 Ulta Comfor Footwear Evaluation of working capital financing under moderate & aggressive policy 10
MAC W - 2015 2 Alpha Trading Company Evaluation of working capital financing and increase in profit 16
MAC W - 2016 4 Alpha Limited Minimum financing rate of return tnat can be offered to wealthy investors 16
MAC W - 2017 6 Tulip Limited Bank financing vs Financing through changes in working capital policies 16
MAC S - 2018 2 (b) Moon Industries Limited Working Capital budget for the year ended June 2019 21
MAC S - 2018 5 Ravi Limited Decision about additional Working Capital Financing 15
BFD S - 2019 3 Blue Limited (BL) Amount of additional running finance to be taken from bank 16

MAC W - 2010 3 Faheem Ltd. (a) Optimal reorder level (b) EOQ with bulk quantity discount 16
Ch: 30

Stock

MAC W - 2013 1 Alpha Motors (a) EOQ (b) Optimal safety stock of component Y 14
MAC W - 2014 1 Owais Ltd. (a) EOQ, Total Cost (b) Revised safety stock level 16
MAC S - 2016 3 Efficient Company Ltd. (a) Stockout cost (b) Revised EOQ © Limitations of EOQ model 15
MAC S - 2012 6 Zen Trading Ltd. Evaluation of factoring proposal 15
Debtors &

MAC S - 2013 1 ABC Ltd. Evaluation of early settlement discount and charging penalty for late payment 18
Creditors
Ch : 31

BFD W - 2017 4 Sohrab Indusries Limited Evalaution of discount & factoring with and without recourse 15
(a) Advise whether it would be feasible for AL to adopt any of the above
options.
BFD W - 2019 1 Awam Limited (b) Difficulties in factoring arrangement 19
MAC W - 2016 4 Alpha Ltd. Financing rate at which loan acquisition would be feasible 15
(a) Difference between aggressive and conversative strategies of working capital
Ch : 32

Cash

financing (b) Analysing the proposed working capital financing strategy and its
BFD W - 2013 5 Top Generator Pakistan Ltd.consequences 14
Evaluation of most appropriate working capital strategy with significance of
BFD S - 2015 5 Ultra Comfort Footwear each policy 10
27 12.15% 413
Greenline investment (a) Net profit or loss under option contract (b) advantages of exchange traded
BFD W - 2019 4 limited (GIL) options over the counter options 4
(a) Evaluation of existing and proposed options for each vehicle (b) Sensitivity of
BFD S - 2014 4 Pioneer Steel Mills Ltd. average running per day, fuel efficiency and fuel price 23
Misc.

(a) Additional finance required to achieve growth in sales (b) Maximum growth
BFD W - 2008 2 Financial planning without and with external finance 14
Analyse the loan substitution option and give appropriate recommendations for
BFD W - 2014 5 Energy Gen Ltd. only year 2015 20
BFD S - 2009 3 DEF Securities Ltd. Evaluation of best strategy for American call option and European put option 12
5 2.15% 73

Total Questions 219 Total Marks 3398

ABDUL AZEEM - PhD Scholar, ACCA, CMA (USA), MS Commerce, M. Com, Diploma (FM) SKANS SCHOOL OF ACCOUNTANCY
abdulazeemeducationist@gmail.com CA FINAL COMPENDIUM