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CIMA F2 Exam With Confidence Using Practice Dumps

Exam Code:
F2
Exam Name:
Advanced Financial Reporting
Certification:
Vendor:
Questions:
248
Last Updated:
Apr 24, 2025
Exam Status:
Stable
CIMA F2

F2: CIMA Management Exam 2025 Study Guide Pdf and Test Engine

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Advanced Financial Reporting Questions and Answers

Question 1

Which of the following is a related party according to the definition of a related party in IAS24 Related Party Disclosures?

Options:

A.

Major customer

B.

Provider of finance

C.

Managing Director

D.

Major supplier

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Question 2

MNO has calculated its return on capital employed ratio for 20X4 and 20X5 as 41% and 56% respectively.

Taking each statement in isolation, which would explain the movement in the ratio between the 2 years?

Options:

A.

In 20X5 the average interest rate on borrowing decreased compared to 20X4.

B.

In 20X4 an onerous contract was provided for and this provision did not change in 20X5.

C.

In 20X5 the increase in value of MNO's head office was reflected in the financial statements.

D.

In 20X4 an unused building was sold at a price in excess of its carrying value.

Question 3

The yield to maturity of a redeemable bond is calculated as the internal rate of return of the relevant cash flows associated with the bond. 

Which TWO of the following are considered relevant cash flows in this calculation?

Options:

A.

The annual interest payments net of tax relief.

B.

The redemption value of the bond at the date of redemption.

C.

The market value of the bond now.

D.

The nominal value of the bond now.

E.

The value of the conversion premium on conversion to equity shares.