CIMAPRA19-F01-1 Exam - Topic 2 Question 102 Discussion

Actual exam question for CIMA's CIMAPRA19-F01-1 exam

Question #: 102
Topic #: 2

The following information is extracted from OO's statement of financial position at 31 March:

Included in other payables is interest payable of $80,000 at 31 March 20X2 and $73,000 at 31 March 20X1.

The following information if included within OO's statement of profit or loss for the year ended 31 March 20X2:

Included within finance cost is $124,000 which relates to interest paid on a finance lease. 00 includes finance lease interest within financing activities on its statement of cash flows.________________

Within OO's statement of cash flow for the year ended 31 March 20X2 which figures should be included to reflect the changes in working capital within the net cash flow from operating activities?

AOption A

BOption B

COption C

DOption D

Show Suggested Answer

Suggested Answer: C

by Emile at Oct 20, 2024, 03:00 PM

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Janessa

3 months ago

$124k finance lease interest included in costs.

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Salome

3 months ago

Not sure if those figures add up correctly...

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Nakisha

3 months ago

Wait, how does finance lease interest fit into cash flows?

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Man

4 months ago

Definitely looks like a cash flow issue here.

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Deangelo

4 months ago

Interest payable increased from $73k to $80k.

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Leonie

4 months ago

I think we should definitely consider the increase in interest payable from last year to this year. That might impact the cash flow from operating activities.

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Maurine

4 months ago

I feel a bit confused about whether to include the finance lease interest in the operating activities section. I thought it was usually part of financing activities.

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Marshall

4 months ago

This question seems similar to one we practiced about adjusting for payables and receivables in cash flow statements. I think we need to focus on the interest payable.

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Elmer

5 months ago

I remember we discussed how changes in working capital affect cash flow, but I'm not entirely sure which specific figures to include here.

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Tegan

5 months ago

This seems like a tricky one. I'll need to really focus on the details and make sure I don't miss anything. I think I'll start by identifying the relevant figures from the statements and then try to determine how they should be presented in the statement of cash flows.

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Mitzie

5 months ago

Okay, let's see. The question is asking about the changes in working capital, so I'll need to look at the differences in current assets and current liabilities between the two periods. The interest payable and finance lease interest information will also be important to consider.

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Carolann

5 months ago

Hmm, I'm a bit confused by the different financial statements and how they all tie together. I'll need to review the concepts of working capital and cash flows to make sure I understand what the question is asking for.

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Lindsey

5 months ago

This question looks straightforward, I think I can handle it. I'll need to carefully analyze the information provided and determine which figures from the statement of financial position and statement of profit or loss should be included in the statement of cash flows.

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Amos

1 year ago

Option D all the way! Who needs working capital changes when you've got a sweet finance lease to play around with? That's where the real action is, am I right?

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Keneth

1 year ago

Hmm, this is a tough one. I think I'll go with Option C. It's got the interest payable figure, which seems important, and the finance lease interest. Seems like the most complete answer to me.

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Erick

1 year ago

I'm going to have to go with Option B. The interest payable figure from the statement of financial position and the finance lease interest from the statement of profit or loss seem like the key working capital changes to include.

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Bong

1 year ago

Yes, Option B makes sense given the details about interest payable and finance lease interest affecting working capital.

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Yoko

1 year ago

Option B seems to be the most logical option based on the information provided.

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Merilyn

1 year ago

I agree, the interest payable and finance lease interest are important components to consider for the changes in working capital.

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Lashawnda

1 year ago

I think Option B is the best choice too. Those figures definitely impact the working capital changes.

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Dean

1 year ago

Option A looks like the correct answer to me. The question is asking about changes in working capital, and Option A includes the relevant figures from the statement of financial position and statement of profit or loss.

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