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An investor owns 75 shares values at $1.50 each. If the shares increase in value to $1.75, how much money will the investor have made through this capital gain?

• A. $131.25
• B. $187.50
• C. $26.25
• D. $15
• E. $18.75
• F. $112.50

F has profit before interest and tax of $400,000 for the year to 30 June 20X4.
Extracts from F's statement of financial position at 30 June 20X4 are as follows:

Calculate the gearing (debt:equity) ratio at 30 June 20X4.
Give your answer to the nearest whole percentage.
? %

Which of the following options provides a representation of how the non controlling interest in FG is measured in CD's consolidated statement of financial position at 31 December 20X8?

• A. * FV of NCI at reporting date; plus
  * NCI's share of post acquisition reserves of FG; plus
  * NCI's share of exchange difference arising on goodwill of FG for the year.
• B. * FV of NCI at acquisition; plus
  * NCI's share of post acquisition reserves of FG; plus
  * NCI's share of accumulated exchange differences arising on goodwill of FG.
• C. * FV of NCI at acquisition; plus
  * NCI's share of post acquisition reserves of FG; plus
  * NCI's share of exchange difference arising on goodwill of FG for the year.
• D. * FV of NCI at reporting date; plus
  * NCI's share of group reserves; plus
  * NCI's share of accumulated exchange differences arising on goodwill of FG.

Which TWO of the following are TRUE in respect of preparing a consolidated statement of cash flows where there has been an acquisition of a subsidiary part way through the year?

• A. Non-controlling interest will arise in relation to the subsidiary and any dividends paid to the non- controlling interest will be shown within financing activities as a cash outflow.
• B. The year end cash and cash equivalents balance will be reduced by the cash and cash equivalents that were held by the subsidiary at the acquisition date.
• C. Investing activities will include a total cash outflow for the acquisition comprising the cash paid for the subsidiary less the cash held by the subsidiary at the acquisition date.
• D. The working capital held by the subsidiary at acquisition will be excluded from the year end figures based on the percentage shareholding in the subsidiary.
• E. Any shares that were issued on acquisition of the subsidiary will be shown separately on the statement of cash flows within financing activities.

AB and CD are separate entities that prepare financial statements to 31 May using international accounting standards. AB and CD provide technical support services to the financial services industry and operate in the same country. The financial statements are identical except for the following:
* AB purchased all operating equipment, paying $100,000, using a 5 year bank loan. The useful life of the equipment was 5 years.
* CD signed an operating lease agreement for all operating equipment for 5 years paying
$20,000 per year.
Both entities charge all expenses relating to the equipment to cost of sales.
From the information provided, which of the following ratios would be reliably comparable for AB and CD?

• A. Gross profit margin
• B. Profit before tax margin
• C. Return on capital employed
• D. Non current asset turnover