SPL – Telematic session P65 – Test preparation Feb 2017

General information This session has 2 purposes:- Preparation for your individual tests Specific guidance Focus areas Technical questions on the individual assignment These slides will be loaded on the website for your reference.

US 116363 Eight focus areas Content in the handbook will make up 85% of the total marks of your test. Video recordings were distributed to all participants – although it will assist in the preparation for the test, the additional information will not account for more than 15% of the test marks Only some of the focus areas will be included in the test. US 119348 focus areas

US 116363 focus areas Learner guide P57 to 59 - The definitions of assets and liabilities with examples. Learner guide Valuation of assets – six methods. Learner guide P71 - The capital replacement reserve, focussing on how you determine how much should be transferred to the CRR, and the fact that it shopuld be cash backed. Learner guide P62 - Capital versus operational expenditure. The video can assist greatly.

US 116363 focus areas Learner guide P104 - Why do we need a cash flow statement? The layout of the cash flow statement. The three sources of cash – operating, investment, financing . Learner guide P147 to 149 - Relevant information to assist in the process of financial analysis – CFO report, Auditors report, Economic indicators etc. Learner guide P162 tp 164 - The users of financial statements. Credit rating agencies, banks, suppliers and employees should be focussed on. Learner guide – All the ratios in the book with a specific focus on their purpose and calculation done in class.

Conclusion If you open your handbook and the set of slides, it would be easy to synchronise. Open book tests are difficult! You should cover the content before arriving in class. Make notes in the handbooks and highlight relevant sections.