Financial Mark ets
Paper F7 (International)
Course Notes
ACF7CN07 INT
,F7 Financial Reporting (International)
Study Programme
Page
Introduction to the paper and the course............................................................................................................... (ii)
1 The conceptual framework .......................................................................................................................... 1.1
2 Home study chapter – The regulatory framework ....................................................................................... 2.1
3 Presentation of published financial statements ........................................................................................... 3.1
4 Tangible non-current assets........................................................................................................................ 4.1
5 Intangible assets ......................................................................................................................................... 5.1
6 Impairment of assets ................................................................................................................................... 6.1
7 Reporting financial performance.................................................................................................................. 7.1
End of Day 1 – refer to Course Companion for Home Study
Progress test 1
8 Introduction to groups.................................................................................................................................. 8.1
9 The consolidated balance sheet.................................................................................................................. 9.1
10 The consolidated income statement.......................................................................................................... 10.1
11 Accounting for associates.......................................................................................................................... 11.1
End of Day 2 – refer to Course Companion for Home Study
Progress test 2
Course exam 1
12 Inventories and construction contracts ...................................................................................................... 12.1
13 Provisions, contingent liabilities and contingent assets............................................................................. 13.1
14 Financial assets and liabilities ................................................................................................................... 14.1
15 The legal versus the commercial view of accounting ................................................................................ 15.1
16 Leases....................................................................................................................................................... 16.1
17 Taxation..................................................................................................................................................... 17.1
End of Day 3 – refer to Course Companion for Home Study
Progress test 3
18 Earnings per share .................................................................................................................................... 18.1
19 Calculation and interpretation of accounting ratios and trends.................................................................. 19.1
20 Limitations of financial statements and interpretation techniques ............................................................. 20.1
21 Cash flow statements ................................................................................................................................ 21.1
22 Alternative models and practices............................................................................................................... 22.1
23 Specialised, not-for-profit and public sector entities .................................................................................. 23.1
End of Day 4 – refer to Course Companion for Home Study
Progress test 4
Course exam 2
24 Answers to Lecture Examples ................................................................................................................... 24.1
25 Question and Answer bank ....................................................................................................................... 25.1
26 Pilot Paper questions................................................................................................................................. 26.1
Don’t forget to plan your revision phase!
• Revision of syllabus BPP provides revision courses, question days,
• Testing of knowledge mock days and specific material to assist you in
• Question practice this important phase of your studies.
• Exam technique practice
(i)
,INTRODUCTION
Introduction to Paper F7 Financial Reporting
(International)
Overall aim of the syllabus
To develop knowledge and skills in understanding and applying accounting standards and the theoretical
framework in the preparation of financial statements of entities, including groups and how to analyse and
interpret those financial statements.
The syllabus
The broad syllabus headings are:
A A conceptual framework for financial reporting
B A regulatory framework for financial reporting
C Financial statements
D Business combinations
E Analysing and interpreting financial statements
Main capabilities
On successful completion of this paper, candidates should be able to:
• Discuss and apply a conceptual framework for financial reporting
• Discuss a regulatory framework for financial reporting
• Prepare and present financial statements which conform with International Financial Reporting Standards
• Account for business combinations in accordance with International Financial Reporting Standards
• Analyse and interpret financial statements
Links with other papers
Corporate Reporting Business Analysis
(P2) (P3)
Corporate & Financial Reporting Audit & Assurance
Business Law (F4) (F7) (F8)
Financial Accounting
(F3)
This diagram shows where direct (solid line arrows) and indirect (dashed line arrows) links exist between this
paper and other papers that may precede or follow it.
The financial reporting syllabus assumes knowledge acquired in paper F3 Financial Accounting, and develops
and applies this further and in greater depth. Paper P2 Corporate Reporting, assumes knowledge acquired at
this level including core technical capabilities to prepare and analyse financial reports for single and combined
entities.
(ii)
, INTRODUCTION
Assessment methods and format of the exam
Examiner: Steve Scott
The examination is a three hour paper and all questions are compulsory. It will contain both computational and
discursive elements and some questions will adopt a scenario/case study approach.
Format of the Exam Marks
Question 1 Preparation of group financial statement and/or extracts thereof, often 25
including an associate, and normally including a short discussion element
Question 2 Preparation/restatement of non-group financial statements, including 25
adjustments on other areas of the syllabus
Question 3 Appraisal of an entity's performance and/or cash flow statements and 25
interpretation thereof
Question 4 15
Will test the remainder of the syllabus
Question 5 10
100
(iii)
Paper F7 (International)
Course Notes
ACF7CN07 INT
,F7 Financial Reporting (International)
Study Programme
Page
Introduction to the paper and the course............................................................................................................... (ii)
1 The conceptual framework .......................................................................................................................... 1.1
2 Home study chapter – The regulatory framework ....................................................................................... 2.1
3 Presentation of published financial statements ........................................................................................... 3.1
4 Tangible non-current assets........................................................................................................................ 4.1
5 Intangible assets ......................................................................................................................................... 5.1
6 Impairment of assets ................................................................................................................................... 6.1
7 Reporting financial performance.................................................................................................................. 7.1
End of Day 1 – refer to Course Companion for Home Study
Progress test 1
8 Introduction to groups.................................................................................................................................. 8.1
9 The consolidated balance sheet.................................................................................................................. 9.1
10 The consolidated income statement.......................................................................................................... 10.1
11 Accounting for associates.......................................................................................................................... 11.1
End of Day 2 – refer to Course Companion for Home Study
Progress test 2
Course exam 1
12 Inventories and construction contracts ...................................................................................................... 12.1
13 Provisions, contingent liabilities and contingent assets............................................................................. 13.1
14 Financial assets and liabilities ................................................................................................................... 14.1
15 The legal versus the commercial view of accounting ................................................................................ 15.1
16 Leases....................................................................................................................................................... 16.1
17 Taxation..................................................................................................................................................... 17.1
End of Day 3 – refer to Course Companion for Home Study
Progress test 3
18 Earnings per share .................................................................................................................................... 18.1
19 Calculation and interpretation of accounting ratios and trends.................................................................. 19.1
20 Limitations of financial statements and interpretation techniques ............................................................. 20.1
21 Cash flow statements ................................................................................................................................ 21.1
22 Alternative models and practices............................................................................................................... 22.1
23 Specialised, not-for-profit and public sector entities .................................................................................. 23.1
End of Day 4 – refer to Course Companion for Home Study
Progress test 4
Course exam 2
24 Answers to Lecture Examples ................................................................................................................... 24.1
25 Question and Answer bank ....................................................................................................................... 25.1
26 Pilot Paper questions................................................................................................................................. 26.1
Don’t forget to plan your revision phase!
• Revision of syllabus BPP provides revision courses, question days,
• Testing of knowledge mock days and specific material to assist you in
• Question practice this important phase of your studies.
• Exam technique practice
(i)
,INTRODUCTION
Introduction to Paper F7 Financial Reporting
(International)
Overall aim of the syllabus
To develop knowledge and skills in understanding and applying accounting standards and the theoretical
framework in the preparation of financial statements of entities, including groups and how to analyse and
interpret those financial statements.
The syllabus
The broad syllabus headings are:
A A conceptual framework for financial reporting
B A regulatory framework for financial reporting
C Financial statements
D Business combinations
E Analysing and interpreting financial statements
Main capabilities
On successful completion of this paper, candidates should be able to:
• Discuss and apply a conceptual framework for financial reporting
• Discuss a regulatory framework for financial reporting
• Prepare and present financial statements which conform with International Financial Reporting Standards
• Account for business combinations in accordance with International Financial Reporting Standards
• Analyse and interpret financial statements
Links with other papers
Corporate Reporting Business Analysis
(P2) (P3)
Corporate & Financial Reporting Audit & Assurance
Business Law (F4) (F7) (F8)
Financial Accounting
(F3)
This diagram shows where direct (solid line arrows) and indirect (dashed line arrows) links exist between this
paper and other papers that may precede or follow it.
The financial reporting syllabus assumes knowledge acquired in paper F3 Financial Accounting, and develops
and applies this further and in greater depth. Paper P2 Corporate Reporting, assumes knowledge acquired at
this level including core technical capabilities to prepare and analyse financial reports for single and combined
entities.
(ii)
, INTRODUCTION
Assessment methods and format of the exam
Examiner: Steve Scott
The examination is a three hour paper and all questions are compulsory. It will contain both computational and
discursive elements and some questions will adopt a scenario/case study approach.
Format of the Exam Marks
Question 1 Preparation of group financial statement and/or extracts thereof, often 25
including an associate, and normally including a short discussion element
Question 2 Preparation/restatement of non-group financial statements, including 25
adjustments on other areas of the syllabus
Question 3 Appraisal of an entity's performance and/or cash flow statements and 25
interpretation thereof
Question 4 15
Will test the remainder of the syllabus
Question 5 10
100
(iii)
