As many of us CA-Students have studied about Michael porter strategies in Strategic Management at IPCC level as we learned it like for some marks But best thing said by him is
“The Essence of strategy is choosing what not to do “
This is very helpful for our preparation starter in à “FINANCIAL REPORTING” because of lengthy and Voluminous syllabus.
As usual our Daily working hours 2-4 hrs. Going straightly to the Starter
Day 1 : As far as I think in the Case of Financial Reporting I would prefer to start with Chapter-10 of practice manual which are
- Value Added Statement à (Finding out Gross Value Added , Net Value Added , Don’t forget to practice sums in reverse mode which means when question is asked to draw P and L or B/S from VAS and Don’t take Easy on Reconciliation, Don’t forget to Add % Column in VAS Application Statement)
- Economic Value Added à Sums Related to the Cost of debt, Equity, Don’t Confuse the Return on Investment with EVA or Overall Cost of Capital (Those 3 Are different items).
- HR Accounting à Only 3 types of Sums
à Total HR value
- Max Bid
- Semi, Un, Skilled Calculation
- Theory question
While reading like you may think it as a Big task on day one while Coming to Practice if you start in practice manual you easily complete them in less than 4 hours Only thing required is Patience.
Day 2 : Well on day-1 we had almost 8-10 marks in our side ( in practice manual u can find more marks but i’m just expecting even though we completed one chapter Chances of loosing them in Choice are present ) Now let us get in to next most Accessible Chapters which are
- Share based payments à Not only Calculation but try to get in to Entries and Accounts both are required and must and Should, Graded vesting & Stock Appreciation Rights(SARs) Sums may Not be In practice manual but cover them from any author book (majority of materials like As foundation, Mt educare and many small also Covered them),Diluted EPS ( Lengthy Format For Calculation).
- Financial reporting of Financial Instruments à
- Mutual Funds à Can Access as From SFM ( But make note of Entries/Accounts For MF units buying because always We can’t expect NAV Calculation, Don’t forget mixed NAV Calculation to avoid Confusion of new items in question )
- NBFC à Not only NPA calculations, Theory is equally Important , Refer Previous year questions àDon’t trust practice manual blindly go to site and Search each Attempt paper you will realise why said that ß
- Merchant bankers à Only theory Always or a Sum From F-ex or Derivatives
- Stock and Commodity Market intermediaries à Theory (exclusively for this chapter if u have any time try to refer Study material it helps you in #SFM Futures Chapter)
Well Know you Had Started the Subject which Carries 25-30 Marks but u cant calculate as that take Them as Only 60% Because All of them Are not asked in one question they dispersed with others. Believe me If you are taking any option the above said 3 chapters then you relly taking a bit more risk.
Next Continue the Preparation in (2-3 Days )From àValuation of Goodwill, shares, brand, liabilities(Don’t Ignore last Two it may Cost you an attempt)(Personal Experience :P)
After these u are in tremendous Form u can go on With biggies Like Holding Company Accounts Or Amalgamation .If you are still Feeling in Comfort now Just do Internal And External Construction Sums and Then take Them But never Leave those Chapters with out preparation Cover the Important Adjustments with limited Sums .
Many of us are thinking to study one day one Accounting Standard Which Doesn’t Happens to majority of us for sure. As far as Accounting Standards we are planning to have a summary notes along with covering types of sums and also Including the IND-As.
So Called Preventive measures :
- Don’t Just Trust Your Practice Manual à because After Completion Of Practice Manual you may relax but your exam paper is beyond that Always So Kindly Trust a good teacher and Complete your Class material.
- Don’t Spend too much time on Consolidation, Amalgamation ( routine One Still worth)
- Don’t Worry much About no.of Accounting Standards Because ICAI Cant Ask 30 Standards and IND-AS Including in a Single Paper. When Coming to standards related Questions presentation is much important which no one cares try to consolidate the answer in Step wise manner like Step 1: given info — Step 2: Provision in the standard ( Same to same wording required Don’t use own words)Technical jargon is Must.
Well many of us can argue that If we know that much about that standard we can answer it directly but what I am saying is when you don’t know anything about Standard Atleast this presentation Can Serve 1 or .5 mark. As a Final Student I don’t you Explaination About that Marks.
At the end of the Article I conclude with only one dialogue “ how beautiful may be your strategy you should Occasionally look at results “ So how much u prepare for FR best way to Score is by Answering to Mock tests as Said CA-FINAL all India 18th ranker who scored 97 marks in FR So I believe to listen to him because practically ICAI agreed that he knows better than us 😛
Stay Tuned with us in Facebook @TradingCA or Telegram channel or TradingCA.com For Short Notes On IND-As and AS with Sums .
Its Kiran 😊