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Past Year

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CONFIDENTIAL

AC/JUN 2012/FAR430

®^
UNIVERSITI TEKNOLOGI MARA
FINAL EXAMINATION

COURSE

PRINCIPLES AND APPLICATION OF REPORTING
STANDARDS 2

COURSE CODE

FAR430

EXAMINATION

JUNE 2012

TIME

3 HOURS

INSTRUCTIONS TO CANDIDATES
1.

This question paper consists of five (5) questions.

2.

i) Answer ALL questions in the Answer Booklet. Start each answer on a new page, ii) Show your workings (if any) for each of the question.

3.

Do not bring any material into the examination room unless permission is given by the invigilator. 4.

Please check to make sure that this examination pack consists of:
i)
ii)

the Question Paper an Answer Booklet - provided by the Faculty

DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO
This examination paper consists of 8 printed pages
© Hak Cipta Universiti Teknologi MARA

CONFIDENTIAL

CONFIDENTIAL

2

AC/JUN 2012/FAR430

QUESTION 1
Harmoni Bhd, a public listed company, has the following capital structure on 31 December
2009:

Ordinary shares of RM1 each

Authorized Capital
RM'000
100,000

Issued & fully paid
RM'000
20,000

Given below is an extract of the Statement of Comprehensive Income of Harmoni Bhd for the years ended 31 December 2010 and 31 December 2011.

Profit before tax
Tax expenses (25%)
Profit after tax

31 December 2011
RM'000
19,600
(4,900)
14,700

31 December 2010
RM'000
31,000
(7,750)
23,250

The following information is also provided:
1)

On 1 October 2010, the company issued RM1.2 million 10% convertible debentures.
These debentures are convertible to 200 ordinary shares for every RM100 debentures. As at 31 December 2010, none of the convertible debentures were converted. 2)

On 30 June 2011, the company split the existing ordinary shares on the basis of 2 for every 1 share held. The par value of the share

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