Knowledge

F1 Accountant in Business
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What syllabus changes are being introduced in F1, Accountant in Business" in December 2011? When will the first computer-based exams be available for the new F1 syllabus? The ACCA website includes only one sample pilot paper for F1, F2 and F3. Are there plans to include more past exam papers? Most theorists listed in the study guide are from the UK or USA. Isn't this rather UK/USA 'centric? Will computer-based examination questions for F1 involve calculations? Has increasing the use of 'scenarios' in multiple-choice questions made exams more challenging? Why will there be 50 x two mark questions from December 2011 and is this structure likely to change again in the near future? Why is there such a high pass rate for F1? Is the exam too easy or are candidates just well-prepared? How do the exam questions reflect the content of the study guide? How do pass rates compare for computer-based and paper-based exams? The topics covered in the F1 paper provide a foundation of knowledge necessary for candidates going on to take P3. However, P3 contains questions requiring essay-style answers, not short answers like in F1. Does this make it difficult to pass P3? Foundations in Accountancy exams and the new ACCA Fundamentals Knowledge exams include 50 two-mark questions, which is more than the 90 marks available under the 2007 ACCA exam scheme. Will candidates taking the new exams experience a lot of time pressure during their exams? From December 2011, the Knowledge Module papers will include 50 short objectivestyle questions. At a later date, a new exam format will be introduced that includes longer style questions for F1/FAB, F2/FMA and F3/FFA. How much notice will ACCA give about this change in format? Has economics been removed from the syllabus?

F2 Management Accounting
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What syllabus changes are being introduced in F2, 'Management Accounting' in December 2011? When will the first computer-based exams be available for the new F2 syllabus? The ACCA website includes only one sample pilot paper for F1, F2 and F3. Are there plans to include more past exam papers? Does the F2 exam paper cover the whole syllabus? There are five sections in the F2 Study Guide, is each one of equal importance as far as the exam is concerned?

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Syllabus area C3(a) requires an explanation of principle budget factor. As limiting factors are no longer in the syllabus, is this needed? If it is, will it be examined with numbers? Syllabus area C3(e) requires preparation of master budgets. Do candidates need to know the exact format of statements of financial position? How will the discussion parts of the syllabus be examined objectively? Foundations in Accountancy exams and the new ACCA Fundamentals Knowledge exams include 50 two-mark questions, which is more than the 90 marks available under the 2007 ACCA exam scheme. Will candidates taking the new exams experience a lot of time pressure during their exams? Why will there be 50 two-mark questions from December 2011? Is this structure likely to change again in the near future? From December 2011, the Knowledge Module papers will include 50 short objectivestyle questions. At a later date, a new exam format will be introduced that includes longer style questions for F1/FAB, F2/FMA and F3/FFA. How much notice will ACCA give about this change in format? Capital budgeting has been introduced to the new F2/FMA paper. Has the F9 syllabus been amended to reduce overlap? The syllabus for F2/FMA appears to be much broader than the old Certified Accounting Technician (CAT) paper T7 and the 2007 ACCA Qualification F2 paper. What is the reason for this and what are the implications?

F3 Financial Accounting
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What syllabus changes are being introduced in F3, 'Financial Accounting' in December 2011? When will the first computer-based exams be available for the new F3 syllabus? What is the difference between international and UK pass rates? The ACCA website includes only one sample pilot paper for F1, F2 and F3. Are there plans to include more past exam papers? The International Accounting Standards Board (IASB) issued "The Conceptual Framework for Financial Reporting" on 28 September 2010. Given the proximity to the examinable documents cut-off date, will this be examinable in the 2011 examination session? Foundations in Accountancy exams and the new ACCA Fundamentals Knowledge exams include 50 two-mark questions, which is more than the 90 marks available under the 2007 ACCA exam scheme. Will candidates taking the new exams experience a lot of time pressure during their exams? Why will there be 50 two-mark questions from December 2011? Is this structure likely to change again in the near future? From December 2011, the Knowledge Module papers will include 50 short objectivestyle questions. At a later date, a new exam format will be introduced that includes longer

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style questions for F1/FAB, F2/FMA and F3/FFA. How much notice will ACCA give about this change in format? Why is partnership not part of the F3 syllabus from December 2011? When ACCA introduce the long questions in F3/FFA, there will be a 15-mark question on both group accounting and accounts preparation. How will this be reflected in the initial 50 short objective question paper?

F1 Accountant in Business
What syllabus changes are being introduced in F1, 'Accountant in Business' in December 2011? The new F1 syllabus will reflect recently amended occupational standards for accountants. There will be a greater focus on the types of financial reports required and published by businesses. There will also be more content on accounting systems, internal controls, fraud, money laundering, ethics and conflict resolution. In addition, the economics content in Section A will be increased to include a basic coverage of aspects of micro economics. Some sections have been slightly reordered. When will the first computer-based exams be available for the new F1 syllabus?? CBEs for the new syllabus will be available from the start of December 2011. Anyone studying against the current syllabus should complete their exams before the end of November 2011, since all exams from the start of December onwards will be based upon the new syllabus. The ACCA website includes only one sample pilot paper for F1, F2 and F3. Are there plans to include more past exam papers? No, there are no plans to publish more F1, F2 and F3 papers on our website. Please read the study guides produced by our official publishers for further examples of exam questions. Most theorists listed in the study guide are from the UK or USA. Isn't this rather UK/USA 'centric? The syllabus covers relatively few theories or models. Those selected are well-known and easy to understand. The idea is that candidates should understand how theories or models help people to think about issues. Inclusion of a theory or model does not necessarily mean that it is regarded as being the best in its area or well-validated. Will computer-based examination questions for F1 involve calculations?

No - although we may decide to include calculation-based questions in the future. Has increasing the use of "scenarios" in multiple-choice questions made exams more challenging? We have analysed our candidates' exam results and found no evidence of a difference in pass rates for this type of question as compared with other types. We have included scenario-type questions in this paper to better prepare candidates for papers F2 and F3, where they need to apply their knowledge more than remember facts. "Scenarios" on this paper are generally short and tuition providers are now much better at preparing candidates for the wide range of question styles they will encounter. Why will there be 50 x two mark questions from December 2011 and is this structure likely to change again in the near future? These changes are being introduced so that all three Knowledge module papers, F1 to F3, are consistent in terms of structure. The changes also take into account the fact that we have introduced more scenario-type questions into F1. These changes are an interim measure. We are planning to introduce a mixture of short- and longer-style questions in 2012 to all Knowledge module papers, to go with the new syllabus that is being introduced in December 2011. Published materials will contain examples of the new style questions we are planning to introduce. We will provide students with sufficient notice of any further changes to the exam structure. Why is there such a high pass rate for F1? Is the exam too easy or are candidates just well prepared? Candidates are well prepared for their examinations. Some candidates may have acquired knowledge of the business areas covered in the exam before they registered with ACCA. Part of the reason for the high pass rate may be the time allowance; there is evidence that many candidates are completing the paper well within the time allowed. But mainly the high pass rate can be attributed to the excellent coverage of this examination in the official study texts and by tuition providers. Currently pass rates for F1 appear to be settling down and we would expect them to become more consistent with those of F2 and F3 over time. How do the exam questions reflect the content of the study guide?

Most questions are dedicated to only one subject area of the study guide; questions will not combine areas nor will one scenario be used as the basis for more than one question. There are an equal number of questions drawn from each area of the syllabus, whether candidates are doing a computer-based or paper-based exam. This means about eight or nine questions for each section of the syllabus. How do the pass rates compare for computer-based and paper-based exams? Pass rates for the two exams are broadly similar. We have found that candidates tend to choose the exam type which is convenient for them, rather than just a particular format because they think it will be easier. The topics covered in the F1 paper provide a foundation of knowledge necessary for students going on to take P3. However, P3 contains questions requiring essay-style answers, not short answers like in F1. Does this make it difficult to pass P3? No, because candidates have to take exam F4 before P3, and F4 contains questions requiring essay-style answers. Candidates will have plenty of practice in writing essay-style answers in the run up to their P3 exams. Foundations in Accountancy exams and the new ACCA Fundamentals Knowledge exams include 50 two-mark questions, which is more than the 90 marks available under the 2007 ACCA exam scheme. Will candidates taking the new exams experience a lot of time pressure during their exams? All our exams go through a rigorous quality assurance process. Exam papers are completed by a number of exam panel members under exam conditions and with the same time constraints. We are confident that well-prepared candidates will cope with the number of questions. From December 2011, the Knowledge Module papers will include 50 short objective-style questions. At a later date, a new exam format will be introduced that includes longer style questions for F1/FAB, F2/FMA and F3/FFA. How much notice will ACCA give about this change in format? We will give candidates more than sufficient notice before the change in examination format. Platinum and Gold learning content providers have been made aware of the upcoming changes and have included longer style questions within their materials. Even though longer style questions will not be included in the December 2011 papers, they form excellent question practise and provide a good basis for the ACCA Skills papers should candidates continue onto these. Has economics been removed from the syllabus?

No, it is included within Section A of the new syllabus and a new subject area A5 has been added, focusing on basic aspects of micro economics.

F2 Management Accounting
What syllabus changes are being introduced in F2, 'Management Accounting' in December 2011? The new F2 syllabus will reflect recently amended occupational standards for accountants. The major addition to the syllabus is the introduction of the whole section on performance measurement. The budgeting section has been expanded to include forecasting techniques, capital budgeting and behavior aspects. There is also a brief introduction to modern costing approaches such as Activity based costing. To partly compensate for the above additions, short term decision making techniques and dealing with uncertainty has been removed from the syllabus. The sections of the syllabus has also been rearranged and now has five as opposed to previous six sections. Finally, because of introduction of the capital budgeting, in addition to the formulae sheet, net present value and annuity tables will be provided with each exam paper. When will the first computer-based exams be available for the new F2 syllabus? CBEs for the new syllabus will be available from the start of December 2011. Anyone studying against the current syllabus should complete their exams before the end of November 2011, since all exams from the start of December onwards will be based upon the new syllabus. The ACCA website includes only one sample pilot paper for F1, F2 and F3. Are there plans to include more past exam papers? No, there are no plans to publish more F1, F2 and F3 papers on our website. Please read the study guides produced by our official publishers for further examples of exam questions. Does the F2 exam paper cover the whole syllabus? As there are 50 questions on each exam there is plenty of scope for the examiner to ensure that the whole syllabus is tested. This holds true for the paper-based and computer-based exams. Candidates are advised to study the whole syllabus in preparation for the exam. There are five sections in the F2 Study Guide, is each one of equal importance as far as the exam is concerned? The five sections are not represented by equal numbers of questions (or marks) in the exam. Candidates should analyse the F2 pilot paper marks) relate to each study guide section. to identify how many of the questions (and

Syllabus area C3(a) requires an explanation of principle budget factor. As limiting factors are no longer in the syllabus, is this needed? If it is, will it be examined with numbers? Principal budget factors are in the syllabus. Candidates would be expected to be able to identify the principal budget factor in a given situation and to know that this would be the starting point for budget construction. Simple calculations are expected, for example, candidates should be able to calculate the amount of production possible from a given number of labour hours. However, questions would not be set where different uses of a scarce resource have to be ranked by contribution per unit of the limiting factor. Syllabus area C3(e) requires preparation of master budgets. Do candidates need to know the exact format of statements of financial position? No, candidates do not need to learn the format of statements of financial position or the format of income statements. How will the discussion parts of the syllabus be examined objectively? For example, candidates could be asked to identify the advantages or disadvantages of methods or techniques. Foundations in Accountancy exams and the new ACCA Fundamentals Knowledge exams include 50 two-mark questions, which is more than the 90 marks available under the 2007 ACCA exam scheme. Will candidates taking the new exams experience a lot of time pressure during their exams? All our exams go through a rigorous quality assurance process. Exam papers are completed by a number of exam panel members under exam conditions and with the same time constraints. We are confident that well-prepared candidates will cope with the number of questions. Why will there be 50 two-mark questions from December 2011? Is this structure likely to change again in the near future? These changes are being introduced so that all three Knowledge module papers, F1, F2 and F3, are structurally consistent. The changes also take into account the introduction of more scenariotype questions into F1. These changes are an interim measure. We are planning to introduce a mixture of short and long questions in 2012 to all Knowledge module papers. These will reflect the new syllabus being introduced in December 2011. Published materials will contain examples of the new style questions we are planning to introduce. We will provide students with sufficient notice of any further changes to the exam structure.

From December 2011, the Knowledge Module papers will include 50 short objective-style questions. At a later date, a new exam format will be introduced that includes longer style questions for F1/FAB, F2/FMA and F3/FFA. How much notice will ACCA give about this change in format? We will give candidates more than sufficient notice before the change in examination format. Platinum and Gold learning content providers have been made aware of the upcoming changes and have included longer style questions within their materials. Even though longer style questions will not be included in the December 2011 papers, they form excellent question practise and provide a good basis for the ACCA Skills papers should candidates continue onto these. Capital budgeting has been introduced to the new F2/FMA paper. Has the F9 syllabus been amended to reduce overlap? There is very little overlap in the content between F2 and F9. F9 covers wider aspects of capital budgeting with a focus on the financial aspects. F2 mainly focuses on the understanding of the techniques used. The syllabus for F2/FMA appears to be much broader than the old Certified Accounting Technician (CAT) paper T7 and the 2007 ACCA Qualification F2 paper. What is the reason for this and what are the implications? For T7: The new FMA syllabus is designed to be suitable for candidates without any existing knowledge of the subject. Consequently, the syllabus coverage is wider. It covers all the basic costing techniques and concepts, which in the old CAT programme used to be covered by the lowerlevel papers T2 and T4. For F2: The new F2 syllabus has expanded to include performance measurement issues - mainly to comply with occupational standards. It was also felt that candidates need to have a good foundation in mathematics and the new syllabus has more statistical elements. Candidates need to set aside enough time to prepare for exams and practise as many questions as possible. The multiple-choice questions from the old CAT paper T7 are a valuable source of practice material.

F3 Financial Accounting
What syllabus changes are being introduced in F3, 'Financial Accounting' in December 2011??

The new F3 syllabus will reflect the latest amended occupational standards for accountants. The additions to the F3 syllabus are:
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Duties and responsibilities of those charged with governance Disclosure notes (explain purpose, draft non current asset, provision, events after the reporting period and inventory note) Basic accounting for subsidiaries awareness of what associates are and equity accounting Ratios Analysis of financial statements.

The deletions from the F3 syllabus are:

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Alternative bases used in the preparation of financial information Accounting systems and the impact of information technology on financial reporting Accounting for partnerships. The old syllabus did not cover detailed accounting for admissions and dissolution, only simple allocation of profits.

While the syllabus may seem broader, the paper and assessment are to be set so that they should not be any more difficult for a reasonably prepared candidate to pass than the previous F3 (pre December 2011). When will the first computer-based exams be available for the new F3 syllabus? CBEs for the new syllabus will be available from the start of December 2011. Anyone studying against the current syllabus should complete their exams before the end of November 2011, since all exams from the start of December onwards will be based on the new syllabus. What is the difference between international and UK pass rates? Unfortunately we do not publish these pass rates. The ACCA website includes only one sample pilot paper for F1, F2 and F3. Are there plans to include more past exam papers? No, there are not plans to publish more F1, F2 and F3 papers on our website. Please read the study guides produced by our official publishers for further examples of exam questions. The International Accounting Standards Board (IASB) issued "The Conceptual Framework for Financial Reporting" on 28 September 2010. Given the proximity to the examinable documents cut-off date, will this be examinable in the 2011 examination session? IASB issued The Conceptual Framework for Financial Reporting" on 28 September 2010 (two days before the ACCA cut-off date). We will wholly rely on the existing "Framework for the Preparation and Presentation of Financial Statements" within the 2011 examinations because the

new conceptual framework is incomplete and would have had a far-reaching impact on learning materials if incorporated. Foundations in Accountancy exams and the new ACCA Fundamentals Knowledge exams include 50 two-mark questions, which is more than the 90 marks available under the 2007 ACCA exam scheme. Will candidates taking the new exams experience a lot of time pressure during their exams?? All our exams go through a rigorous quality assurance process. Exam papers are completed by a number of exam panel members under exam conditions and with the same time constraints. We are confident that well-prepared candidates will cope with the number of questions. Why will there be 50 two-mark questions from December 2011? Is this structure likely to change again in the near future? These changes are being introduced so that all three Knowledge module papers, F1, F2 and F3, are consistently structured. The changes also take into account the introduction of more scenariotype questions into F1. These changes are an interim measure. We are planning to introduce a mixture of short and long questions in 2012 to all Knowledge module papers. These will reflect the new syllabus being introduced in December 2011. Published materials will contain examples of the new style questions we are planning to introduce. We will provide students with sufficient notice of any further changes to the exam structure. From December 2011, the Knowledge Module papers will include 50 short objective-style questions. At a later date, a new exam format will be introduced that includes longer style questions for F1/FAB, F2/FMA and F3/FFA. How much notice will ACCA give about this change in format? We will give candidates more than sufficient notice before the change in examination format. Platinum and Gold learning content providers have been made aware of the upcoming changes and have included longer style questions within their materials. Even though longer style questions will not be included in the December 2011 papers, they form excellent question practise and provide a good basis for the ACCA Skills papers should candidates continue onto these. Why is partnership not part of the F3 syllabus from December 2011? The FFA/F3 syllabus is designed to be suitable for candidates without any existing knowledge of the subject. Consequently the syllabus coverage is wide.

We felt that including detailed accounting of partnerships would make the syllabus unwieldy. However, the basic concept of what a partnership is continues to be part of the syllabus - just not the detailed accounting. The impact of this on all other ACCA papers is minimal. Once candidates have understood the basic accounting principles for a business, these are easily transferrable to any business structure. When ACCA introduce the long questions in F3/FFA, there will be a 15-mark question on both group accounting and accounts preparation. How will this be reflected in the initial 50 short objective question paper? The areas on group accounting and accounts preparation represent 15 per cent each of the overall marks. This will be the case in the 50 short objective question paper. So group accounting will have in the region of seven to eight two-mark questions and accounts preparation will have an additional seven to eight two-mark questions.