ACCA Paper P2
Corporate Reporting

For exams from 1 September 2015 to
31 August 2016
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Key to icons
Syllabus

Case study

Technical content

Real world example

Question to consider

Diagram

Answer

Key model

Past exam question

Tackling the exam

Answer to past exam question Summary

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Syllabus
A

The professional & ethical duty of the accountant

B

The financial reporting framework

C

Reporting the financial performance of entities

D

Financial statements of groups of entities

E

Specialised entities

F

Implications of changes in regulation on financial reporting

G

The appraisal of financial performance and position of entities H

Current developments

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Exam format
Section

Marks

Question Type
Compulsory consolidation with adjustments on other areas

A

50
Written part on an accounting treatment plus ethical or social issues
Choice of two out of three optional questions
(25 marks each)

B

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50

1 scenario­based
1 specialised industry
1 current issues

Key points in approaching the exam
• Our analysis of the examiner's comments on past exams, together with our experience of preparing students for this type of exam, suggests that to pass Paper P2 you will need to develop a number of key skills.
• Make effective use of your reading time:
─ Focus on the requirement first
─ Consider the order in which to attempt questions, eg best question first
• Adopt a methodical approach to consolidation questions.
• Specialised industry/multi­standard questions – show that you can apply your knowledge of topics from a variety of syllabus areas to real­life issues facing a company.
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Key points in approaching the exam
• Do not underestimate the importance of the discussion elements. • Time management – remember the rule of time allocation in a three­hour exam: 1 mark = 1.8 minutes.
• Time allocation is also important between the different parts of the questions to ensure you do not over­run.

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Chapter 2
Professional and ethical duty of the accountant • Summary/overview
• Ethical principles in corporate reporting • Complying with ethical principles
• Framework for decisions
• Moral philosophy and theory in ethics • Ethical theories
• Ethics in organisations
• Managing ethics within organisations • Non­financial reporting standards

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Syllabus learning outcomes
• A1(a) – Appraise and discuss the ethical and professional issues in advising on corporate reporting.
• A1(b) – Assess the relevance and importance of ethical and professional issues in complying with accounting standards.
• A2(a) – Appraise the potential ethical implications of professional and managerial decisions in the preparation of corporate reports.
• A2(b) – Assess the consequences of not upholding ethical principles in the preparation of corporate reports.
• A3(a) – Discuss the increased demand for transparency in corporate reports, and the emergence of non­financial reporting standards. BPP LEARNING MEDIA

Chapter summary diagram
Professional and ethical duty of the accountant

Professional and ethical issues
Ethical principles in corporate reporting Framework for decisions BPP LEARNING MEDIA

Complying with accounting standards

Non­financial reporting standards

Transparency

Standards

Summary/overview
Professional and ethical issues In all areas of professional work, whether in practice or in business, ACCA members and students must carry out their work with regard to the fundamental principles of professional ethics.
Non­financial reporting standards There is an increasing demand by stakeholders for companies to produce more narrative information to supplement the financial statements. This is often in the form of a Management Commentary or Operating and
Financial Review as well as reports about the company's interactions with society and the environment.

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