MIAnew-QE
ADVANCED FINANCIAL ACCOUNTING AND REPORTING
OBJECTIVE
To equip the candidates with knowledge and skill in
applying financial reporting standards in preparing financial
statements for public companies including group of companies.
INTRODUCTION
The paper is designed to develop an understanding among candidates of the
concepts and principles of financial accounting and reporting for
public entities including group of companies.
Candidates are expected to display an in-depth knowledge of
financial reporting standards applicable to pubic entities.
LEARNING OUTCOMES
Upon successfully completing the examination, candidates at the minimum
should be able to:
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● |
Explain the
regulatory and professional requirements in the preparation and presentation
of financial statements. |
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● |
Explain the
conceptual framework and its relationship with the preparation and
presentation of financial statements. |
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● |
Prepare and
present financial statements of group accounts and a single company. |
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● |
Able to apply
the requirements of financial reporting standards to recognise, measure,
present and disclose elements of assets, liabilities, equity, income and
expenses. |
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● |
Able to analyse
and interpret the financial statements of companies. |
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● |
Have an
understanding of current issues and future directions of financial
accounting and reporting particularly in Malaysia. |
SYLLABUS WEIGHTAGE
|
Syllabus Content
Area |
Weighting |
|
Conceptual
framework and the reporting environment |
10% |
|
Preparing
financial statements in compliance with generally accepted principles and
regulations |
20% |
|
Application of
Financial Reporting Standards |
25% |
|
Group financial
statements |
30% |
|
Analysis and
interpretation of financial statements |
10% |
|
Changes in
company structure |
5% |
|
Total |
100% |
EXAMINATION FORMAT
A 3-hour written paper comprising 4 to 5 compulsory questions, out of which
there will be at least one compulsory question on
consolidated accounts.
SYLLABUS CONTENT
|
NO |
CONTENT |
LEVEL OF
KNOWLEDGE |
|
1 |
|
Financial accounting and reporting in Malaysia |
|
- |
The financial
reporting environment in Malaysia |
|
- |
Regulatory
framework |
|
- |
The future
direction of financial reporting in Malaysia and internationally. |
|
- |
Proposed
framework for the preparation and presentation of financial statements in
Malaysia |
|
- |
Substance over
form |
|
|
|
2 |
|
Preparation and presentation of financial statements of companies |
|
- |
Preparation of
financial statements of balance sheet, income statement, cash flow statement
and statement of changes in equity in accordance with legal requirements and
approved accounting standards |
|
- |
Interim
financial reporting |
|
|
|
3 |
|
Consolidated financial statements |
|
- |
Preparation of
consolidated financial statements – Consolidated Balance Sheet, Consolidated
Income statement and Consolidated Cash flow Statement (involving one or more
direct subsidiaries, indirect subsidiaries, associates and joint ventures) |
|
- |
Business
combination – purchase method |
|
- |
Treatment of
intra-group transactions and balances, pre-acquisition dividends and fair
value adjustments |
|
- |
Treatment of
goodwill (positive and negative) on consolidation |
|
- |
Treatment of
minority interests |
|
- |
Direct and
indirect acquisition |
|
- |
Complex group
structures |
|
- |
Changes to group
structures (acquisition and disposal of shares) |
|
- |
Accounting for
associates |
|
- |
Accounting for
joint ventures |
|
- |
Equity method |
|
- |
Proportionate
consolidation |
|
- |
Accounting for
foreign operations |
|
|
|
4 |
|
Application of Malaysian Approved Accounting Standards |
|
- |
Presentation of
financial statements |
|
- |
Accounting for
inventories |
|
- |
Cash flow
statements |
|
- |
Accounting
policies, changes in accounting estimates and errors |
|
- |
Events after the
balance sheet date |
|
- |
Accounting for
construction contracts |
|
- |
Income taxes |
|
- |
Segment
reporting |
|
- |
Accounting for
property, plant and equipment |
|
- |
Accounting for
leases |
|
- |
Revenue
recognition |
|
- |
Accounting and
reporting of employee benefits |
|
- |
Accounting for
government grants and disclosure of government assistance |
|
- |
The effect of
changes in foreign exchange rates |
|
- |
Borrowing costs |
|
- |
Accounting for
financial instruments |
|
- |
Impairment
of assets |
|
- |
Accounting for
Investment property |
|
- |
Provisions,
contingent liabilities and contingent assets |
|
- |
Accounting for
intangible assets |
|
- |
Accounting for
property development activities |
|
- |
Accounting for
share-based payment |
|
- |
Accounting for
non-current assets held for sale and presentation of discontinued operations |
|
- |
Interim
reporting |
|
- |
Earnings per
share |
|
- |
Related party
disclosure |
|
A |
|
5 |
Interpretation of Financial Statements
Evaluate and report on the financial position and performance of
companies
Limitation of ratio analysis |
|
A |
|
6 |
Changes in Company Structure
Capital reconstruction and capital reduction
Share buy-back |
|
C |
TEXTS AND REFERENCES
Recommended Text(s)
1. Financial Reporting Standards, MASB
2. Jane Lazar and Tan Lay Leng, Company Accounts and Reporting, Prentice Hall
3. Jane Lazar, Huang Ching Choo and Roshayani Arshad, Financial Reporting
Standards for Malaysia, McGraw Hill
Legislation and Regulations
1. Companies Act 1965
2. Financial Reporting Act 1997
3. Securities Commission Guidelines
4. Bursa Malaysia Listing Requirements
5. Bank Negara Malaysia Guidelines
Additional Reference
1. Relevant Professional Accounting Journal
* Candidates are to refer to the latest edition of texts and materials.
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Notes :
Legislation
Questions involving knowledge of legislation will be based on Malaysian
legislation and candidates are expected to have knowledge of any current
changes in legislation. However, no questions on new legislation will be
set until at least six (6) months have elapsed since the last day of the
month in which Royal Assent was given to the new legislation.
Technical Pronouncements
Candidates are expected to have a detailed knowledge of and capable of
answering questions in respect of the approved accounting standards,
generally accepted accounting principles, regulations and legislation
relating to financial accounting and reporting.
Questions involving knowledge of new approved accounting standards will
not be set until at least 6 months have elapsed since the last day of
the month in which the statement became effective or was published.
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