CA ANZ Core 3: FAR case studies
CA ANZ Core 3: FAR · Put your knowledge to work in context.
Core 3: Financial Accounting and Reporting (FAR) is one of the technical modules in the CA ANZ CA Program, the qualification pathway that candidates complete on the way to Chartered Accountants Australia and New Zealand membership. It suits graduates and early-career accountants who already understand double-entry bookkeeping and basic financial statements and now need to apply Australian Accounting Standards to realistic, judgement-heavy scenarios. The CA ANZ Core 3: FAR case studies are 5 cases and about 2,928 words.
1Revenue Recognition on a Multi-Element Software Contract
Nova Retail Ltd signs a three-year contract with a customer on 1 July 20X5. The contract bundles: (a) a perpetual software licence (stand-alone selling price 400,000); (b) two years of implementation and configuration services ( 180,000); and (c) three years of post-contract support ( 120,000).
665 words, about 3 min2Impairment Testing of a Cash-Generating Unit with Goodwill
Coastal Manufacturing Ltd operates three divisions treated as separate cash-generating units (CGUs): North, South and West. Coastal acquired South two years ago, recognising goodwill of 150,000 allocated to the South CGU.
598 words, about 3 min3Lease Classification and Sale-and-Leaseback Judgement
Harbour Logistics Ltd sells its warehouse to an investor for 5,000,000 (fair value 5,000,000) and immediately leases it back for 10 years. Annual payments are 420,000, payable in arrears.
463 words, about 2 min4Deferred Tax on a Business Combination and Foreign Subsidiary Translation
Pacific Group Ltd acquires 100% of KiwiCo, a New Zealand subsidiary, on 1 January 20X5 for NZ 8,000,000. At acquisition, KiwiCo's identifiable net assets have a fair value of NZ 7,200,000, including plant with a fair value NZ 1,000,000 above its tax base of NZ 600,000 (carrying amount NZ 1,600,000).
576 words, about 3 min5Provisions and Contingent Liabilities in a Product Recall
Tasman Appliances Ltd sold 50,000 kettles during 20X5. In November 20X5 a design defect was identified that can cause overheating.
626 words, about 3 min