Free CIMA CIMAPRO19-F02-1-ENG Exam Questions

Become CIMA Certified with updated CIMAPRO19-F02-1-ENG exam questions and correct answers

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Total 270 Questions | Updated On: Oct 27, 2026

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Question 1

STacquired 70% of the equitysharesofDE for $87,500 on 30 September 20X5. Atthe date of acquisition the net assets of DE were $54,700 and the fair value of the non controlling interest wasmeasured at $19,700. There has been no impairment of goodwill.

On 30 September 20X9 ST disposedofits entire investmentinDE for $262,500 whenthe net assets of DEwere $96,250.

What is the gain or loss on disposal of DEthat will be included in ST'sconsolidated profit or lossfor the year ended30 September 20X9?

A : $113,750 loss

B : $166,250 loss

C : $166,250 gain

D : $113,750 gain

Answer: D

Question 2

Which THREE of the followingwould typically indicate a finance lease?

A : asset with a useful life of ten years is being leased for ten years.

B : lessor is responsible for the annual maintenance of the asset.

C : lessee has the option to buy the asset at the end of the lease for $1.

D : lease contract for an asset includes an upgrade to the asset every two years.

E : leased asset has been specifically modified for the lessee's use.

Answer: A,C

Question 3

Which TWO of the following are true in relation to IAS21 The Effects of Changes in Foreign Exchange Rates when consolidating an overseas subsidiary?

A : urrent period exchange gain or loss is shown within the consolidated statement of comprehensive income within other comprehensive income.

B : odwill is re-translated at the end of each reporting period and reflected at the period end exchange rate in the consolidated statement of financial position.

C : Assets and liabilities of the subsidiary are translated at each reporting date using the average exchange rate for the period.

D : odwill is reflected in the consolidated statement of financial position translated at the exchange rate on the date of acquisition.

E : statement of profit or loss of the subsidiary is translated for the reporting period using the closing exchange rate.

Answer: A,B

Question 4

ST acquired 75% of the 2 million $1 equity shares of CD on 1 January 20X3, when the retained earnings of CD were S3,550,000. CD has no other reserves.

ST paid $5,600,000 for the shares in CD and the non controlling interest was measured at its fair value of S1,400,000 at acquisition.

At 1 January 20X3, the fair value of CD's net assets were equal to their carrying amount, with the exception of a building. This building had a fair value of $1,000,000 in excess of its carrying amount and a remaining useful life of 25 years on 1 January 20X3.

At 31 December 20X5, the retained earnings of ST and CD were $8,500,000 and $5,250,000 respectively.

What is thefigure fornon-controlling interestto be shown in the consolidated statement of financial position of STas at 31 December 20X5?

A : $1,795,000

B : $1,607,500

C : $1,825,000

D : $1,805,000

Answer: A

Question 5

Whatis meant by the term 'a placing of ordinary shares'?

A : lling new ordinary shares to a financial institution on a pre-arranged basis.

B : lling new ordinary shares directly to the public.

C : lling existing ordinary shares to new investors through a stock exchange.

D : lling new ordinary shares to existing shareholders.

Answer: A

Page: 1 / 54

Total 270 Questions | Updated On: Oct 27, 2026

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