2020年九月ACCA常规报考时间，你知道吗？

正确答案：
(c) Site restoration
(i) Matters
■ The provision for site restoration represents nearly 2·5% of total assets and is therefore material if it is not
warranted.
■ The estimated cost of restoring the site is a cost directly attributable to the initial measurement of the tangible fixed
asset to the extent that it is recognised as a provision under IAS 37 ‘Provisions, Contingent Liabilities and
Contingent Assets’ (IAS 16 ‘Property, Plant and Equipment’).
■ A provision should not be recognised for site restoration unless it meets the definition of a liability, i.e:
– a present obligation;
– arising from past events;
– the settlement of which is expected to result in an outflow of resources embodying economic benefits.
■ The provision is overstated by nearly $0·34m since Volcan is not obliged to relocate the trees and de facto has
only an obligation of $60,000 as at 31 March 2005 (being the penalty for having felled them). When considered
in isolation, this overstatement is immaterial (representing only 0·2% of total assets and 3·6% of PBT).
■ It seems that even if there are local government regulations calling for site restoration there is no obligation unless
the penalties for non-compliance are prohibitive (unlike the fines for the trees).
■ It is unlikely that commencement of site development has given rise to a constructive obligation, since past actions
(disregarding the preservation of the trees) must dispel any expectation that Volcan will honour any pledge to
restore the valley.
■ Whether commencing development of the site, and destroying the trees, conflicts with any statement of socioenvironmental
responsibility in the annual report.
(ii) Audit evidence
■ A copy of the planning application and permission granted setting out the penalties for non-compliance.
■ Payment of $60,000 to local government in May 2005 agreed to the bank statement.
■ The present value calculation of the future cash expenditure making up the $4·0m provision.
Tutorial note: Evidence supporting the calculation of $0·4m is irrelevant as there is no liability to be provided for.
■ Agreement that the pre-tax discount rate used reflects current market assessments of the time value of money (as
for (a)).
■ Asset inspection at the site as at 31 March 2005.
■ Any contracts entered into which might confirm or dispute management’s intentions to restore the site. For
example, whether plant hire (bulldozers, etc) covers only the period over which the warehouse will be constructed
– or whether it extends to the period in which the valley would be ‘made good’.

正确答案：
(b) The advantage of Hira Ltd not claiming any capital allowances
In the year ending 31 March 2007 Hira Ltd expects to make a tax adjusted trading loss, before deduction of capital
allowances, of ￡55,000 and to surrender the maximum amount possible of trading losses to Belgrove Ltd and Dovedale Ltd.
For the first nine months of the year from 1 April 2006 to 31 December 2006 Hira Ltd is in a loss relief group with Belgrove
Ltd. The maximum surrender to Belgrove Ltd for this period is the lower of:
– the available loss of ￡41,250 (￡55,000 x 9/12); and
– the profits chargeable to corporation tax of Belgrove of ￡28,500 (￡38,000 x 9/12).
i.e. ￡28,500. This leaves losses of ￡12,750 (￡41,250 – ￡28,500) unrelieved.
For the remaining three months from 1 January 2007 to 31 March 2007 Hira Ltd is a consortium company because at least
75% of its share capital is owned by companies, each of which own at least 5%. It can surrender ￡8,938 (￡55,000 x 3/12
x 65%) to Dovedale Ltd and ￡4,812 (￡55,000 x 3/12 x 35%) to Belgrove Ltd as both companies have sufficient taxable
profits to offset the losses. Accordingly, there are no losses remaining from the three-month period.
The unrelieved losses from the first nine months must be carried forward as Hira Ltd has no income or gains in that year or
the previous year. However, the losses cannot be carried forward beyond 1 January 2007 (the date of the change of
ownership of Hira Ltd) if there is a major change in the nature or conduct of the trade of Hira Ltd. Even if the losses can be
carried forward, the earliest year in which they can be relieved is the year ending 31 March 2009 as Hira Ltd is expected to
make a trading loss in the year ending 31 March 2008.
Any capital allowances claimed by Hira Ltd in the year ending 31 March 2007 would increase the tax adjusted trading loss
for that year and consequently the unrelieved losses arising in the first nine months.
If the capital allowances are not claimed, the whole of the tax written down value brought forward of ￡96,000 would be
carried forward to the year ending 31 March 2008 thus increasing the capital allowances and the tax adjusted trading loss,
for that year. By not claiming any capital allowances, Hira Ltd can effectively transfer a current period trading loss, which
would be created by capital allowances, of ￡24,000 (25% x ￡96,000) from the year ending 31 March 2007 to the following
year where it can be surrendered to the two consortium members.

正确答案：

This question requires candidates to consider the law relating to terms in contracts. It specifically requires the candidates to distinguish between terms and mere representations and then to establish the difference between express and implied terms in contracts.
(a) As the parties to a contract will be bound to perform. any promise they have contracted to undertake, it is important to distinguish between such statements that will be considered part of the contract, i.e. terms, and those other pre-contractual statements which are not considered to be part of the contract, i.e. mere representations. The reason for distinguishing between them is that there are different legal remedies available if either statement turns out to be incorrect.
A representation is a statement that induces a contract but does not become a term of the contract. In practice it is sometimes difficult to distinguish between the two, but in attempting to do so the courts will focus on when the statement was made in relation to the eventual contract, the importance of the statement in relation to the contract and whether or not the party making the statement had specialist knowledge on which the other party relied (Oscar Chess v Williams (1957) and Dick
Bentley v Arnold Smith Motors (1965)).
(b) Express terms are statements actually made by one of the parties with the intention that they become part of the contract and
thus binding and enforceable through court action if necessary. It is this intention that distinguishes the contractual term from
the mere representation, which, although it may induce the contractual agreement, does not become a term of the contract.
Failure to comply with the former gives rise to an action for breach of contract, whilst failure to comply with the latter only gives rise to an action for misrepresentation.

Such express statements may be made by word of mouth or in writing as long as they are sufficiently clear for them to be enforceable. Thus in Scammel v Ouston (1941) Ouston had ordered a van from the claimant on the understanding that the balance of the purchase price was to be paid ‘on hire purchase terms over two years’. When Scammel failed to deliver the van Ouston sued for breach of contract without success, the court holding that the supposed terms of the contract were too
uncertain to be enforceable. There was no doubt that Ouston wanted the van on hire purchase but his difficulty was that
Scammel operated a range of hire purchase terms and the precise conditions of his proposed hire purchase agreement were
never sufficiently determined.
Implied terms, however, are not actually stated or expressly included in the contract, but are introduced into the contract by implication. In other words the exact meaning and thus the terms of the contract are inferred from its context. Implied terms can be divided into three types.
Terms implied by statute
In this instance a particular piece of legislation states that certain terms have to be taken as constituting part of an agreement, even where the contractual agreement between the parties is itself silent as to that particular provision. For example, under s.5 of the Partnership Act 1890, every member of an ordinary partnership has the implied power to bind the partnership in a contract within its usual sphere of business. That particular implied power can be removed or reduced by the partnership agreement and any such removal or reduction of authority would be effective as long as the other party was aware of it. Some implied terms, however, are completely prescriptive and cannot be removed.
Terms implied by custom or usage
An agreement may be subject to terms that are customarily found in such contracts within a particular market, trade or locality. Once again this is the case even where it is not actually specified by the parties. For example, in Hutton v Warren (1836), it was held that customary usage permitted a farm tenant to claim an allowance for seed and labour on quitting his tenancy. It should be noted, however, that custom cannot override the express terms of an agreement (Les Affreteurs Reunnis SA v Walford (1919)).
Terms implied by the courts Generally, it is a matter for the parties concerned to decide the terms of a contract, but on occasion the court will presume that the parties intended to include a term which is not expressly stated. They will do so where it is necessary to give business efficacy to the contract.

Whether a term may be implied can be decided on the basis of the officious bystander test. Imagine two parties, A and B, negotiating a contract, when a third party, C, interrupts to suggest a particular provision. A and B reply that that particular term is understood. In just such a way, the court will decide that a term should be implied into a contract.
In The Moorcock (1889), the appellants, owners of a wharf, contracted with the respondents to permit them to discharge their ship at the wharf. It was apparent to both parties that when the tide was out the ship would rest on the riverbed. When the tide was out, the ship sustained damage by settling on a ridge. It was held that there was an implied warranty in the contract that the place of anchorage should be safe for the ship. As a consequence, the ship owner was entitled to damages for breach of that term.
Alternatively the courts will imply certain terms into unspecific contracts where the parties have not reduced the general agreement into specific details. Thus in contracts of employment the courts have asserted the existence of implied terms to impose duties on both employers and employees, although such implied terms can be overridden by express contractual provision to the contrary.