Overview
CAF-1 Financial Accounting and Reporting replaced FAR-1 under ICAP's 2025 Education Scheme. Both 2026 papers followed the same shape: nine compulsory questions, a 10-mark MCQ block, five short Section A questions of 6 to 10 marks, then three long Section B questions worth 15 to 20 marks each.
The long questions are where the paper is won or lost. In both sittings the 20-mark 'prepare the statements from a trial balance' question had the lowest pass rate in the paper (9% and 12%), so practising complete, balanced statements with referenced workings is the single best use of revision time.
Written exam · 100 marks · 3 hours 15 minutes (incl. 15 minutes reading) · Section A short questions + Section B long questions
Worth knowing
- IAS 38 Intangible Assets carried 15 marks in Spring 2026 (Q7). The Spring 2027 CAF syllabus lists IAS 38 under CAF-6 and not in CAF-1's examinable knowledge reference, so check the current syllabus before revising it for CAF-1.
- Only two sittings exist under the 2025 scheme so far. Older FAR-1 papers (2019–2025) are on ICAP's legacy past-papers page but cover a different syllabus, so they are not mixed into this index.
Sittings and official links
Each paper link opens the official PDF on ICAP's website. Our analysis page for each sitting lists every question with its topic, marks and pass rate.
| Sitting | Exam date | Question paper | Examiners' comments | Suggested answers | Pass rate | Our analysis |
|---|---|---|---|---|---|---|
| Autumn 2026 | 17 August 2026 | Portal login required | 35% | Autumn 2026 analysis | ||
| Spring 2026 | 2 March 2026 | Portal login required | 32% | Spring 2026 analysis |
Suggested answers and marking plans sit in ICAP's student area (CRN login required).
Yearly topical index
Marks per area in each sitting, from our reading of the official papers. Most-examined areas first. MCQ items are counted under their own area. Tap an area to practise its chapter MCQs.
| Area | Spring 2026 | Autumn 2026 | Total | Sittings |
|---|---|---|---|---|
| Preparing the SOFP and SOPL (IAS 1) | 20 | 20 | 40 | 2/2 |
| Statement of cash flows (IAS 7) | 7 | 16 | 23 | 2/2 |
| Equity transactions and SOCE | 16 | 2 | 18 | 2/2 |
| Property, plant and equipment (IAS 16) | 2 | 15 | 17 | 2/2 |
| Borrowing costs (IAS 23) | 8 | 7 | 15 | 2/2 |
| Intangible assets (IAS 38) | 15 | – | 15 | 1/2 |
| Conceptual and regulatory framework | 2 | 9 | 11 | 2/2 |
| Not-for-profit organisations (ASNPO) | 8 | 2 | 10 | 2/2 |
| Investment property (IAS 40) | 10 | – | 10 | 1/2 |
| Ratio analysis and working capital | – | 10 | 10 | 1/2 |
| Government grants (IAS 20) | 1 | 8 | 9 | 2/2 |
| Impairment of assets (IAS 36) | 8 | 1 | 9 | 2/2 |
| Policies, estimates and errors (IAS 8) | – | 8 | 8 | 1/2 |
| Agriculture (IAS 41) | 1 | 2 | 3 | 2/2 |
| Incomplete records | 2 | – | 2 | 1/2 |
Question-by-question index
| Sitting | Q | Main area | Marks | Pass rate | Walkthrough |
|---|---|---|---|---|---|
| Autumn 2026 | Q1 | MCQs (mixed areas) | 10 | 57% | Open |
| Autumn 2026 | Q2 | Borrowing costs (IAS 23) | 7 | 61% | Open |
| Autumn 2026 | Q3 | Government grants (IAS 20) | 8 | 77% | Open |
| Autumn 2026 | Q4 | Conceptual and regulatory framework | 8 | 26% | Open |
| Autumn 2026 | Q5 | Policies, estimates and errors (IAS 8) | 8 | 26% | Open |
| Autumn 2026 | Q6 | Ratio analysis and working capital | 8 | 43% | Open |
| Autumn 2026 | Q7 | Statement of cash flows (IAS 7) | 16 | 59% | Open |
| Autumn 2026 | Q8 | Preparing the SOFP and SOPL (IAS 1) | 20 | 12% | Open |
| Autumn 2026 | Q9 | Property, plant and equipment (IAS 16) | 15 | 45% | Open |
| Spring 2026 | Q1 | MCQs (mixed areas) | 10 | 72% | Open |
| Spring 2026 | Q2 | Investment property (IAS 40) | 10 | 50% | Open |
| Spring 2026 | Q3 | Impairment of assets (IAS 36) | 8 | 77% | Open |
| Spring 2026 | Q4 | Borrowing costs (IAS 23) | 8 | 31% | Open |
| Spring 2026 | Q5 | Not-for-profit organisations (ASNPO) | 8 | 29% | Open |
| Spring 2026 | Q6 | Statement of cash flows (IAS 7) | 6 | 20% | Open |
| Spring 2026 | Q7 | Intangible assets (IAS 38) | 15 | 46% | Open |
| Spring 2026 | Q8 | Preparing the SOFP and SOPL (IAS 1) | 20 | 9% | Open |
| Spring 2026 | Q9 | Equity transactions and SOCE | 15 | 22% | Open |
Trends across sittings
Patterns in the 2 indexed sittings. With so few papers under the current scheme, treat these as patterns to inform revision, not predictions of what will be set.
In every sitting (10)
- Preparing the SOFP and SOPL (IAS 1) – 20 marks on average
- Statement of cash flows (IAS 7) – 11.5 marks on average
- Equity transactions and SOCE – 9 marks on average
- Property, plant and equipment (IAS 16) – 8.5 marks on average
- Borrowing costs (IAS 23) – 7.5 marks on average
- Conceptual and regulatory framework – 5.5 marks on average
- Not-for-profit organisations (ASNPO) – 5 marks on average
- Government grants (IAS 20) – 4.5 marks on average
- Impairment of assets (IAS 36) – 4.5 marks on average
- Agriculture (IAS 41) – 1.5 marks on average
Rotating (5)
- Intangible assets (IAS 38) – Spring 2026
- Investment property (IAS 40) – Spring 2026
- Ratio analysis and working capital – Autumn 2026
- Policies, estimates and errors (IAS 8) – Autumn 2026
- Incomplete records – Spring 2026
Not yet examined (0)
Every area we track has appeared at least once.
Examined before but absent from Autumn 2026: Intangible assets (IAS 38), Investment property (IAS 40), Incomplete records. A skipped area is a reasonable candidate to revise early, but a gap in a handful of papers predicts nothing, so don't drop any syllabus area.
Average marks by area
Average marks per sitting across the indexed papers.
What to prioritise
- Heaviest areas. Preparing the SOFP and SOPL (IAS 1) (20 marks a sitting); Statement of cash flows (IAS 7) (11.5 marks a sitting); Equity transactions and SOCE (9 marks a sitting); Property, plant and equipment (IAS 16) (8.5 marks a sitting). Between them these carry about 49 of every 100 marks.
- Where candidates lose the most. The lowest published pass rates were Spring 2026 Q8 (Preparing the SOFP and SOPL (IAS 1), 9%); Autumn 2026 Q8 (Preparing the SOFP and SOPL (IAS 1), 12%); Spring 2026 Q6 (Statement of cash flows (IAS 7), 20%); Spring 2026 Q9 (Equity transactions and SOCE, 22%). Work through those walkthroughs first.
- Don't skip the short areas. The MCQs and shorter questions regularly test smaller areas such as Ratio analysis and working capital, Policies, estimates and errors (IAS 8), Incomplete records. Chapter MCQs are the fastest way to cover them.
- Check the syllabus. IAS 38 Intangible Assets carried 15 marks in Spring 2026 (Q7). The Spring 2027 CAF syllabus lists IAS 38 under CAF-6 and not in CAF-1's examinable knowledge reference, so check the current syllabus before revising it for CAF-1.
Syllabus weightings
Weightings from ICAP's published syllabus, against the marks actually set in each sitting (our classification of each question into a syllabus section).
| Section | Syllabus weight | Spring 2026 | Autumn 2026 |
|---|---|---|---|
| A. Preparation of statements of financial position and profit or loss | 30–40% | 32 | 31 |
| B. Statements of changes in equity and cash flows (incl. IAS 8, ratios) | 30–40% | 23 | 36 |
| C. Accounting for non-current assets | 25–35% | 45 | 33 |
Practice questions on the most-examined areas
Original exam-style questions written by us, with our own numbers. Try each before opening the solution.
Original practice question
Clearing a suspense account
A trial balance shows a suspense credit of Rs 52m. It holds the proceeds of a rights issue of 4m shares at Rs 15 (par Rs 10) and supplies bought for Rs 8m. Half the supplies were used by the sales team, a quarter in building a CWIP asset, and a quarter are unused. Separately, monthly loan interest of Rs 5m is paid on the first day of the following month; 11 payments (Rs 55m) were recorded. Goods costing Rs 50m can be sold for Rs 45m after Rs 7m of repairs.
Required: Give the entries needed.
Show worked solution
| Item | Dr | Cr | Rs m |
|---|---|---|---|
| Rights issue | Suspense | Share capital 40 / Share premium 20 | 60 |
| Supplies | Distribution costs 4 / CWIP 2 / Inventory 2 | Suspense | 8 |
| Interest accrual | Finance cost | Accrued interest | 5 |
| NRV write-down: 50 − (45 − 7) | Cost of sales | Inventory | 12 |
Suspense: credit 52 + debit 60 − credit 8 = nil.
Answer: Suspense clears to nil; finance cost becomes Rs 60m; inventory falls by Rs 12m through cost of sales.
Topic seen in CAF-1 Autumn 2026 Q8 – full walkthrough there.
Original practice question
Reconciling PPE, interest and tax
PPE carrying amount: opening Rs 500m, closing Rs 560m. Depreciation Rs 70m. A machine with carrying amount Rs 30m was sold for Rs 40m. Capital creditors: opening Rs 15m (paid this year), closing Rs 20m. Interest expense Rs 40m; interest payable fell from Rs 8m to Rs 5m. Tax expense Rs 60m; tax payable rose from Rs 25m to Rs 30m.
Required: Calculate cash paid for PPE, interest paid and tax paid.
Show worked solution
| Working | Rs m |
|---|---|
| Additions: 560 − 500 + 70 + 30 | 160 |
| Less unpaid at year-end | (20) |
| Add opening creditor paid | 15 |
| Cash paid for PPE | 155 |
| Interest paid: 8 + 40 − 5 | 43 |
| Tax paid: 25 + 60 − 30 | 55 |
Gain on disposal Rs 10m is deducted in operating activities; proceeds Rs 40m go to investing.
Answer: PPE Rs 155m, interest Rs 43m, tax Rs 55m.
Topic seen in CAF-1 Autumn 2026 Q7 – full walkthrough there.
Original practice question
SOCE with an inventory error and share issues
Noor Ltd: at 1 January 2024 share capital Rs 1,000m (100m shares of Rs 10), share premium Rs 300m, retained earnings Rs 600m. 2024 profit was reported as Rs 150m, but closing inventory at 31 December 2024 was overstated by Rs 10m. A dividend of Re 1 per share for 2023 was declared in April 2024.
In 2025: a 1-for-5 bonus issue from share premium in March; a 1-for-4 rights issue at Rs 12 in October with costs of Rs 3m; draft profit Rs 220m (before fixing the error); an interim dividend of Re 0.50 per share declared in December.
Required: Prepare the SOCE for 2025 with comparatives.
Show worked solution
Error: 2024 profit falls by Rs 10m to Rs 140m. 2025 cost of sales used the overstated opening inventory, so 2025 profit rises by Rs 10m to Rs 230m. Shares: 100m + 20m bonus = 120m; rights 30m; 150m at the dividend date.
| Rs m | Share capital | Share premium | Retained earnings |
|---|---|---|---|
| 1 January 2024 | 1,000 | 300 | 600 |
| Profit 2024 (restated) | 140 | ||
| Final dividend 2023 (100m × Re 1) | (100) | ||
| 31 December 2024 (restated) | 1,000 | 300 | 640 |
| Bonus issue 1:5 | 200 | (200) | |
| Rights issue 1:4 at Rs 12 | 300 | 60 | |
| Rights issue costs | (3) | ||
| Profit 2025 | 230 | ||
| Interim dividend (150m × Re 0.50) | (75) | ||
| 31 December 2025 | 1,500 | 157 | 795 |
In the published SOCE, show the 31 December 2024 retained earnings as Rs 650m previously reported, less Rs 10m restatement.
Answer: Closing equity: share capital Rs 1,500m, share premium Rs 157m, retained earnings Rs 795m.
Topic seen in CAF-1 Spring 2026 Q9 – full walkthrough there.
CAF-1 chapter MCQs
Free MCQs with explanations for every area in the index.