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CIMA CIMAPRO17-BA2-X1-ENG Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Topic 1: Budgeting and Forecasting | - Budget preparation
|
| Topic 2: Accounting for Materials, Labour and Overheads | - Material control
|
| Topic 3: Costing Methods | - Marginal costing
|
| Topic 4: Introduction to Cost Accounting | - Cost units and cost centers
|
| Topic 5: Decision Making Techniques | - Cost analysis for decisions
|
CIMA BA2 – Fundamentals of Management Accounting Question Tutorial Sample Questions:
A confectionery manufacturer is considering adding a new product to the current range. Forecast data for the product are as follows.
Incremental fixed costs attributable to the new product are forecast to be $24,000 each period.
The forecast sales volume of 180 units is insufficient to achieve the target profit of $10,000 each period.
Which of the following statements is correct?
- A. If the fixed cost is changed to $20,000 the sales volume required to break even will decrease.
- B. If the forecast sales volume is changed to 190 units the sales volume required to achieve the target profit will decrease.
- C. The margin of safety is negative because the target profit will not be achieved from the forecast sales volume.
- D. If the selling price is changed to $510 the sales volume required to achieve the target profit will increase.
Correct Answer: B 🗳️
A company is appraising two projects. Both projects are for five years. Details of the two projects are as follows.
Based on the above information, which of the following statements is correct?
- A. The annuity factor for project A would double the annuity factor for project B.
- B. An annuity could be used to calculate the net present value of the projects.
- C. A perpetuity could be used to calculate the net present value of the projects.
- D. The annuity factor for project A would be lower than the annuity factor for the project B.
Correct Answer: B 🗳️
The following is an extract from a budgetary control report for the latest period:
The budget variance for prime cost is:
- A. $3,260 favourable
- B. $3,260 adverse
- C. $18,580 adverse
- D. $3,340 adverse
Correct Answer: C 🗳️
A company produces a single product for which the following cost data are available.
Analysis by the management accountant has shown that 100% of direct material cost and 50% of direct labour cost are variable costs. 50% of production overhead and 100% of selling and distribution overhead are variable costs.
What is the marginal cost per unit?
- A. $6
- B. $8
- C. $7
- D. $9
Correct Answer: C 🗳️
DRAG DROP
A company manufactures three products using the same direct labour which will be in short supply next month.
No inventories are held. Data for the three products are as follows:
The fixed costs are all committed costs and cannot now be altered for the next month.
Place the labels against the correct product to indicate the order of priority for manufacture that will maximise the profit for the next month.
Select and Place:
Correct Answer:
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