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CIMA BA2 – Fundamentals of Management Accounting Question Tutorial Sample Questions:
1. A company that uses standard costing wishes to reconcile the difference between the profit for a period calculated using absorption costing with that calculated using marginal costing.
Which TWO of the following will NOT help with this reconciliation? (Choose two.)
A) The opening inventory.
B) The under or over absorbed fixed production overheads.
C) The actual fixed production overheads.
D) The closing inventory.
E) The fixed production overhead absorption rate.
2. A small airport's management accountant has prepared the following management report on the performance of its four retail outlets.
Which retail outlet has the highest contribution per square metre?
A) Outlet B
B) Outlet C
C) Outlet D
D) Outlet A
3. A company's policy is to hold closing inventory each month equal to 10% of the next month's budgeted sales volume. The budgeted sales volumes of product Q for months 1 and 2 are 1,660 units and 2,300 units respectively.
The production budget for product Q for month 1 is:
A) 1,890 units
B) 1,596 units
C) 1,494 units
D) 1,724 units
4. An organisation produces and sells a single product. The organisation's management accountant has reported the following information for the most recent period.
Which TWO of the following statements are valid? (Choose two.)
A) If the selling price changed to $22 per unit, the breakeven point would become lower.
B) If the contribution to sales ratio changed to 30%, the breakeven point would become higher.
C) If the fixed cost changed to $445,000, the breakeven point would not change.
D) If the sales volume changed to 220,000 units, the breakeven point would not change.
E) If the variable cost changed to $16 per unit, the breakeven point would become lower.
5. FILL BLANK
A company absorbs production overhead using a direct labour hour rate. Data for the latest period are as follows:
What is the overhead absorption rate per direct labour hour? Give your answer to one decimal place.
Solutions:
| Question # 1 Answer: C,E | Question # 2 Answer: B | Question # 3 Answer: C | Question # 4 Answer: B,D | Question # 5 Answer: Only visible for members |
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