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It is time for you to plan your life carefully. After all, you have to make money by yourself.
CIMAPRO17-BA2-X1-ENG PDF DEMO:
QUESTION NO: 1
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 fixed cost changed to $445,000, the breakeven point would not change.
B. If the variable cost changed to $16 per unit, the breakeven point would become lower.
C. If the selling price changed to $22 per unit, the breakeven point would become lower.
D. If the contribution to sales ratio changed to 30%, the breakeven point would become higher.
E. If the sales volume changed to 220,000 units, the breakeven point would not change.
Answer: D,E
QUESTION NO: 2
The following data are available for a company that produces and sells a single product.
The company's opening finished goods inventory was 2,500 units.
The fixed overhead absorption rate is $8.00 per unit.
The profit calculated using marginal costing is $16,000.
The profit calculated using absorption costing and valuing its inventory at standard cost is $22,400.
The company's closing finished goods inventory is:
A. 1,700 units
B. 3,300 units
C. 3,900 units
D. 8,900 units
Answer: B
QUESTION NO: 3
Which THREE of the following are parts of the master budget? (Choose three.)
A. Cash flow budget.
B. Sales budget.
C. Administration overhead budget.
D. Budgeted statement of profit or loss.
E. Finished goods inventory budget.
F. Budgeted statement of financial position.
Answer: A,D,F
Explanation/Reference: https://www.acowtancy.com/textbook/acca-ma/d2-budget- preparation/master-budgets/notes
QUESTION NO: 4
FILL BLANK
A company uses full cost pricing. The unit costs for product Z are given below.
What price per unit should be charged in order to achieve a profit margin of 20%?
Give your answer to the nearest cent.
Answer: $25
QUESTION NO: 5
Which of the following is NOT a valid purpose of budgeting?
A. To coordinate the different activities of an organisation.
B. To communicate targets to managers.
C. To authorise managers to incur expenditure.
D. To comply with financial reporting requirements.
Answer: C
Explanation/Reference: https://www.acowtancy.com/textbook/acca-pm/budgetary- systems/budgetary-systems/notes
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Updated: May 27, 2022