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CIMA BA2 Exam Syllabus Topics:

CIMA Fundamentals of management accounting Sample Questions:

1. It is company policy that the closing inventory of finished goods must be equal to 10% of the following month's budgeted sales. The budget sales for November and December are 8,000 and 9,000 units respectively.
The budgeted production for November will be:

A) 8,100 units
B) 8,900 units
C) 1,700 units
D) 900 units

2. A company's cash budgetary plans show that there will be surplus cash for three months of the forthcoming year.
Which THREE of the following would be appropriate management actions in this situation?

A) Reduce the finished goods inventory to save storage costs
B) Repay a long-term loan to reduce interest costs
C) Offer a longer credit period to new customers to boost sales
D) Invest in a short-term deposit account
E) Pay suppliers early to obtain prompt payment discounts
F) Purchase new non-current assets to increase efficiency

3. Which THREE of the following cost items would normally be classified as fixed costs?

A) Rent of the factory
B) Depreciation of machinery
C) Factory manager's salary
D) Direct materials
E) Direct Labour
F) Royalties payable on goods produced

4. Which ONE of the following is a characteristic of operational financial information?

A) Provided mainly to senior managers
B) Provides information for long term decision making
C) Provided infrequently and at irregular intervals
D) Provides detailed information focussed on one business area

5. 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 A
B) Outlet B
C) Outlet D
D) Outlet C

Solutions: