CIMA BA2 – Fundamentals of Management Accounting Question Tutorial : CIMAPRO17-BA2-X1-ENG

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CIMA CIMAPRO17-BA2-X1-ENG Exam Syllabus Topics:

CIMA BA2 – Fundamentals of Management Accounting Question Tutorial Sample Questions:

1. Which of the following is a relevant cost?

A) A historical cost
B) A committed cost
C) An incremental cost
D) A sunk cost

2. Which type of budget would be the most suitable for a cash budget?

A) Fixed budget
B) Rolling budget
C) Incremental budget
D) Flexible budget

3. The International Federation of Accountants (IFAC) stated that it was important that "accountants in business" should understand what the drivers of stakeholder value are. Which of the following statements is valid?

A) Only an organisation's shareholders and employees can be considered to be its stakeholders.
B) Stakeholders must be external to the organisation.
C) Only an organisation's shareholders can be considered to be its stakeholders.
D) Anyone with an interest in an organisation can be considered to be one of its stakeholders.

4. A company has two production departments and two service departments (Maintenance and Stores). The overhead costs of each of the departments are as follows.

The following equations represent the reapportionment of each of the service department overheads to the other.
M = 4,700 + 0.1S
S = 5,800 + 0.2M
Where M = total Maintenance overhead after reapportionment from Stores
S = total Stores overhead after reapportionment from Maintenance
60% of the total Maintenance overhead and 50% of the total Stores overhead are to be apportioned to Production Department 1.
The total production overhead for Production Department 1 after reapportionment of the service departments' overhead costs is closest to:

A) $75,500
B) $70,720
C) $71,821
D) $71,672

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: