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Cima P1 Exam Questions

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Cima p1 exam questions

Pass CIMA P1 - Management Accounting exam injust

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100% REAL EXAM QUESTIONSANSWERS

CIMA P1 - ManagementAccounting

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SampleQuestions


Cima p1 exam questions

Question No1:

N prepares budgets on an annual basis by using the budget from the previous year, and then adjusting it for growth andinflation.

This is an exampleof:

An incrementalbudget

A rollingbudget

A flexedbudget

Zero basedbudgeting

Answer: A Question No2:

What type of budget is prepared on an annual basis taking current year operating results and adjusting them for expected growth andinflation?

Rollingbudget

Incrementalbudget

Flexedbudget

Zero-basedbudget

Answer: B Question No3:

Which of the following would cause an adverse fixed overhead volumevariance?

Actual output was higher thanbudgeted

Actual output was lower thanbudgeted

Actual expenditure was higher thanbudgeted

Actual expenditure was lower thanbudgeted

Answer: B Question No4:

Which one of the following would NOT be included in a decision to close a division of an organization?

Head office overheads absorbed on the basis of the number of unitsproduced

Sale of unwanted non-currentassets

Redundancy pay for employees of thedivision

Fixed costs directly attributable to thedivision


Cima p1 exam questions

Answer: A Question No5:

In short-term decision making, which TWO of the following are relevantcosts?

Sunkcosts

Avoidablecosts

Committedcosts

Opportunitycosts

Notionalcosts

Answer: B, D Question No6:

A company manufactures a single product. The cost card for a unit of this product is as follows: During month 6, finished goods inventory increased by 350units.

By how much would the profit differ in month 6 if finished goods inventory was valued at standard marginal cost rather than standard absorptioncost?

$1,050lower

$1,050higher

$2,450lower

$2,450higher


Cima p1 exam questions

Answer: A Question No7:

A manufacturing company uses activity-based costing to charge overheads to its three products. One of the main activities is quality inspection. The cost driver is the number of inspections and the budgeted cost is$211,200.

Additional budgeteddata.

What is the budgeted quality inspection cost for a unit of productF?

A. $6.60 B. $3.30 C. $9.60 D. $4.80

Answer: A Question No8:

Which of the statements about allocation of joint costs to products are true and which are false?


Cima p1 exam questions

Answer

Question No9:

State whether the following costs are relevant or non-relevant in the context of short-term decision makingscenarios.


Cima p1 exam questions

Answer:


Cima p1 exam questions

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