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CIMA BA2 - Fundamentals of Management Accounting BA2 - Fundamentals of Management Accounting Dumps in PDF

Free CIMA BA2 - Fundamentals of Management Accounting Real Questions (page: 3)

BA2 - Fundamentals of Management Accounting PDF — 392 Questions

An increase in the selling price per unit, will cause the point at which the line plotted on a profit/volume (PV) graph intersects the horizontal axis to:

  1. Move to the left
  2. Move to the right
  3. Double
  4. Stay where it is

Answer(s): A



A company currently allows a discount of 20% to customers who pay at the time of purchase. If 30% of customers pay immediately, the extra sales needed in July to increase the cash receipts in that month by £6,000 are:

  1. £7500
  2. £20000
  3. £25000
  4. £30000

Answer(s): C



Refer to the exhibit.



WS operates an integrated accounting system. Transactions relating to production overheads for the month of May were as follows:

Indirect Material costs were $15,000

Indirect Labour Costs were $45,000

Production overheads of $58,000 were incurred during the period.
Depreciation of factory machinery amounted to $32,000.

Overheads costs absorbed by production using a standard absorption rate was $164,000 for the period.

What are the correct entries to record the absorption of production overheads for the period?

The correct set of entries to record the absorption of production overheads for the period is:

  1. A
  2. B
  3. C
  4. D

Answer(s): C



Refer to the exhibit.



SP, a manufacturing company, uses a standard costing system. The standard variable production overhead cost is based on the following budgeted figures for the year:

During the month of September, 5,300 actual hours were worked and 5,600 standard hours of output were produced. Total variable production overhead costs in September were $8,600.

What was the total variable production overhead variance in September?

  1. $200 adverse
  2. $650 adverse
  3. $650 favourable
  4. $200 favourable

Answer(s): A



PQR Manufacturing Ltd. has £3,000,000 of fixed costs for the forthcoming period. The company produces a single product 'X', which has a selling price of £75 per unit and total cost of £50.

75% of the total cost represents variable costs.

What are the break-even units?

  1. 80,000
  2. 240,000
  3. 120,000
  4. 40,000

Answer(s): A



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