Pass with professional CIMAPRO15-P01-X1-ENG actual quiz materials

CIMA CIMAPRO15-P01-X1-ENG Exam Overview:

CIMA CIMAPRO15-P01-X1-ENG Exam Syllabus Topics:

CIMA P1 - Management Accounting Question Tutorial Sample Questions:

1. A company produces a product that requires two materials, Material A and Material B. Details of the material quantities and costs for August are given in the table below.

Budgeted and actual output of the product for August was 12,000 units.
The material yield variance for August is:

A) $1,340 A
B) $1,740 A
C) $1,590 A
D) $1,340 F
E) $1,840 A

2. A company produces trays of pre-prepared meals that are sold to restaurants and food retailers. Three varieties of meals are sold: economy, premium and deluxe.


Discuss the benefits of flexible budgeting for planning and control purposes.
Select all the true statements.

A) The fixed budget however provides more insight into actual performance.
B) If actual sales revenue is compared to a fixed budget it is possible to tell whether a favourable sales variance is due to an increase in units sold or an increase in sales price.
C) If a flexible budget is prepared then the budget variances calculated will provide a better indication of performance since actual results will be compared against an appropriate benchmark.
D) Reporting against a fixed budget tells management nothing about the efficiency of operations.
E) If sales volumes were well above budget, adverse variable cost variances will probably be reported, against the fixed budget, since more variable costs have to be incurred to support the higher level of activity.
F) A fixed budget will provide meaningful control information when actual activity differs from budget and variable costs are significant.

3. EF manufactures and sells three products, X, Y and Z. The following production overhead costs are budgeted for next year:

Required:
Calculate the total budgeted production overhead cost for each product using activity based budgeting.

A) The total budgeted production overhead cost was $ 1 188 000
B) The total budgeted production overhead cost was $ 1 285 000
C) The total budgeted production overhead cost was $ 1 258 000
D) The total budgeted production overhead cost was $ 2 195 000
E) The total budgeted production overhead cost was $ 1 305 000

4. A company produces three products D, E and F. The statement below shows the selling price and product costs per unit for each product, based on a traditional absorption costing system.

Each of the products is produced using Process A which has a maximum capacity of 2,500 hours per period.
If a traditional contribution approach is used, the ranking of products, in order of priority, for the profit maximizing product mix will be:

A) E, D, F
B) D, E, F
C) F, D, F
D) D, E, F

5. A company is preparing its annual budget and is estimating the number of units of Product W that it will sell in each quarter of year 2. Past experience has shown that the trend for sales of the product is represented by the following relationship:

Calculate the expected unit sales of Product W for each quarter of year 2, after adjusting for seasonal variations using the multiplicative model.

A) The sales forecast for year 2 Quarter 4 = 35,100 units
B) The sales forecast for year 2 Quarter 4 = 25,100 units
C) The sales forecast for year 2 Quarter 4 = 22,600 units
D) The sales forecast for year 2 Quarter 4 = 38,100 units

Solutions: