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

1. A company uses an integrated accounting system. The following data relate to the latest period.

At the end of the period, the entry in the production overhead control account in respect of under or over absorbed overheads will be:

A) $2,208 debit.
B) $22,672 credit.
C) $2,208 credit.
D) $22,672 debit.

2. FILL BLANK
The records of a manufacturing company show the following relationship between total cost and output.

The budgeted output for Period 3 is 27,000 units. Assume that previous cost behaviour patterns will continue.
What is the total budgeted cost for Period 3?
Give your answer in the nearest whole number.

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

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

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

5. Which TWO of the following are characteristics of Management Accounts? (Choose two.)

A) Statutory requirement
B) Provide information to managers
C) Provide information needed by shareholders
D) Governed by rules and regulations
E) Internally focused

Solutions: