Cima pass4test ba2 Premium Exam Questions by Adelina q267 vce pdf

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Exam Name:	Fundamentals of management accounting
Exam Code:	BA2 Dumps
Vendor:	CIMA	Certification:	CIMA Certificate
Questions:	392 Q&A's	Shared By:	adelina

Question 36

An organisation produces and sells a single product. The organisation’s management accountant has reported the following information for the most recent period.

Questions 36

Which TWO of the following statements are valid? (Choose two.)

Options:

If the contribution to sales ratio changed to 30%, the breakeven point would become higher.

If the fixed cost changed to $445,000, the breakeven point would not change.

If the sales volume changed to 220,000 units, the breakeven point would not change.

If the selling price changed to $22 per unit, the breakeven point would become lower.

If the variable cost changed to $16 per unit, the breakeven point would become lower.

Discussion

Question 37

Which of the following is NOT a valid purpose of budgeting?

Options:

To communicate targets to managers.

To comply with financial reporting requirements.

To coordinate the different activities of an organisation.

To authorise managers to incur expenditure.

Discussion

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Question 38

Which of the following is a valid definition of a cash budget?

Options:

A detailed budget of estimated cash inflows and outflows incorporating both revenue and capital items.

A detailed budget of estimated cash inflows only, incorporating receipts from cash sales as well as from credit customers.

A detailed budget of estimated cash inflows and outflows incorporating revenue items only.

A detailed budget of estimated cash outflows only, incorporating both depreciation and capital expenditure.

Discussion

Question 39

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

Questions 39