CIMA Management Accounting - CIMAPRO19-P01-1 Exam Practice Test

Place the type of budget or cost against its definition.

When a moving average is plotted onto a graph, where should the plotted points be located?

Sales volumes reported for the latest period are used by managers as the basis to forecast sales for the forthcoming period. The forecasts are compared with the budgeted sales and plans are adjusted to ensure that the budgeted sales are achieved.
This is an example of:

A time series (TS) is made up of two main components i.e. trend (T) and the seasonal variation (SV).
The equation that represents the seasonal variation under the additive model is:

When preparing data for a short term decision, which THREE of the following are relevant costs?

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 company makes a product using two materials, X and Y.
The standard materials required for one unit of the product are:

What is the direct material mix variance for Material X, using the individual valuation basis?

A completed unit of Product A requires 9 kg of material and 10% of material is wasted in the production process.
Material has a standard cost of $5 per kg.
Product A also requires 4 labour hours at a standard cost of $10 per labour hour and variable overheads at a standard cost of $2 per labour hour What is the standard variable production cost per unit of Product A?

D3 makes 2 types of toilets - the Executive (Ex) and the Classic (CI). Direct labour costs $6 per hr and overheads are absorbed on a machine hour basis. The overhead absorption rate for the period is $28 per machine hour. What is the traditional cost per unit for (Ex) and (CI)?

Which THREE of the following are functional budgets?

GP is launching a new product. The annual forecast costs are as follows:

What is the expected value of the total costs?
Give your answer to the nearest whole $.

A company operates a customer complaints department.
How will the cost of the customer complaints department be classified in a system focussed on quality related costs?

A company's budget for the next period shows that it would breakeven at sales revenue of $800,000 and fixed costs of $320,000.
The sales revenue needed to achieve a profit of $200,000 in the next period would be:

Some of the movements in a time series follow a pattern over time.
Which type of movement does NOT follow a pattern over time?