CIMA CIMAPRO17-BA2-X1-ENG Exam : BA2 – Fundamentals of Management Accounting Question Tutorial

  • Exam Code: CIMAPRO17-BA2-X1-ENG
  • Exam Name: BA2 – Fundamentals of Management Accounting Question Tutorial
  • Updated: Aug 03, 2026
  • Q & A: 60 Questions and Answers

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CIMA CIMAPRO17-BA2-X1-ENG Exam Syllabus Topics:

SectionObjectives
Costing Methods- Marginal costing
  • 1. Cost-volume-profit (CVP) relationships
    • 2. Contribution and break-even analysis
      - Absorption costing
      • 1. Over/under absorption of overheads
        • 2. Inventory valuation
          Decision Making Techniques- Short-term decision making
          • 1. Limiting factor analysis
            • 2. Make or buy decisions
              - Cost analysis for decisions
              • 1. Incremental cost analysis
                • 2. Relevant costing principles
                  Accounting for Materials, Labour and Overheads- Labour costing
                  • 1. Labour efficiency and productivity
                    • 2. Time-based remuneration
                      - Material control
                      • 1. Stock control systems
                        • 2. Inventory valuation methods
                          Budgeting and Forecasting- Budget preparation
                          • 1. Master budgets
                            • 2. Functional budgets
                              - Budgetary control
                              • 1. Performance monitoring
                                • 2. Variance analysis basics
                                  Introduction to Cost Accounting- Cost units and cost centers
                                  • 1. Overhead allocation basics
                                    • 2. Absorption of overheads
                                      - Cost classification and behavior
                                      • 1. Direct and indirect costs
                                        • 2. Fixed, variable and semi-variable costs

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

                                          1. The concept of the time value of money:

                                          A) recognises the fact that earlier cash flows are worth more because they can be reinvested.
                                          B) is used for making short term decisions.
                                          C) recognises the fact that a cash flow received today will always be worth more than a larger cash flow received in the future.
                                          D) determines the higher interest rates that must be paid on longer term loans.


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

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

                                          A) If the sales volume changed to 220,000 units, the breakeven point would not change.
                                          B) If the contribution to sales ratio changed to 30%, the breakeven point would become higher.
                                          C) If the variable cost changed to $16 per unit, the breakeven point would become lower.
                                          D) If the selling price changed to $22 per unit, the breakeven point would become lower.
                                          E) If the fixed cost changed to $445,000, the breakeven point would not change.


                                          3. 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) Only an organisation's shareholders can be considered to be its stakeholders.
                                          B) Stakeholders must be external to the organisation.
                                          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.


                                          4. A company that uses standard costing wishes to reconcile the difference between the profit for a period calculated using absorption costing with that calculated using marginal costing.
                                          Which TWO of the following will NOT help with this reconciliation? (Choose two.)

                                          A) The opening inventory.
                                          B) The fixed production overhead absorption rate.
                                          C) The under or over absorbed fixed production overheads.
                                          D) The closing inventory.
                                          E) The actual fixed production overheads.


                                          5. FILL BLANK
                                          A company has three production departments X, Y and Z, and one service department.
                                          The service department's overhead has been apportioned to the production departments in the ratio 3:2:5. As a result of this apportionment, $2,070 was given to Department Y.
                                          What is the amount of service department overhead that would have been apportioned to Department Z? Give your answer to the nearest dollar.


                                          Solutions:

                                          Question # 1
                                          Answer: C
                                          Question # 2
                                          Answer: A,B
                                          Question # 3
                                          Answer: A
                                          Question # 4
                                          Answer: B,E
                                          Question # 5
                                          Answer: Only visible for members

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