Download E3 - Strategic Management Question Tutorial.CIMAPRO17-BA2-X1-ENG.VCEplus.2020-02-24.60q.tqb
| Vendor: | CIMA |
| Exam Code: | CIMAPRO17-BA2-X1-ENG |
| Exam Name: | E3 - Strategic Management Question Tutorial |
| Date: | Feb 24, 2020 |
| File Size: | 1 MB |
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Demo Questions
Question 1
Which of the following is a relevant cost?
- A sunk cost
- A committed cost
- An incremental cost
- A historical cost
Correct answer: C
Explanation:
Reference: https://www.acowtancy.com/textbook/cima-p1-2015/c1-relevant-costing/concept-of-relevant-costing/notes Reference: https://www.acowtancy.com/textbook/cima-p1-2015/c1-relevant-costing/concept-of-relevant-costing/notes
Question 2
Which of the following would NOT be an appropriate performance measure for a profit centre manager?
- Return on capital employed
- Contribution per unit
- Sales price variance
- Gross margin
Correct answer: B
Question 3
The following data are available for a company that produces and sells a single product.
- The company's opening finished goods inventory was 2,500 units.
- The fixed overhead absorption rate is $8.00 per unit.
- The profit calculated using marginal costing is $16,000.
- The profit calculated using absorption costing and valuing its inventory at standard cost is $22,400.
The company's closing finished goods inventory is:
- 3,300 units
- 1,700 units
- 3,900 units
- 8,900 units
Correct answer: A
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