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

1. Based upon extensive historical evidence, a company's daily sales volume is known to be normally distributed with a mean of 1,728 units and a standard deviation of 273 units.
What is the probability that, on any one day, the sales volume will be at least 1,300 units?

A) 5.82%
B) 94.18%
C) 73.89%
D) 44.18%

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

3. A small airport's management accountant has prepared the following management report on the performance of its four retail outlets.

Which retail outlet has the highest contribution per square metre?

A) Outlet C
B) Outlet D
C) Outlet A
D) Outlet B

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 and employees can be considered to be its stakeholders.
C) Only an organisation's shareholders 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. A management accountant has forecast the following cash inflows from four potential projects.

All four projects require the same initial investment and will last for four years. They all result in a positive net present value but only one of the projects can be undertaken.
Which project should be selected?

A) Project A
B) Project D
C) Project C
D) Project B

Solutions: