CIMA Fundamentals of management accounting - BA2 FREE EXAM DUMPS QUESTIONS & ANSWERS

In an integrated cost and financial accounting system, the accounting entries for PAYE deducted from gross wages would be:

Overhead allocation is best described as:

Johnson & Smith is a huge corporation with many different departments covering hundreds of activities. They had switched to this new budgeting technique as it seemed as though it would help them allocate their limited funds better.
It was successful to some extent as each manager was required to look at every cost his department accrued.
They would then be responsible for coming up with new ways of performing these activities.
It became obvious that certain managers were unable to handle these paperwork intensive demands and so the company will be reverting back to a system that focuses primarily on cost drivers next year.
What budgeting technique will they be using next year?

Refer to the exhibit.

A machine costing $47,000 will generate the following accounting profits:
The annual charge for depreciation is $9,000.
The cost of capital is 12%.
The net present value of the investment in the machine is:

Refer to the exhibit.

Which type of cost do the following figures represent?

Refer to the exhibit.

A company uses a job costing system and recovers overheads on a direct labour cost basis.
Budgeted direct labour hours for the period were 60,000 at a cost of £270,000. Budgeted production overheads were £648,000 and actual production overheads for the period were £621,000.
Job no. 247 has the following production costs:
The production overheads to be charged to Job no. 247 will be.

Refer to the exhibit.

Budget information for 'Crome Ltd' is as follows:
The budgeted cost allowance for the sale of 1000 units would be:

Which of the following is NOT a characteristic of useful operational level information?

The following data are available for a delivery company.
The table shows the number of tonnes delivered (x) and the associated distribution cist (y) in recent periods.

Further analysis of this data has determined the following:
xy = 36,427x2 = 1,144
Using least squares regression analysis, calculate the variable cost per tonne delivered. Give your answer to the nearest cent.

Refer to the exhibit.

A company has the following budget information for next year:
The budgeted profit for the year is

Fast Manufacturers PLC have reconsidered their new project and the initial investment required of £1,000,000 is now 25% less than the original conception. The project will remain will have a three year life span and have no scrap value.
However, this new conception has operating costs of £150,000 in year 1, and increasing by 5% due to inflation the following years. The gross revenue will also be higher across the board. The new project conception is forecasting a gross revenue of £525,000 in year 1 and again increasing with inflation 5% for years 2 and 3.
If the cost of capital has remained at 14%, should Fast Manufacturers PLC go ahead with the revised project?

Which one of the following is an example of operational management information?

Refer to the exhibit.

A company manufactures a single product, and relevant data is as follows:
Note. Overheads are assumed to be related to direct labor hours.
The actual results for the period were as follows:

What is the variable overhead efficiency variance?

A company uses an integrated accounting system and absorbs production overhead using a predetermined rate of $6 per machine hour.
Last period a total of 25,500 machine hours were worked and the actual production overhead incurred was
$158,000.
The accounting entries for the absorption of production overhead for the period would be: