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Updated: Aug 31, 2025
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CIMA BA2 – Fundamentals of Management Accounting Question Tutorial Sample Questions:
1. A company produces a single product for which the following cost data are available.
Analysis by the management accountant has shown that 100% of direct material cost and 50% of direct labour cost are variable costs. 50% of production overhead and 100% of selling and distribution overhead are variable costs.
What is the marginal cost per unit?
A) $6
B) $7
C) $9
D) $8
2. The possible returns and associated probabilities of two independent projects are as follows:
It has been decided that both projects are to be launched.
Which TWO of the following statements are correct? (Choose two.)
A) The probability of the total return being a loss is 0.10.
B) The probability of making a total return of exactly $5,000 gain is 0.02.
C) The probability of the total return being a gain is less than 1.00.
D) The expected value of the total return is $41,500 gain.
E) The expected value of the total return is $40,000 gain.
3. FILL BLANK
A company absorbs production overhead using a direct labour hour rate. Data for the latest period are as follows:
What is the overhead absorption rate per direct labour hour? Give your answer to one decimal place.
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 under or over absorbed fixed production overheads.
B) The opening inventory.
C) The fixed production overhead absorption rate.
D) The actual fixed production overheads.
E) The closing inventory.
5. FILL BLANK
The records of a manufacturing company show the following relationship between total cost and output.
The budgeted output for Period 3 is 27,000 units. Assume that previous cost behaviour patterns will continue.
What is the total budgeted cost for Period 3?
Give your answer in the nearest whole number.
Solutions:
| Question # 1 Answer: B | Question # 2 Answer: A,C | Question # 3 Answer: Only visible for members | Question # 4 Answer: C,D | Question # 5 Answer: Only visible for members |
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