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CIMA Fundamentals of management accounting Sample Questions:

1. Which one of the following is NOT one of the five stated fundamental principles of CIMA's code of ethics?

A) Punctuality
B) Confidentiality
C) Objectivity
D) Integrity

2. Refer to the exhibit.

A) £260 favourable
B) £260 adverse
C) £250 adverse
D) Fabex Ltd. manufactures a household detergent called "Clear". The standard data for one of the chemicals used in production (chemical XTC) is as follows:
(a) 50 litres used per 100 litres of 'Clear' produced
(b) Budgeted monthly production is 1000 litres of 'Clear'.
The closing inventory of chemical XTC for November valued at standard price was as follows:
Actual results for the period during December were as follows:
(a) 500 litres of chemical XTC was purchased for £1300.
(b) 550 litres of chemical XTC was used.
(c) 900 litres of 'Clear' was produced.
It is company policy to extract the material price variance at the time of purchase.
What is the total direct material usage variance (to the nearest whole number)?
E) £250 favourable

3. 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.

4. A company provides its managers with monthly budgetary control reports. Which ONE of the following types of financial information is this?

A) Operational
B) Tactical
C) Strategic
D) Planning

5. In which industries would idle time not be expected? (Select ALL that apply.)

A) Textiles
B) Tourism
C) Agriculture
D) Car manufacturing

Solutions: