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

1. In responsibility accounting, costs and revenues are grouped according to:

A) the budget holder.
B) their function.
C) their behaviour.
D) the service provided.

2. Which of the following statements about batch costing is true?

A) The cost of a batch is found by multiplying the cost of one unit by the number of units in the batch.
B) Batch costing must use absorption costing.
C) The cost of a unit is found by dividing the cost of a batch by the number of units in the batch.
D) Batch costing must use marginal costing.

3. In order for the information in a management accounting report to be authoritative its contents must be:

A) complete and relevant.
B) both financial and non-financial.
C) trusted and from reliable sources.
D) complete and reported in a timely manner.

4. 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 D
B) Project B
C) Project A
D) Project C

5. Which TWO of the following are characteristics of Management Accounts? (Choose two.)

A) Provide information needed by shareholders
B) Governed by rules and regulations
C) Statutory requirement
D) Provide information to managers
E) Internally focused

Solutions: