Free BA2 Exam Braindumps (page: 30)

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CORRECT TEXT

Refer to the exhibit.



ZAP publishes a monthly magazine aimed at the teenage market. It has drawn up a budget for next year as follows:

The magazine is currently sold at $2.00 per copy.

The margin of safety is

  1. 8747 units

Answer(s): A



CORRECT TEXT

Refer to the exhibit.



A company currently manufactures a component which has the following costs per unit:

If the fixed overhead costs are unavoidable costs, what is the maximum price the company should be willing to pay to buy-in the component?
Give your answer to 2 decimal places.

  1. £175 per unit

Answer(s): A



Refer to the exhibit.



Vertical axis = £; horizontal axis = level of activity

This graph is known as a:

  1. Conventional break-even graph
  2. Contribution break-even graph
  3. Profit volume graph
  4. Variable cost graph

Answer(s): C



Overhead absorption is best described as:

  1. The identification of costs specifically attributable to a particular cost centre
  2. The process of sharing costs amongst two or more cost centres
  3. The charging of overheads to cost units produced
  4. The identification of overhead cost variances

Answer(s): C



Page 30 of 99



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@MaBlerh commented on June 02, 2024
Good exam simulation questions
Anonymous
upvote