Cisco
CompTIA
ISC
EC-Council
EXIN
Fortinet
ITIL
Juniper
Microsoft
VMware
Avaya
SAP
Google
NVIDIA
Salesforce
Amazon
Palo Alto Networks
ISC2
Splunk
ServiceNow
All Vendors
  2. Home
  3. Exams
  4. CIMA
  5. BA2

CIMA BA2 Exam Questions
Fundamentals of Management Accounting (Page 12 )

Updated On: 17-Feb-2026
Page 12 of 80
PDF with 392 Questions

CORRECT TEXT

A company operates a full cost system of pricing. Production overheads are absorbed using a pre-determined absorption rate of £3.50 per machine hour. The direct production cost of product A is £15 per unit and it utilises 6 machine hours per unit. The mark-up for non-production costs is 10% of total production cost. The company wants to make a 25% return on sales revenue for all products.

The required selling price for Product A, to two decimal places, is:

  1. £52.85

Answer(s): A



CORRECT TEXT

A product sells for £10 per unit and has an annual break-even volume of 50,000 units. The annual fixed costs are £100,000.

The variable cost per unit is:

Give your answer to 2 decimal places.

  1. £8.03

Answer(s): A



Refer to the exhibit.



The wages analysis for the welding department of a manufacturing company is given below:

What is the direct labor cost for the welding department?

  1. $40,550
  2. $36,890
  3. $30,250
  4. $38,490

Answer(s): B



Refer to the Exhibit.


A company operates an absorption costing system. The management accounts show that fixed production overheads were over-absorbed in the period.

Which FOUR combinations could possibly have resulted in this situation?

  1. Combination A
  2. Combination B
  3. Combination C
  4. Combination D
  5. Combination E
  6. Combination F
  7. Combination G
  8. Combination H

Answer(s): C,D,E,F



The principal budget factor can be defined as:

  1. The factor which has the highest value in the budget
  2. The factor which limits the activities of the organisation
  3. The factor which is most likely to result in an adverse variance
  4. The factor which is least likely to change in the future

Answer(s): B






Post your Comments and Discuss CIMA BA2 exam dumps with other Community members:

Join the BA2 Discussion