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Free P2 Exam Braindumps (page: 6)

Page 6 of 51
PDF with 202 Questions

In an organization's transfer pricing system the selling division and the purchasing division each record a different price for the same transaction.

This is known as a:

  1. Dual pricing system.
  2. Two part tariff system.
  3. Full cost pricing system.
  4. Marginal cost plus pricing system.

Answer(s): A



TTR Ltd plans to purchase a new plant for $1,000m on the 1st of January 20X6. The annual sales expected from the production of this plant is S400m per year. The plant has an expected life of five years. The financial

accountant has computed the NPV of the project at $61.42m considering a discount rate of 10%.

The marketing director wants to know the percentage drop in revenue that the sales team can afford before the project becomes unviable. Which of the following indicates the percentage required by the marketing
director?

  1. 4.05%
  2. 5.05%
  3. 4.5%
  4. 10%

Answer(s): A



A risk averse decision maker will:

  1. accept a risk if it is accompanied by a satisfactory potential return.
  2. avoid all risks.
  3. accept a risk if the expected value of the potential outcomes is positive.
  4. always select the course of action that has the lowest risk.

Answer(s): A



A company is classifying its quality costs to prepare a quality cost report. Which of the following are conformance costs?

Select ALL that apply.

  1. Internal Failure Costs
  2. External Failure Costs
  3. Prevention Costs
  4. Appraisal Costs

Answer(s): C,D



Page 6 of 51



Post your Comments and Discuss CIMA P2 exam with other Community members:

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Sandeep Singh commented on December 10, 2024
All questions are from real exam.
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Usman commented on December 10, 2024
It is a great collection but I have noticed that some answers are wrong. For example, it says that correct answer is B but the description of that answer matches with answer A. So it is advisable to read the answer's description as well.
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informative
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Mishti commented on December 08, 2024
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