Free Access CIMA.BA2.v2022-02-11.q137 Practice Test (Page 8)

Question 31

Xter Ltd produces product 'PZ'. The forecast sales for the forthcoming year are 50,000 units.
It is anticipated that there will be 10,000 units of opening inventory at the beginning of the year. However, management wishes to reduce this inventory by 30% by the end of next year.
The production budget for the forthcoming year will be?

Question 32

An organization products and sells a single product. The organization's management accountant has reported the following information for the most recent period.

Which TWO of the following statements are valid?

A.If the fixed cost changed to $445,000, the breakeven point would not change

B.If the contribution to sales ratio changed to 30%: the breakeven point would become higher

C.If the sales volume changed to 220.000 units, the breakeven point would not change.

D.If the variable cost changed to $16 per unit the breakeven point would become lower.

E.If the selling price changed to S22 per unit, the breakeven point would become lower.

Question 33

Refer to the exhibit.

A.$294,000

B.QP has produced the following budget information for next year:
The opening payables balance represents 1 month's purchases. It is expected that the same level of purchases will continue at an even rate throughout the year.
In an effort to improve cash flow it is proposed to extend the credit taken from suppliers to 2 months and reduce inventory holding levels to 1/2 month.
What are the budgeted payments to suppliers in the year?

C.$322,000

D.$308,000

E.$350,000

Question 34

If a company has a limiting factor, profit will be maximized by:

A.Producing most of the product with the highest contribution per unit

B.Producing most of the product with the highest contribution per unit of the limiting factor

C.Producing most of the product which uses least units of the limiting factor

D.Producing most of the product with the highest profit per unit

Question 35

Which of the following statements relating to risk and uncertainty is correct?

A.Risk exists when we do not know all of the possible outcomes.

B.Uncertainty exists when we know all of the possible outcomes but not their probabilities.

C.Uncertainty exists when we know all of the possible outcomes and their probabilities.

D.Risk exists when we know all of the possible outcomes but not their probabilities.

Latest Upload: 107Oracle.1Z0-1057-23.v2025-09-10.q47; 146Google.Professional-Cloud-Network-Engineer.v2025-09-09.q179; 131SAP.C-S4EWM-2023.v2025-09-08.q83; 155TheSecOpsGroup.CNSP.v2025-09-08.q20; 204CFAInstitute.ESG-Investing.v2025-09-08.q173; 152PECB.ISO-IEC-27001-Lead-Implementer.v2025-09-06.q132; 140Salesforce.Data-Architect.v2025-09-05.q216; 136Adobe.AD0-E605.v2025-09-05.q50; 176Nutanix.NCP-MCI-6.10.v2025-09-05.q55; 114Oracle.1z0-591.v2025-09-05.q104

Question 31

Question 32

Question 33

Question 34

Question 35

Download PDF File