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P1 Exam Dumps : Management Accounting

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Management Accounting Questions and Answers

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Question 1

What type of budget is prepared on an annual basis taking current year operating results and adjusting them for expected growth and inflation?

Options:

A.

Rolling budget

B.

Incremental budget

C.

Flexed budget

D.

Zero-based budget

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Question 2

A company manufactures a single product. The following budgeted data applies to month 6:

What was the budgeted fixed production overhead for month 6?

Give your answer to the nearest whole $ (in '000s).

Options:

Question 3

A bakery manager is deciding how many batches of birthday cakes to decorate each day.

Demand for the birthday cakes varies from 12 to 15 batches per day. Each batch decorated and sold earns a contribution of $40 but each batch unsold leads to loss of contribution of $15.

The payoff table below shows the total $ contribution from each of the possibilities:

Based on expected values, the number of batches of birthday cakes the bakery manager should decorate each day is:

Options:

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