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P1 Exam Dumps : Management Accounting

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Management Accounting Questions and Answers

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Question 1

A company makes two products, product X with a contribution per unit of $10 and product Y with a contribution per unit of $4.

These products are sold in the mix 3:2 by volume and fixed costs are $38,000 per period.

The breakeven point for product Y, based on the expected sales mix is:

Options:

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Question 2

A company manufactures a single product. The cost card for a unit of this product is as follows:

During month 6, finished goods inventory increased by 350 units.

By how much would the profit differ in month 6 if finished goods inventory was valued at standard marginal cost rather than standard absorption cost?

Options:

A.

$1,050 lower

B.

$1,050 higher

C.

$2,450 lower

D.

$2,450 higher

Question 3

A master budget comprises which of the following?

Options:

A.

The budgeted income statement and the budgeted cash flow statement only.

B.

The budgeted income statement and the budgeted statement of financial position only.

C.

The budgeted income statement and budgeted capital expenditure only.

D.

The budgeted income statement, the budgeted statement of financial position and the budgeted cash flow statement only.

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