cima c1 quiz week 2 2012
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It's Chartered Institute of Management Accountants Course: C-01 Fundamentals of Management Accounting ,Class LSBF Manchester ,Week 2 2012 Q's By Sir Ian Wilson.TRANSCRIPT
CIMA C1Fundamentals of Management Accounting
CIMA C1Weekly QuizWeek 1 & 2
What are the main 4 reasons a company will calculate a cost value for its products?
Write down 4 major differences between Financial accounting & Management accounting
Managers in a business carry out 3 main activities, what are they?
Draw a diagram to illustrate the 3 main Levels of Management in a typical Company
Quiz
Draw a ‘typical’ Company organisation chart showing a range of different functions or disciplines
What is a Cost Unit? There are 3 main Cost Classifications, What
are they? With examples, describe the Direct &
Indirect Cost Classifications With examples, describe Production & Non-
Production Cost categories
Quiz
Last week we looked at a ‘cost structure/classification’ chart, draw it out
In Cost behaviour studies, there are often said to be 4 types of cost behaviour pattern, what are they? & sketch the appropriate graph for each.
What is the ‘Level of Activity’ a measure of? Give some examples of Semi-Variable Costs
Quiz
If you are given Total Costs for “ Levels of Activity’’, what method can you use to ‘split’ variable from fixed Costs?
Write out the ‘High/Low’ method, what is the grid you would use?
What adjustments might you make to the Total Costs for ‘Step Costs’ & ‘Bulk Discounts’, do you subtract Step Costs & add Bulk Discounts?: True or False?
Quiz
What is a: Cost centre? Revenue Centre? Profit Centre? Investment Centre? How do you measure Performance in an
Investment centre? What is the R.O.C.E. formula?
Quiz
What is an Overhead? What are the three ‘A’s? What is ‘Allocation’ of Overheads? What is ‘Apportionment’ of Overheads? What is re-Apportionment of Overheads? What is ‘Absorption’ of Overheads? Look at the diagram on the next slide & fill
in the areas you know
Quiz
Quiz
Quiz
DirectProduction
Costs
Full Absorption CostPer Unit
IndirectProduction
Costs
ProductionCost
Centre
ServiceCost
Centre
Direct MaterialsDirect LabourDirect Expenses
Allocate Directly:
AllocateApportion
Re-Apportion
Absorption
OAR = Budgeted O/H B Level of Activity