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CPA MA Exam With Confidence Using Practice Dumps

Exam Code:
MA
Exam Name:
Management Accounting
Certification:
Vendor:
Questions:
80
Last Updated:
Jan 4, 2025
Exam Status:
Stable
CPA MA

MA: CPA Other Certification Exam 2024 Study Guide Pdf and Test Engine

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Management Accounting Questions and Answers

Question 1

Which of the following comments about sales price is correct?

Options:

A.

Market penetration will normally be achieved by a low price on initial entry to the market

B.

Market skimming will lead to a constant price throughout the product’s life

C.

Cost plus pricing will lead to profit beingmaximized

D.

A target cost price will generate profit immediately following market entry

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Question 2

Which of the following statements about activity based costing (ABC) is/are correct?

(i) All product costs will be lower under ABC than under absorption costing.

(ii) ABC can provide information to assist in controlling costs.

Options:

A.

(i) only

B.

(ii) only

C.

(i) and (ii)

D.

Neither (i) nor (ii)

Question 3

Bush has been asked by his bank to produce a budgeted income statement for the six months ending on 31 March 2014. He forecasts that monthly sales will be $3,000 for October, $4,500 for each of November and December, 2013 and $5,000 per month from January 2014 onwards.

Selling price is fixed to generate a margin on sales of 33.33%.

Overhead expenses (excluding depreciation) are estimated at $800 per month. He plans to purchase non-current assets on 1st October costing $5,000, which will be paid for at the end of December and are expected to have a five-year life, at the end of which they will possess a nil residual value.

The budgeted net profit for the six months ending 31 March 2014 is:

Options:

A.

$3,200

B.

$3,700

C.

$3,950

D.

$8,200