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BA2 Exam Dumps : Fundamentals of management accounting

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Fundamentals of management accounting Questions and Answers

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Question 1

Which one of the global principles of management accounting should be tailored to the knowledge of the decision maker?

Options:

A.

Information

B.

Communication

C.

Trust

D.

Impact

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Question 2

Which of the following is NOT a valid purpose of budgeting?

Options:

A.

To communicate targets to managers.

B.

To comply with financial reporting requirements.

C.

To coordinate the different activities of an organisation.

D.

To authorise managers to incur expenditure.

Question 3

Which THREE of the following statements could explain why a favourable sales volume contribution variance has arisen?

Options:

A.

The actual selling price was higher than standard

B.

The actual selling price was lower than standard

C.

The original budgeted sales volume was set unrealistically high

D.

The original budgeted sales volume was set unrealistically low

E.

Higher quality output attracted more customers than expected

F.

The actual contribution per unit was higher than standard

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