CIMA CIMA-P1
CIMA P1 Management Accounting Flashcards
What is the purpose of management accounting?
What are the attributes of good information?
What is the difference between data and information?
What are the purposes of costing (i.e. calculating the cost of producing a product or service)?
What is meant by a ‘line of best fit’?
What are ‘direct costs’?
What is the ‘prime cost’ of a unit of production?
What is mean by ‘indirect costs (or overheads)’?
What is a ‘variable cost’?
What is a ‘fixed cost’?
What is a ‘stepped fixed cost’?
What is a ‘semi-variable cost’?
In the linear equation y = a + bx, where y is the total cost and x is the total production, what is the fixed cost?
What is the variable cost per unit?
What is meant by a ‘cost unit’?
What is mean by the word ‘contribution’?
What is mean by the ‘marginal cost of production’?
What is the reason for a difference between the profit calculated under marginal costing principles and the profit calculated under absorption costing principles?
Under what circumstances will the profit using marginal costing and the profit using absorption costing be the same?
What is meant by the term ‘by-product’?
In Activity Based Costing, what is meant by the term ‘cost driver’?
What is mean by the expression ‘perfect positive linear correlation’?
If there is perfect negative correlation between two variables, what will be the value of the coefficient of correlation?
What are the purposes of budgeting?
What is a flexed budget?
What is meant by the ‘principal budget factor’?
What is a ‘sunk cost’?
What is mean by an ‘incremental cost’?
What is top-down budgeting?
What is bottom-up budgeting?
What does the sales volume variance measure?
Give possible reasons for an adverse material expenditure variance.
What is meant by the term ‘cost driver’ in the context of activity based costing?
What is meant by the term ‘bottleneck’ in the context of throughput accounting?
What is the definition of the throughput accounting ratio (TPAR) for a product?
In what ways can the throughput accounting ratio of a product be improved?
What is meant by the term breakeven sales volume?
What is meant by the term breakeven sales revenue?
What are the labels of the axes on a breakeven chart?
What are the labels of the axes on a profit volume graph?
What is meant by the term ‘margin of safety’?
What is the definition of the CS ratio?
What is meant by the term shadow cost (or shadow price)?
What is meant by the term ‘sunk cost’?
What is the difference between risk and uncertainty?
What is meant by the term ‘expected value’ in the context of decision making under uncertainty?
What are the limitations of using expected values for decision making?
What is the maximin decision rule?
What is the maximax decision rule?
What is the attitude to risk of a decision maker who uses the maximin approach?
What is the attitude to risk of a decision maker who uses the maximax approach?
What is the attitude to risk of a decision maker who uses the minimax regret approach?
What are the principal aims / uses of budgeting?
What is the difference between top-down budgeting and bottom-up (or participative) budgeting?
What is meant by incremental budgeting?
What is meant by a ‘rolling budget’?
What is the difference between feedback and feedforward control?
What are the main uses of the standard cost of a product?
What is a flexed budget?
What is the purpose of a flexed budget?
Suggest three possible reasons for the existence of a sales volume variance.
Suggest three possible reasons for the existence of a materials price variance.
Suggest three possible reasons for the existence of a materials usage variance.
Suggest three possible reasons for the existence of a labour efficiency variance.
If absorption costing is being used, what is the cause of a fixed overhead volume variance?
What is the purpose of an operating statement?
When considering planning and operational variances, what is meant by the revised standard cost?
What are planning variances measuring?
What are operational variances measuring?
In the context of linear programming, what is meant by ‘slack’?
What is meant by total factory costs for throughput accounting?
What is meant by the return per factory hour in throughput accounting?
What are decision trees?
What is Trend in time series analysis?
What are Cyclical Variations in time series analysis?
What are Seasonal variations in time series analysis?
What is Standard costing?
What are the uses of standard costing?
What are the limitations of standard costing?
List four standards in Standard costing?
Card 1 of 80. Question side.