CIMA CIMA-P2
CIMA P2 Advanced Management Accounting Flashcards
What are the four types of cost relating to quality?
What is meant by the ‘payback period’?
What is the definition of the Internal Rate of Return (IRR)?
What is the Current Ratio?
What is the Quick Ratio (or Acid-test Ratio)?
How is the Interest Cover calculated?
What is meant by the term ‘cost driver’ in the context of activity based costing?
What are steps involved in calculating a ‘target cost’?
What is meant by a ‘cost gap’ in the context of target costing?
What steps might be taken in order to reduce the ‘cost gap’ in the context of target costing?
What is the basic idea of lifecycle costing?
What are the phases in a product’s life cycle?
What are the main steps that should be considered in order to maximise the return over the life cycle of a product?
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 market skimming pricing strategy?
What is meant by the penetration pricing strategy?
What is meant by volume discounting pricing strategy?
What is meant by price discrimination?
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 is meant by the JIT (just in time) inventory strategy?
What is meant by TQM (total quality management)?
Why is important that non-financial performance is measured rather than concentrating solely on financial performance?
What is mean by the term ‘transfer price’?
In the context of divisionalisation,what is meant by a division?
In the context of divisionalisation, what is meant by an ‘investment centre’?
How is the ROI (return on investment) of a division calculated?
How is the RI (residual income) of a division calculated?
For theoretical transfer pricing, how is the minimum transfer price calculated?
For theoretical transfer pricing, how is the maximum transfer price calculated?
When measuring Value for Money for a not-for-profit organisation, what are the three E’s?
What is meant by the term ‘annuity’?
What is meant by the term ‘perpetuity’?
What is meant by the term ‘nominal cash flows’?
What is meant by the term ‘real cost of capital’?
In asset replacement questions, how is the equivalent annual cost calculated?
What is meant by the term ‘capital rationing’?
What is ‘hard’ capital rationing?
What is ‘soft’ capital rationing?
What basis are the available projects ranked?
In pricing, how is the price elasticity of demand calculated?
What are the four perspectives that the Balanced Scorecard focuses on?
What is meant by total factory costs for throughput accounting?
What is meant by the return per factory hour in throughput accounting?
What are the main factors influencing the selling price decision?
What are decision trees?
Card 1 of 55. Question side.