| Exam Name: | Advanced Management Accounting | ||
| Exam Code: | P2 Dumps | ||
| Vendor: | CIMA | Certification: | CIMA Management |
| Questions: | 202 Q&A's | Shared By: | sultan |
The manager of Ice Sculpting Co. believes that too much material is being wasted during downtime. She researched, and found throughput accounting to be an adequate alternative. However, she wasn't sure if all that
she read was accurate.
Which of the following statements are TRUE when using Throughput Accounting? Select ALL that apply.
A company is investing $150,000 in a project which will yield an annual cash inflow of $40,000 for eight years. The company's cost of capital is 10%.
To the nearest $100, what is the project's equivalent annual net present value?
A company manufactures and sells a range of products. Relevant data for one unit of a particular product are as follows.
The company is using target costing to ensure that it achieves a contribution of 40% of the market selling price.
In order to achieve the target cost, by how much does the company need to reduce the variable cost per unit?
TESTED 19 May 2024
