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CIMA P2 Exam DumpsAdvanced Management Accounting https://exam4help.blogspot.com/2019/07/question-no-1-electronics-company-sells.html
Exam Information • Format: computer based Objective TestAvailability: on demand at any of the 5000 Pearson VUE centres around the worldLength: 90 minutesMarking: computer markedResults: provisional result available immediately followed by confirmation no more than 48 hours later P2 Exam Dumps | P2 Exam Dumps PDF
Exam Description Objective Tests are comprised of a range of items including short multiple choice questions, number entry questions, drag and drop questions and other formats. They test all component learning outcomes across the whole subject. P2 Exam Dumps | P2 Exam Dumps PDF
Question # 1 An electronics company sells a range of tablet computers. Tablet computers come complete with an operating system that is regarded as the market leader. The company aims to launch a new version of its hardware every eighteen months and a major update to its software every three years. The latest version of the tablet computer is always sold at a higher price, but the older version that has been replaced is then sold for a time at a discounted price. Which pricing model does this company appear to be using? A. Penetration and loss leader pricing B. Penetration and product bundling C. Skimming and loss leader pricing D. Skimming and product bundling Answer: D P2 Exam Dumps | P2 Exam Dumps PDF
Question # 2 An organization produces only two products. Each month it produces 1,000 units of product A and 10,000 units of product B. Using traditional absorption costing the products have very similar unit costs. However when costs are calculated using activity-based costing (ABC), product A's unit cost is significantly higher than that of product B.Which of the following factors has the potential to cause this difference? Select ALL that apply. A. ABC cost calculations are not simply volume-related. B. ABC costs are driven only by the volume of output. C. ABC considers only marginal costs. D. ABC uses multiple cost drivers to trace overhead costs to products. E. ABC considers only direct costs. Answer: A, D P2 Exam Dumps | P2 Exam Dumps PDF
Question # 3 A machine requires an initial investment of $500,000. The net present value (NPV) of the investment in the machine is $36,500. Which of the following statements is correct in relation to the sensitivity of the investment? A. The initial investment can increase by no more than 7.3% before the project is not viable. B.The NPV can decrease by no more than 7.3% before the project is not viable. C. The initial investment can increase by no more than 13.7% before the project is not viable. D. The NPV can decrease by no more than 13.7% before the project is not viable. Answer: A P2 Exam Dumps | P2 Exam Dumps PDF
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