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CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 41 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam
Question #: 41
Topic #: 1
[All CIMAPRA17-BA2-1 Questions]

Refer to the exhibit.

A company manufactures three components on the same machine, on which there is spare capacity. An external supplier has offered to supply all of the company's requirements of the components. Data for the components are as follows:

Which components should be purchased from the external supplier?

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Suggested Answer: D

by My at Sep 16, 2022, 05:27 AM

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Jacki
1 months ago
I'm going to have to go with B) Components X and Z. The numbers don't lie, and it's clear the external supplier has a significant cost advantage for those two components. Plus, it frees up the company's resources to focus on their core competencies. Now, where's the vending machine? I need a snack to fuel my brain power.
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Jules
1 months ago
Hmm, this is a tough one. I'm leaning towards C) Components Y and Z, since the data shows the company has a much higher manufacturing cost for those components compared to the external supplier. But I'm curious to hear what the other candidates think. Anyone want to arm-wrestle for the right answer?
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Joaquin
1 months ago
D) Components X, Y and Z seems like the best option to me. Why bother manufacturing anything in-house when the external supplier can provide everything at a lower cost? Might as well go for the full outsourcing solution and focus on other parts of the business.
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Blondell
11 days ago
I think it's a smart move to focus on other areas of the business and let the supplier handle the manufacturing.
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Whitley
14 days ago
I agree, it makes sense to outsource all three components to the external supplier.
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Loreen
2 months ago
I think the answer is B) Components X and Z. The data shows that the external supplier can provide the components at a lower cost than the company's manufacturing cost. It makes sense to outsource those components to take advantage of the cost savings.
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Krissy
2 days ago
I think the data clearly shows that Components X and Z have a higher cost to manufacture internally, so it makes sense to purchase them from the external supplier.
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Earlean
6 days ago
But what about Component Y? Shouldn't we also consider outsourcing that to save on costs?
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Toshia
14 days ago
I agree, it would be more cost-effective to purchase Components X and Z from the external supplier.
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Gaynell
2 months ago
I see your point, it does make sense to only outsource Components X and Z based on the cost comparison provided in the data.
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German
2 months ago
I think the data clearly shows that only Components X and Z should be purchased from the external supplier.
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Ronnie
2 months ago
But what about Component Y? Shouldn't we also consider outsourcing that to save on costs?
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Lelia
2 months ago
I agree, it would be more cost-effective to purchase Components X and Z from the external supplier.
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Teri
2 months ago
I agree with Amina, purchasing Components X and Z would be more cost-effective.
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Amina
3 months ago
I disagree, I believe we should purchase Components X and Z.
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Giovanna
3 months ago
I think we should purchase Component X only.
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