Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25

- Free Preparation Discussions

CIMAPRA17-BA2-1 Exam - Topic 1 Question 42 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam

Question #: 42
Topic #: 1

[All CIMAPRA17-BA2-1 Questions]

Over absorption of overhead will always arise when:

Aactual overhead incurred is lower than budgeted overhead

Bactual overhead incurred is lower than absorbed overhead

Cabsorbed overhead is lower than actual overhead incurred

Dabsorbed overhead is higher than budgeted overhead

Show Suggested Answer

Suggested Answer: D

by Joseph at Oct 15, 2022, 05:35 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRA17-BA2-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Selene

10 months ago

Over absorption happens when actual is less than absorbed.

upvoted 0 times

...

Rozella

10 months ago

Wait, how can absorbed overhead be lower than actual? Sounds off.

upvoted 0 times

...

Yen

10 months ago

Actually, I think it's C. Overhead can be tricky.

upvoted 0 times

...

Levi

11 months ago

I agree, B makes the most sense!

upvoted 0 times

...

Nikita

11 months ago

It's definitely B, right?

upvoted 0 times

...

Malcom

11 months ago

I recall that over absorption occurs when we absorb more than we actually spend, which sounds like B to me!

upvoted 0 times

...

Leila

11 months ago

I'm not entirely sure, but I feel like over absorption means we estimated too high. So maybe A or D?

upvoted 0 times

...

Stefany

11 months ago

I remember practicing a question like this, and I think it was about comparing absorbed and actual overhead. Could it be C?

upvoted 0 times

...

Muriel

11 months ago

I think over absorption happens when the absorbed overhead is more than what we actually incurred, so maybe it's B?

upvoted 0 times

...

Shayne

11 months ago

This looks like a tricky one, but I'm going to give it my best shot. I'll start by identifying the key information and then try to logically work through the true/false decision.

upvoted 0 times

...

Candra

11 months ago

Hmm, I'm a bit confused by the terminology used in this question. I'll need to make sure I understand what "AI manifests", "SC profiles", and "zonecfg export format" mean before I can confidently select the right options.

upvoted 0 times

...

Tandra

11 months ago

I'm a bit confused by the wording of the question. Can virtualization really cause performance issues in a single computer setup? I'll have to think that through.

upvoted 0 times

...

Alpha

11 months ago

Ah yes, I remember now! Define Scope is where you define the project boundaries and get agreement on the deliverables. Templates, forms, and standards would definitely be useful tools in that process. I'm feeling good about A as the answer.

upvoted 0 times

...

Frank

1 year ago

Ah, the age-old battle between actual and absorbed overhead. I'm feeling lucky, so I'll go with A. Lower actual overhead? That's the kind of problem I can get behind!

upvoted 0 times

Sina

1 year ago

User 3: I agree with Glendora, A seems like the right choice here.

upvoted 0 times

...

Glendora

1 year ago

User 2: I'm not so sure, I think it might be C. Absorbed overhead lower than actual overhead.

upvoted 0 times

...

Ligia

1 year ago

User 1: I think the answer is A. Lower actual overhead sounds good to me.

upvoted 0 times

...

...

Laticia

1 year ago

Over-absorption, huh? Sounds like a fancy way of saying the accountants are padding their numbers a bit too much. I'll go with B, just to keep them on their toes.

upvoted 0 times

Shawnta

1 year ago

Yeah, I'll go with B too, just to make sure they're not getting away with anything.

upvoted 0 times

...

Gearldine

1 year ago

I agree, it's like the accountants are trying to make things look better than they actually are.

upvoted 0 times

...

Lazaro

1 year ago

I think over-absorption happens when the actual overhead incurred is lower than absorbed overhead.

upvoted 0 times

...

...

Juan

1 year ago

Hmm, this one's tricky. I'm going to go with D. Absorbed overhead being higher than budgeted overhead sounds like a recipe for over-absorption to me.

upvoted 0 times

Antione

1 year ago

I'm leaning towards A, but I can see why you would choose D.

upvoted 0 times

...

Elfrieda

1 year ago

I'm not so sure, I think C might be the correct answer here.

upvoted 0 times

...

Belen

1 year ago

I think you're right, D does seem like the most logical choice.

upvoted 0 times

...

...

Cassandra

1 year ago

I think the correct answer is C. When the absorbed overhead is lower than the actual overhead incurred, it will result in over-absorption of overhead.

upvoted 0 times

...

Mona

1 year ago

Hmm, that makes sense too. It's important to understand the relationship between actual and budgeted overhead.

upvoted 0 times

...

Martha

1 year ago

I disagree, I believe it happens when actual overhead incurred is lower than budgeted overhead.

upvoted 0 times

...

Mona

1 year ago

I think over absorption of overhead will arise when absorbed overhead is lower than actual overhead incurred.

upvoted 0 times

...