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CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 45 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam
Question #: 45
Topic #: 1
[All CIMAPRA17-BA2-1 Questions]

The forecast costs per unit for a new product are as follows:

The company uses marginal cost plus pricing and all products are required to achieve a 40% margin.

What would be the selling price per unit?

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Suggested Answer: D

by Cordelia at Dec 12, 2022, 05:06 AM

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Eileen
2 months ago
Wait, what? 40% margin? That's a lot of profit! I wonder if the company is planning to dominate the market or something. Anyway, let me work this out... Ah, option B) $46.20 seems legit.
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Staci
16 days ago
That's a good margin for the company. $46.20 it is.
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Dean
25 days ago
Yeah, I agree. Option B) $46.20 looks like the correct answer.
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Lewis
26 days ago
I think the selling price per unit is $46.20.
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Troy
2 months ago
This is a classic pricing strategy question. I just need to remember the formula and plug in the numbers. Piece of cake! I'll go with option C) $45.00. That's my final answer, host.
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Ashlee
10 days ago
I believe the selling price per unit would be $45.00. That's my final answer.
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Ty
17 days ago
So, what do you think the selling price per unit would be?
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Kristian
1 months ago
I think you're on the right track. Remember, the formula is marginal cost plus pricing with a 40% margin.
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Annita
2 months ago
Okay, so the total cost per unit is $33. If we need a 40% margin, that means the selling price should be 140% of the total cost. Time to crunch the numbers! I'm going with option B) $46.20.
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Melinda
10 days ago
I agree, option B) $46.20 seems to be the correct choice.
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Maryanne
12 days ago
I think the selling price per unit should be $46.20.
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Franchesca
1 months ago
Great, let's go with option B) $46.20 as the selling price per unit.
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Paola
1 months ago
So, 140% of $33 is $46.20, option B) seems to be the correct answer.
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Rosina
1 months ago
I agree, let's calculate it to be sure.
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Tran
1 months ago
I think you're right, the selling price should be 140% of the total cost.
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Leatha
2 months ago
Hmm, let's see. If the company uses marginal cost plus pricing and requires a 40% margin, then the selling price should be calculated based on the total cost per unit. This seems to be a straightforward math problem, but I better double-check my work just in case.
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Yuonne
30 days ago
I'm not sure about B) $46.20, I think it might be too high based on the cost per unit and the required margin.
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Felicidad
1 months ago
B) $46.20
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Eleonora
2 months ago
User 2
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Kimi
2 months ago
I think it's A) $37.80 because the selling price needs to cover the total cost per unit plus the 40% margin.
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Reita
2 months ago
A) $37.80
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Florinda
2 months ago
User 1
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Alberta
2 months ago
I'm not sure, but I think I would go with option B as well. It seems to make sense.
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Jennie
2 months ago
I agree with Macy, because that would give us a 40% margin based on the forecast costs.
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Macy
3 months ago
I think the selling price per unit should be $46.20.
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