CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 61 Discussion

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

Question #: 61
Topic #: 1

Refer to the Exhibit.

PD manufactures a product in a process operation. Normal loss is 5% of input and occurs at the end of the process. The following data is available for the month of August:

Scrapped units have no value.

There was no opening or closing work in progress for August.

What is the value of the abnormal gain in August?

ANil

B$1,880

C$1,816

D$893

Show Suggested Answer

Suggested Answer: B, C, E

https://www.cgma.org/resources/reports/globalmanagementaccountingprinciples/about-the-principles.html#?tab-1=3

by Alpha at Dec 13, 2023, 06:59 PM

Limited Time Offer

25%

Off

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

Contribute your Thoughts:

Submit Cancel

Thaddeus

2 days ago

Hmm, no opening or closing work in progress. That makes it easier to calculate the abnormal gain, but I'll need to double-check my work.

upvoted 0 times

...

Theron

3 days ago

The question seems straightforward, but I'm a bit confused about the normal loss rate. Is that 5% of the input or the output?

upvoted 0 times

...

Maryann

14 days ago

Why do you think it's C)?

upvoted 0 times

...

Kindra

16 days ago

I disagree, I believe the answer is C) $1,816.

upvoted 0 times

...

Maryann

17 days ago

I think the answer is B) $1,880.

upvoted 0 times

...