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CIMAPRA17-BA2-1 Exam - Topic 3 Question 94 Discussion

The year-to-date results at the end of month 9 included sales revenue of $3,600,000 and variable costs of $2,100,000.During month 10, sales revenue was $450,000 and variable costs were $270,000.What year-to-date contribution to sales ratio (C/S ratio) would be reported at the end of month 10?
A) 58,5%
B) 70,9%
C) 41,5%
D) 40,0%

CIMAPRA17-BA2-1 Exam - Topic 3 Question 94 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam
Question #: 94
Topic #: 3
[All CIMAPRA17-BA2-1 Questions]

The year-to-date results at the end of month 9 included sales revenue of $3,600,000 and variable costs of $2,100,000.

During month 10, sales revenue was $450,000 and variable costs were $270,000.

What year-to-date contribution to sales ratio (C/S ratio) would be reported at the end of month 10?

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Suggested Answer: A

by Ligia at May 01, 2025, 08:52 PM

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Penney
7 months ago
Totally agree with 58.5%, makes sense!
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Jacinta
7 months ago
I think the C/S ratio is around 41.5%.
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Malinda
7 months ago
The total sales revenue after 10 months is $4,050,000.
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Frankie
8 months ago
Wait, how did we get to 70.9%? That seems high!
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Ellen
8 months ago
Variable costs total $2,370,000 now.
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Marjory
8 months ago
I’m leaning towards option B, but I’m not completely confident. I hope I remember the contribution margin calculation correctly!
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Clorinda
8 months ago
This question feels similar to one we practiced last week! I think we need to add the month 10 results to the year-to-date totals first.
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Derick
8 months ago
I think the C/S ratio is calculated by dividing contribution margin by sales revenue, but I can't recall the exact numbers we need to use here.
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Basilia
9 months ago
I remember we calculated the C/S ratio in class, but I'm not sure if I got the formula right for the year-to-date totals.
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Clorinda
9 months ago
I'm feeling confident about this one. The key is to focus on the year-to-date data and incorporate the month 10 information to get the final C/S ratio.
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Iola
9 months ago
This seems pretty simple. I'll just plug the numbers into the formula and see which answer choice matches my calculation.
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Chandra
9 months ago
Okay, I think I've got this. I'll add the month 10 sales and variable costs to the year-to-date numbers, then divide the contribution margin by the total sales to get the C/S ratio.
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Billye
9 months ago
Hmm, I'm a bit unsure about how to approach this. I know I need to calculate the contribution margin, but I'm not sure if I should be using the month 10 data or the year-to-date data.
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Glendora
10 months ago
This looks like a straightforward contribution margin calculation. I'll need to find the total year-to-date sales and variable costs, then calculate the C/S ratio.
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Lyda
1 year ago
I'm feeling a bit like a math magician here. Let me crunch the numbers and I'll say B. 70.9% is the winner!
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Tammara
1 year ago
Haha, these options are like a buffet of wrong answers. I'm going with B, 70.9% all the way!
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Tish
1 year ago
I agree with you, A seems like the most reasonable choice.
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Lai
1 year ago
I think B is too high, I'm going with A, 58.5%.
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Soledad
1 year ago
D seems like the obvious choice here. 40% is a nice round number, and it just feels right.
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Casey
1 year ago
I agree with you, D does seem like the most reasonable choice for the year-to-date C/S ratio.
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Arlyne
1 year ago
I see your point, but I still think D is the best option here.
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Sean
1 year ago
I'm leaning towards A actually. It seems like a higher ratio would make more sense.
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Veronika
1 year ago
I think D is the correct answer too. It does seem like the most logical choice.
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Ahmed
1 year ago
Gotta be C. 41.5% sounds about right for the year-to-date contribution to sales ratio.
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Isreal
1 year ago
I agree with you, C. 41.5% makes the most sense given the sales revenue and variable costs.
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Teri
1 year ago
I'm going with A. 58.5% seems like the right year-to-date contribution to sales ratio.
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Mitsue
1 year ago
I think it's actually B. 70.9% seems more accurate based on the numbers.
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Carey
1 year ago
I'm not sure, but based on the numbers provided, A) 58.5% makes sense to me
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Silva
1 year ago
I calculated it and got 58.5% as well, so I think the answer is A)
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Lawanda
1 year ago
I agree with Yong, the ratio seems to be close to 58.5%
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Yong
1 year ago
I think the C/S ratio would be around 58.5%
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Herminia
1 year ago
Hmm, I think the answer is B. The C/S ratio calculations make sense to me.
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Abraham
1 year ago
Yes, and in this case, it would be $1,230,000 divided by $3,600,000, which equals 0.3425 or 34.25%.
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Tonja
1 year ago
I think it's calculated by dividing contribution margin by sales revenue.
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Lili
1 year ago
I agree, the C/S ratio is an important metric to track.
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