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CIMA Exam CIMAPRA17-BA2-1 Topic 4 Question 86 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam
Question #: 86
Topic #: 4
[All CIMAPRA17-BA2-1 Questions]

Which of the following is a valid definition of a cash budget?

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Suggested Answer: C

https://www.acowtancy.com/textbook/acca-ma/d2-budget-preparation/cash-budgets/notes

by Maryrose at Nov 12, 2024, 10:39 PM

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Yvonne
6 months ago
I'm not sure, but I think it's either A or B. Both seem to make sense.
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Micaela
6 months ago
I agree with Mozell, because a cash budget should include both revenue and capital items.
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Elly
6 months ago
Wait, are we supposed to include depreciation in a cash budget? That's a non-cash expense. Option A is the clear winner here.
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Mozell
6 months ago
I think the answer is A.
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Ricki
6 months ago
Haha, option D is basically just a cash flow statement, not a budget! Nice try, but I'm going with A.
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Dalene
6 months ago
Yeah, option A seems to be the most comprehensive definition.
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Jose
6 months ago
I think option A is the correct definition of a cash budget.
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Jesusa
6 months ago
I agree, option D is more like a cash flow statement.
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Kanisha
6 months ago
I think option C is too narrow. A cash budget needs to account for both revenue and capital items to be truly useful.
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Sharita
7 months ago
A cash budget should definitely include both inflows and outflows, not just one or the other. Option A seems like the most comprehensive definition to me.
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Onita
6 months ago
Option D seems to be too limited, as it only includes estimated cash outflows and not inflows.
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Kirby
6 months ago
I think Option B is more focused on just cash inflows, which may not give a complete picture of the financial situation.
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Skye
6 months ago
Option A is the most comprehensive definition, as it incorporates both revenue and capital items.
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Carlton
6 months ago
I agree, a cash budget should definitely include both inflows and outflows.
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