CIMA Exam CIMAPRA19-F01-1 Topic 5 Question 107 Discussion

Actual exam question for CIMA's CIMAPRA19-F01-1 exam

Question #: 107
Topic #: 5

[All CIMAPRA19-F01-1 Questions]

An entity has an inventory holding period of 52 days.

This means that the inventory:

Atakes 52 days to arrive after it has been ordered.

Bstays in the entity's warehouse for an average of 52 days before it is sold.

Ctakes 52 days to manufacture.

Dtakes 52 days to be paid for.

Show Suggested Answer

Suggested Answer: B

by Sylvia at Feb 06, 2025, 11:48 PM

Limited Time Offer

25%

Off

Get Premium CIMAPRA19-F01-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Gayla

6 months ago

D) would be a hilarious answer, but unfortunately it's not what the question is asking. Gotta go with B) on this one.

upvoted 0 times

Fallon

5 months ago

B) stays in the entity's warehouse for an average of 52 days before it is sold.

upvoted 0 times

...

Cherelle

5 months ago

A) takes 52 days to arrive after it has been ordered.

upvoted 0 times

...

Joaquin

6 months ago

Haha, I bet the person who wrote this question has been in a few too many warehouse management meetings. B) is the way to go.

upvoted 0 times

Jamey

5 months ago

Yeah, definitely B) is the correct answer.

upvoted 0 times

...

Frank

6 months ago

I agree, B) stays in the entity's warehouse for an average of 52 days before it is sold.

upvoted 0 times

...

Brandon

6 months ago

I agree, B) is the correct choice. The question specifies the inventory 'holding period', so it's clearly referring to the time the inventory sits in the warehouse before being sold.

upvoted 0 times

Marion

5 months ago

Exactly. It's important for companies to manage their inventory holding period efficiently to optimize their operations.

upvoted 0 times

...

Bernardo

5 months ago

Definitely. The holding period is all about how long the inventory sits in the warehouse before being sold.

upvoted 0 times

...

Adell

5 months ago

Yeah, I agree. It wouldn't make sense for it to be about manufacturing or payment.

upvoted 0 times

...

Leslee

5 months ago

I think B) is the right answer too. It makes sense based on the definition of inventory holding period.

upvoted 0 times

...

Dorathy

6 months ago

I'm not sure, but I think it makes sense that the answer is B. It wouldn't make sense for it to take 52 days to arrive after being ordered.

upvoted 0 times

...

Tess

6 months ago

I agree with Tarra. The inventory holding period refers to how long the inventory sits in the warehouse before being sold.

upvoted 0 times

...

Tesha

6 months ago

B) seems like the right answer to me. 52 days is a pretty standard inventory holding period for a lot of businesses.

upvoted 0 times

Timothy

5 months ago

B) seems like the right answer to me. 52 days is a pretty standard inventory holding period for a lot of businesses.

upvoted 0 times

...

Miesha

5 months ago

C) takes 52 days to manufacture.

upvoted 0 times

...

Monte

5 months ago

B) stays in the entity's warehouse for an average of 52 days before it is sold.

upvoted 0 times

...

Monroe

6 months ago

A) takes 52 days to arrive after it has been ordered.

upvoted 0 times

...

Tarra

6 months ago

I think the answer is B) stays in the entity's warehouse for an average of 52 days before it is sold.

upvoted 0 times

...