CIMAPRA19-F02-1 Exam - Topic 1 Question 31 Discussion

Actual exam question for CIMA's CIMAPRA19-F02-1 exam

Question #: 31
Topic #: 1

Taking each statement individually, which of the following explains the movement in the gross profit margin from 20X4 to 20X5 as calculated by the analysts?

AIncrease in the levels of closing inventory of raw materials.

BReduction in the cost of raw materials NOT passed onto customers.

CPrompt payment discountsno longer offered to customers.

DIncrease in the volume of sales over the year.

Show Suggested Answer

Suggested Answer: B

by Gary at May 05, 2022, 06:47 PM

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Danica

4 months ago

Not convinced about A. Closing inventory doesn't always mean higher profits.

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Chantell

4 months ago

D is a big yes! More sales usually boost margins.

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Lashawna

4 months ago

Wait, are we sure about C? That seems off.

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Chantay

4 months ago

A is definitely a factor too!

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Dorian

5 months ago

I think B makes the most sense here.

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Maurine

5 months ago

Okay, let's see. The options range from 4 hours to 3 days, so I'm guessing the average is probably somewhere in the middle. I'll go with option D, 17 hours, as my best guess.

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Tyra

5 months ago

Hmm, I'm a bit unsure about this one. The options seem similar, so I'll need to really focus on understanding the differences between them.

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Timmy

5 months ago

Hmm, this looks like a tricky one. I'll need to carefully examine each statement and think through the ROUND and TRUNC functions to determine which ones are true.

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Glenn

5 months ago

D sounds terrible. Who memorizes an entire detailed list? You want notes to reference during the interview.

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