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CIMAPRO19-P01-1 Exam - Topic 6 Question 116 Discussion

Actual exam question for CIMA's CIMAPRO19-P01-1 exam
Question #: 116
Topic #: 6
[All CIMAPRO19-P01-1 Questions]

Which THREE of the following are never relevant costs for short-term decision making?

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Suggested Answer: A, C, E

by Stanton at Aug 18, 2025, 03:54 AM

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Cristen
3 months ago
Wait, are committed costs really irrelevant?
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Willard
3 months ago
I agree, sunk costs should never factor in.
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Cherri
4 months ago
Not sure about variable overhead costs being irrelevant...
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Leila
4 months ago
Incremental costs are super relevant for decisions!
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Nana
4 months ago
Depreciation costs are definitely irrelevant!
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Rozella
4 months ago
Committed costs sound familiar, but I’m not entirely sure if they’re always irrelevant. I need to double-check that.
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Crista
4 months ago
I practiced a similar question where incremental costs were definitely relevant, so I guess that rules them out here.
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Refugia
5 months ago
I remember that sunk costs should never be considered in decision making, but I can't recall if variable overhead costs are relevant or not.
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Glory
5 months ago
I think depreciation costs are definitely not relevant, but I'm a bit unsure about committed costs.
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Wenona
5 months ago
I'm not totally confident on this, but I think the key is to focus on the "short-term" part of the question. That means fixed costs like depreciation are probably not relevant. I'll give it my best shot.
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Talia
5 months ago
Okay, I've got this. Depreciation, incremental, and committed costs are all relevant for short-term decisions, so the three irrelevant ones must be A, C, and E. Time to mark my answer.
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Cordelia
5 months ago
Hmm, I'm a bit unsure about this one. I know sunk costs are irrelevant, but the other options have me scratching my head. I'll have to review my notes on cost concepts.
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Desmond
6 months ago
This looks like a classic cost accounting question. I'll need to think carefully about the differences between relevant and irrelevant costs for short-term decision making.
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Nan
7 months ago
Depreciation costs? Seriously? That's like trying to pay for a car you don't even own anymore. Short-term decisions should be all about the here and now.
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Willodean
7 months ago
Sunk costs? That's a no-brainer! I'm not paying for something that's already happened. It's like trying to un-spill milk, you know?
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Lanie
7 months ago
I think sunk costs are never relevant for short-term decision making.
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