CIMA Exam CIMAPRO19-P02-1 Topic 6 Question 89 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam

Question #: 89
Topic #: 6

In order to remain competitive an organization wishes to achieve cost savings for one of its existing products.

Which of the following correctly describes methods which the organization can use to achieve these cost savings?

Select ALL that apply.

AFunctional analysis is carried out only on existing products and is concerned only with minimizing the cost of the originally defined functions of a product.

BValue engineering is a fundamental rethinking and radical redesign of an organization's existing processes.

CTarget costing is continuously setting new stretch targets while the product is in production.

DValue analysis is examining a product's costs in order to achieve its purpose at a reduced cost while maintaining its reliability and quality.

EKaizen costing is seeking to make cost savings by continuously making small incremental cost reductions while the product is in production.

Show Suggested Answer

Suggested Answer: C

by Francine at Jun 01, 2024, 03:15 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRO19-P02-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Ernie

1 months ago

Kaizen costing, huh? Sounds like the accounting team is trying to 'continuously make small incremental' improvements to their coffee budget.

upvoted 0 times

Alaine

4 days ago

Haha, yeah! Maybe they're trying to save money on those expensive coffee beans.

upvoted 0 times

...

Zack

23 days ago

E) Kaizen costing is seeking to make cost savings by continuously making small incremental cost reductions while the product is in production.

upvoted 0 times

...

Janey

24 days ago

D) Value analysis is examining a product's costs in order to achieve its purpose at a reduced cost while maintaining its reliability and quality.

upvoted 0 times

...

Ryann

1 months ago

A) Functional analysis is carried out only on existing products and is concerned only with minimizing the cost of the originally defined functions of a product.

upvoted 0 times

...

Demetra

1 months ago

Hmm, this is a tough one. I feel like I need to do a 'functional analysis' of my own brain to figure out the right answers. Maybe I'll get lucky and accidentally stumble upon the solution.

upvoted 0 times

...

Coral

2 months ago

Alright, time to put my cost-saving ninja skills to the test. I'm pretty sure B and C are not the right answers, but I'm still a bit unsure about E.

upvoted 0 times

Celestina

22 days ago

D) Value analysis is examining a product's costs in order to achieve its purpose at a reduced cost while maintaining its reliability and quality.

upvoted 0 times

...

Arminda

24 days ago

A) Functional analysis is carried out only on existing products and is concerned only with minimizing the cost of the originally defined functions of a product.

upvoted 0 times

...