IMANET CMA Exam - Topic 6 Question 93 Discussion

Actual exam question for IMANET's CMA exam

Question #: 93
Topic #: 6

[All CMA Questions]

Evaluating performance and giving feedback is the final step in the decision-making process. This step involves

I . Proper delegation of authority.

II . Placement of the solution in a feasible framework.

Ill. Effective communication of the decision.

Alonely.

Bland II.

CII only.

Dl,ll,andlll.

Show Suggested Answer

Suggested Answer: B

The cash flows of Plan A are discounted at 12%, the company's cost of capital for average risk projects. Plan B is evaluated with a lower cost of capital that reflects a greater risk of the cash outflow of the project. Thus, the cash flows of Plan B are discounted at 10% (12% --- 2%). the company's adjusted cost of capital for high risk projects. The net present value of each plan is the initial cost plus the present value of an annuity for 10 years at the appropriate rate multiplied times the annual operating cost.

The present value factors are found in the tools section of CMA Test Prep.

Plan A NPV = $10,000,000 + ($1,000,000 x 5.650)

Plan A NPV = $15,650,000

Plan B NPV = $5,000,000 + ($2,000,000 x 6.145)

Plan B NPV = $17,290,000

Plan A has a lower NPV and thus is the better project.

by Nana at Jul 12, 2024, 12:46 PM

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Shakira

3 months ago

Definitely D, can't skip any of those steps!

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Fernanda

3 months ago

II only seems too limited to me.

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Shoshana

3 months ago

Wait, are we sure about proper delegation being the final step?

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Ilene

4 months ago

Totally agree, all three steps are crucial.

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Sophia

4 months ago

I think it's all about effective communication!

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Lawrence

4 months ago

I believe the answer is D because all three components seem to fit the evaluation and feedback process we studied.

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Billye

4 months ago

I feel like II and III are definitely part of the evaluation process, but I'm uncertain about I. Should we include delegation in feedback?

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Polly

4 months ago

I think we practiced a question similar to this, and I recall that proper delegation is important, but I can't remember if it was part of the final evaluation step.

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Gerald

5 months ago

I remember we discussed how effective communication is crucial in decision-making, but I'm not sure if all three points are necessary for feedback.

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Adelaide

5 months ago

This is a tricky one. I'm torn between B and D, but I think I'll go with D since it covers all the points mentioned in the passage. Gotta be careful with these multiple-choice questions!

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Johnetta

5 months ago

I'm pretty confident the answer is D. The passage clearly lists those three components as part of the final step, so that has to be the correct choice.

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Kizzy

5 months ago

Okay, I think I've got it. The key is that the question is asking about the "final step" in the decision-making process, which involves those three elements. D seems like the best answer.

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Beckie

5 months ago

This question seems straightforward - I think the answer is D, since the passage mentions all three steps as part of the decision-making process.

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Vallie

5 months ago

Hmm, I'm a bit confused. The passage talks about evaluation and feedback, but I'm not sure how that connects to the options given. I'll need to re-read this carefully.

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Hoa

5 months ago

This looks like a tricky EVPN-IRB question. I'll need to carefully review the exhibit and the answer choices to identify the false statement.

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Fabiola

5 months ago

The explanation makes sense. Spreading VMs across resource groups doesn't guarantee they'll be in different data centers. I'll need to find a solution that explicitly addresses the data center failure scenario.

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Pearlene

5 months ago

Hmm, I'm a bit unsure. The wording seems tricky. I'll try to eliminate options that sound less official-sounding.

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Marvel

9 months ago

Wait, there's a decision-making process? I thought we were just winging it the whole time. This exam is really throwing me for a loop.

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Sarah

8 months ago

D) l,ll,andlll.

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Xuan

8 months ago

C) II only.

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Ona

8 months ago

B) land II.

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Blondell

9 months ago

A) lonely.

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Julian

10 months ago

I'm no decision-making expert, but I feel like option A is the way to go. 'Lonely' just seems to fit the vibe of this question, you know? Evaluating performance, what a lonely job.

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Ciara

8 months ago

C) II only.

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Sommer

8 months ago

B) land II.

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Karan

9 months ago

A) lonely.

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Lonny

10 months ago

I'm going to have to go with D. Evaluating performance and giving feedback involves all three of those steps. It's the final piece of the puzzle, you know?

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Salina

9 months ago

Definitely, D covers all the necessary components for evaluating performance and giving feedback. It's crucial for successful decision-making.

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Effie

9 months ago

Yes, I think D is the best choice too. It ensures that the decision-making process is thorough and comprehensive.

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Dorethea

9 months ago

I agree, D is the correct answer. It's important to delegate properly, place the solution in a feasible framework, and communicate effectively.

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Gayla

10 months ago

I'm not sure, but I think it might be C) II only, because effective communication is key in this process.

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Kenny

10 months ago

This is tricky, but I'm going with option C. The question specifically mentions evaluating performance and giving feedback, which is the final step in the decision-making process. That's just II.

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Christiane

9 months ago

I agree, effective communication of the decision is crucial in this process.

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Tanja

9 months ago

I think it's D because all three components are important in evaluating performance and giving feedback.

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Amina

11 months ago

Hmm, I think it's II and III. Evaluating performance and giving feedback is about effectively communicating the decision, not delegating authority. That's a separate step.

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Desiree

10 months ago

Yes, that makes sense. It's important to have all three elements in place for effective evaluation and feedback.

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Marlon

10 months ago

So, the correct answer would be D) I, II, and III.

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Shawnta

10 months ago

I agree, communication is key in evaluating performance and giving feedback.

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Launa

10 months ago

I think it's II and III. Evaluating performance and giving feedback is about effectively communicating the decision, not delegating authority. That's a separate step.

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Clement

11 months ago

I agree with Shaun, because all three steps are important for evaluating performance and giving feedback.

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Shaun

11 months ago

I think the answer is D) I, II, and III.

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