CIMA BA2 : Fundamentals of management accounting

  • Exam Code: BA2
  • Exam Name: Fundamentals of management accounting
  • Updated: Sep 11, 2026
  • Q & A: 392 Questions and Answers

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CIMA BA2 Exam Syllabus Topics:

SectionObjectives
Cost Accounting Fundamentals- Introduction to management accounting
- Role and purpose of cost accounting
Costing Methods- Overhead allocation and absorption costing
- Process costing basics
- Job costing and batch costing
Budgeting and Planning- Introduction to budgeting
- Basic forecasting techniques
Cost Classification and Behaviour- Fixed, variable, and semi-variable costs
- Cost behaviour patterns and analysis

CIMA Fundamentals of management accounting Sample Questions:

Question #1

Refer to the exhibit.

The following budgetary information is available for a manufacturing company:
A particular cost unit takes 4 machine hours in the machining department and 3 labour hours in each of the assembly and finishing departments.
The overhead cost absorbed per unit is:
Give your answer to 2 decimal places.

Reveal Solution  Discussion  0

Correct Answer:

£18.37

Question #2

The forecast costs per unit for a new product are as follows:

The company uses marginal cost plus pricing and all products are required to achieve a 40% margin.
What would be the selling price per unit?

  • A. $37.80
  • B. $45.00
  • C. $46.20
  • D. $55.00
Reveal Solution  Discussion  0

Correct Answer: C  🗳️

Question #3

In an integrated cost and financial accounting system, the accounting entries for the payment of net wages to indirect production workers would be:

  • A. Debit: Wages control accountCredit: Bank account
  • B. Debit: Bank accountCredit: Wages control account
  • C. Debit: Work in progress control accountCredit: Bank account
  • D. Debit: Production overhead control accountCredit: Bank account
Reveal Solution  Discussion  0

Correct Answer: A  🗳️

Question #4

Refer to the exhibit.

RX Ltd expects to have limited machine time for July, which will result in the following production levels:
It is anticipated that there will be 1,500 units of opening inventory and the company wishes to hold a minimum of 500 units of closing inventory at the end of July.
How many units will be available for sale during July?

Reveal Solution  Discussion  0

Correct Answer:

11003 units

Question #5

A company can increase its margin of safety by which of the following independent actions?
(a) Increasing sales and production
(b) Raising the selling price per unit
(c) Raising the variable cost per unit
(d) Lowering fixed costs

  • A. (a), (b) and (d) only
  • B. (a), (c) and (d) only
  • C. (a), (b) and (c) only
  • D. (a) and (b) only
Reveal Solution  Discussion  0

Correct Answer: A  🗳️

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