CIMAPRO19-P01-1-ENG Dumps V8.02: Preview Free Demo Questions (Part 1, Q1-Q40)

For candidates aiming to achieve the CIMA P1 Management Accounting certification in 2026, have the latest CIMAPRO19-P01-1-ENG dumps V8.02 from DumpsBase can significantly improve exam readiness.

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The P1 Management Accounting (CIMAPRO19-P01-1-ENG) exam focuses on how management accountants provide information for operational decision-making. It evaluates your ability to apply management accounting techniques in real business scenarios.

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CIMAPRO19-P01-1-ENG Free Demo Questions (Part 1, Q1-Q40) Are Online

We have designed 229 practice questions and answers in CIMAPRO19-P01-1-ENG dumps (V8.02). We choose 80 questions from them as a free demo to help you verify the quality before buying. Those free demo questions are divided into two parts. Today, we will share the CIMAPRO19-P01-1-ENG free demo questions (Part 1, Q1-Q40) first:

1. A time series (TS) is made up of two main components i.e. trend (T) and the seasonal variation (SV).

Which TWO of the following could be used to find the seasonal component of a trend?

SV=TS-T

SV=TS/T

SV=TS+T

SV=T/TS

SV=T-TS

2. Changing to a just-in-time, from a traditional, manufacturing environment can affect cost accounting systems.

Which of the following statements is correct?

Larger volumes of inventory must be recorded

A greater number of individual supplier records must be maintained

More frequent, smaller deliveries from suppliers must be recorded

Less frequent, larger deliveries from suppliers must be recorded

3. An agricultural company uses activity based costing to charge overheads to its three products .

One of the main activities is purchasing, budgeted details of which are as follows:

Additional budgeted data:


What is the budgeted purchasing overhead cost per kg of Product S?

Give your answer to 2 decimal places.

$0.72, .72 , 72

4. A clinic offers two types of procedure, A and B.

The clinic uses activity-based costing. The general facility overhead cost for next year is budgeted to be $8,601,600. The cost driver is the length of patient stay .

Additional data:





What is the general facility overhead cost for each Procedure B?

$90

$3,072

$64

$1,536

5. A manager has to decide between four mutually exclusive projects, A, B, C and D:





Using the above information, which Project would a risk seeking manager choose?

Project A

Project B

Project C

Project D

6. D3 makes 2 types of toilets - the Executive (Ex) and the Classic (CI). Direct labour costs $6 per hr and overheads are absorbed on a machine hour basis. The overhead absorption rate for the period is $28 per machine hour.

What is the traditional cost per unit for (Ex) and (CI)?

(Ex) 60, (CI) 56

(Ex) 58, (CI) 53

(Ex) 65, (CI) 49

(Ex) 62, (CI) 52

(Ex) 63, (CI) 48

7. Each finished unit of product G contains 2 litres of ingredient L. Losses during production are 10% of input of ingredient L .

Budgeted data for next period are as follows:





The budgeted purchases of ingredient L for next period are:

5,770 litres

6,230 litres

5,710 litres

5,170 litres

8. How would the cost of recycling scrap be classified in an environmental costing system?

Environmental internal failure cost

Environmental appraisal cost

Environmental prevention cost

Environmental external failure cost

9. Christian the management accountant at a car manufacturer has been given a list of costs that have been incurred due to accidents and errors either occurring or being prevented.

Which of the following are examples of non-conformance costs? Select ALL that apply.

Cost of scrap

Loss of goodwill

Cost of repairs to products

Inspection costs

Cost of repairs to equipment

10. A manager in your organisation says, "I have spare capacity and I need a unit cost as a basis for pricing a special one-off contract. You have provided me with a relevant cost of $6.50 per unit and a full production cost of $8.00 per unit. Please explain which unit cost I should use.".

Which cost should be used in this decision and why?

The relevant cost because it is the lower unit cost.

The full production cost because it will be used in the financial accounting reporting system .

The relevant cost because it represents the cash flows that will be affected if the contract is accepted.

The full production cost because it is important to ensure that all costs are covered by the selling price.

11. Which of the following statements is true?

Standard costing is best suited to a stable environment.

Standard costing is focused on achieving zero defects.

Standard costing is focused on delivering quality products to customers.

Standard costing embraces the philosophy of continual improvement.

12. XY sells two products for which the budgeted contribution to sales ratios are as follows:


Total budgeted sales revenue is $920,000, of which $368,000 will be generated by product X. The products must be sold in a constant mix.

Budgeted fixed costs are $105,000.

What is the budgeted breakeven sales revenue?

Give your answer to the nearest $.

$500000

13. The inventory level of Product Y has reduced by 40 units over a single period.

The cost card for Product Y is as follows:


The profit for Product Y using marginal costing is $26,000.

If the company used absorption costing, what would the profit for Product Y be?

Give your answer to the nearest whole $.

$24600

14. A museum charges a reduced entrance fee for students in full-time education. The budgeted cost per customer is the same regardless of the entrance fee paid.

4,000 customers were budgeted to visit the museum during period 6, with 25% of customers paying the reduced fee.

3,000 customers visited the museum during period 6 and 1,000 of these paid the reduced entrance fee. Costs were as budgeted but the actual full-priced entrance fee was $2 higher than budgeted.

Which of the following statements is true?

The sales mix variance is adverse and the sales quantity variance is adverse.

The sales mix variance is zero and the sales quantity variance is favourable.

The sales mix variance is adverse and the sales quantity variance is favourable.

The sales mix variance is zero and the sales quantity variance is adverse.

15. The cost card for one unit of Product G is as follows:





The opening and closing inventories of Product G for month 5 are budgeted to be 10 units and 60 units respectively.

Profit for month 5 using absorption costing is budgeted to be $15,000.

What is the budgeted profit for month 5 using throughput costing?

$9,800

$12,800

$17,200

$20,200

16. Forecast sales demand of product W next period is 6,800 units. Product W requires 5 kg of material Y, seven hours of skilled labour and six hours of semi-skilled labour .

Availability of resources for next period is forecast as follows:





No inventories are held.

What is the principal budget factor for next period?

Sales demand

Availability of material Y

Availability of skilled labour

Availability of semi-skilled labour

17. A company manufactures a single product .

The cost card for a unit of this product is as follows:





During month 6, finished goods inventory increased by 350 units.

By how much would the profit differ in month 6 if finished goods inventory was valued at standard marginal cost rather than standard absorption cost?

$1,050 lower

$1,050 higher

$2,450 lower

$2,450 higher

18. Two products being produced by a company require the same material which is limited to 2,600 kgs.





What is the optimal production plan?

500 units of S & 100 units of T

50 units of S & 400 units of T

400 units of S & 167 units of T

500 units of S & 400 units of T

19. The following information is available about direct material T for the last period.


A JIT purchasing system is in operation.

Calculate the actual price paid per kg of material T.

Give your answer to 2 decimal places.

$2.80

20. Sales volumes reported for the latest period are used by managers as the basis to forecast sales for the forthcoming period. The forecasts are compared with the budgeted sales and plans are adjusted to ensure that the budgeted sales are achieved.

This is an example of:

Incremental budgeting

Flexed budgets

Feedforward control

Feedback control

21. A budgetary control report for the latest period is shown below:





Which TWO of the following statements are correct?

The sales volume contribution variance is $216 favourable.

The sales volume contribution variance is $1,008 adverse.

The sales price variance is $756 favourable.

The standard variable cost per unit is $4.80.

22. A manufacturing company uses activity-based costing to charge overheads to its three products. One of the main activities is quality inspection. The cost driver is the number of inspections and the budgeted cost is $211,200.

Additional budgeted data.





What is the budgeted quality inspection cost for a unit of product F?

$6.60

$3.30

$9.60

$4.80

23. A company manufactures a single product .

The following budgeted data applies to month 6:


What was the budgeted fixed production overhead for month 6?

Give your answer to the nearest whole $ (in '000s).

$60000

24. Which one of the following would NOT be included in a decision to close a division of an organization?

Head office overheads absorbed on the basis of the number of units produced

Sale of unwanted non-current assets

Redundancy pay for employees of the division

Fixed costs directly attributable to the division

25. For the forthcoming period, the number of units of product L produced must be no more than four times the number of units of product M produced.

The equation to represent this constraint in a linear programming exercise is:

L<4M

4L<M

L>4M

4L>M

26. A company manufactures a single product and absorbs fixed production overheads at a predetermined rate based on budgeted expenditure and budgeted units.

Which TWO of the following would definitely lead to an over absorption of fixed production overheads?

The actual number of units produced are greater than budgeted and the actual fixed production overhead expenditure is as budgeted.

The actual number of units produced are less than budgeted and the actual fixed production overhead expenditure is higher than budgeted.

Actual number of units produced are greater than actual units sold and the actual fixed production overhead expenditure is as budgeted.

Actual fixed production overhead expenditure is higher than budgeted and production units are as budgeted.

Actual fixed production overhead expenditure is less than budgeted and production units are as budgeted.

27. According to a decision tree forecasting, there are three possible outcomes of a project requiring £10,000 capital investment. They are (along with probability of occurring): £20,000 in revenue (45%), £35,000 (15%) , £10,000 (30%) and -£6,000 (10%).

However, choosing another project (2) requiring the same investment would give us £12,000 and choosing project 3 would give us a 90% chance of generating revenues of £15,000 but a 5% chance of revenues of £0.

Project 4 is wildly ambitious and boasts an unlikely (5% chance) of generating revenues of £100,000.

There is a 10% probability of negative revenues.

Which is the risk averse investor more likely to take?

Project 1

Project 2

Project 3

Project 4

28. Which of the following are examples of feedforward control? Select ALL that apply.

Labour costs for individual jobs are forecast. The forecasts are used as the basis to determine the correct selling price to be quoted to the customer.

The sales volume for the next quarter is forecast and compared with the planned volume. If there is a forecast shortfall action is taken to correct the difference.

A target is set for the cash balance at the period end. The balance shown in the cash forecast is compared with the target and action is taken to ensure that the target balance is achieved.

Actual inventory volumes are compared with planned volumes and control action is taken to correct any differences.

29. Petco's material price standard was £8 per kg.

When looking over their accounts you calculate that in fact they they purchased 2,000kg at £6 per kg due to an overly abundant harvest that lowered global pet food prices.

You have been asked by your manager to analyse these figures and come to a conclusion.

With that in mind which of the following statements are correct? Select ALL that apply.

The material price operational variance is £4,000

The material price planning variance is £4,000

Management had control over this variance

Management had no control over this variance

30. A company reports planning and operational variances to its managers. The following data are available concerning the price of direct material M in the last period. Material M is the only material used by the company. The company operates a just-in-time (JIT) purchasing system.





Which TWO of the following statements about last period are definitely correct based on this information?

The direct material price operational variance was adverse.

The direct material usage operational variance was adverse.

The direct material price planning variance was adverse.

The direct material price planning variance was favourable.

The direct material price operational variance was favourable.

31. A snowboard manufacturer is considering investing in technology that will give a good indication of how heavy snowfall will be in the future. The predictions tend to be reasonably accurate.

The current budgeted profit for the year is £2,560,000 but if they invest in this technology and it works, the expected profit will be £2,640,000. The manufacturer is willing to invest a maximum of £40,000 into the venture.

What is the expected profit if the investment is NOT made?

£2,560,000

£2,640,000

£2,520,000

£2,600,000

32. Which of the following statements about relevant costs is correct?

Relevant costs will always be lower than the full costs used in external profit reporting.

Relevant costs will always be higher than the full costs used in external profit reporting.

Relevant costs may not be used in external profit reporting because they do not adhere to the accruals basis of accounting.

Relevant costs must be used in external profit reporting so that reported profits follow the pattern of cash flow.

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

Depreciation costs

Incremental costs

Sunk costs

Variable overhead costs

Committed costs

34. The budgeted production of product G for the period was 300 units. At the end of the period it was discovered that the standard hourly rate for labour should have been higher than that originally planned. Actual production was 450 units.

The labour rate planning variance would be calculated as:

The revised standard cost of 450 units compared with the original standard cost of 450 units

The revised standard cost of 300 units compared with the orginal standard cost of 300 units

The revised standard cost of 450 units compared with the original standard cost of 300 units

The revised standard cost of 300 units compared with the original standard cost of 450 units

35. A company has identified the trend in its sales figures through the regression equation Y = 65.9 + 3.86X, where Y is the sales revenue in thousands of dollars and X is the month number. The average seasonal variation for October is 87%

Calculate the forecast sales revenue for October of Year 6.

Give your answer to the nearest $000.

292000

36. What type of budget is prepared on an annual basis taking current year operating results and adjusting them for expected growth and inflation?

Rolling budget

Incremental budget

Flexed budget

Zero-based budget

37. You are a management accounting working for a car manufacturer. The company is publicly listed and has been around for many years.

The company produces 2 products. Car 1 and Car 2. Car 1 sells for £20,000 and Car 2 for £27,000.

Car 1 can be upgraded post production to the 1ZC model for £5,000 and Car 2 to the 2ZC model for £3,500.

Post production upgrade the 1ZC sells for £25,500 and the 2ZCfor £30,000.

The company sources all of its supplies for the same supplier and has access to a large workforce. As a result there are no bottlenecks or limiting factors to production.

Based on the information above the company should...

Upgrade both models

Upgrade Car 1 but not Car 2

Upgrade Car 2 but not Car 1

Keep both Cars as base models

38. In short-term decision making, which TWO of the following are relevant costs?

Sunk costs

Avoidable costs

Committed costs

Opportunity costs

Notional costs

39. Which of the following would lead to a favourable variance?

The standard material price was set too low.

The standard material usage was set too low.

Actual labour cost was higher than standard.

Labour hours worked were lower than standard.

40. Which of the following explain why standard costing is less appropriate in the contemporary business environment?

1. In a continuous improvement environment standard costing can restrict the impetus to remain as cost competitive as rivals.

2. Fixed overhead variances are less relevant as fixed costs represent a decreasing proportion of total manufacturing cost.

3. In a just-in-time environment there are fewer costs to control.

1 only

1 and 2

2 and 3

1 and 3

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Start Your CIMA P1 Management Accounting Certification Preparation Today

The CIMAPRO19-P01-1-ENG exam dumps V8.02 offer updated practice questions and verified answers to strengthen your understanding of P1 Management Accounting concepts and boost your confidence. Whether you are starting your CIMA certification journey or doing a final review, the latest CIMAPRO19-P01-1-ENG dumps from DumpsBase can help you focus on key topics and prepare more efficiently.