Free CIMA CIMAPRO19-P01-1-ENG Exam Questions

Become CIMA Certified with updated CIMAPRO19-P01-1-ENG exam questions and correct answers

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Total 261 Questions | Updated On: Nov 25, 2025

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Question 1

A manager is deciding which one of four services to provide next period.

The contribution earned by each service will depend on the weather conditions as follows.

Using the maximin criterion, which service will the manager provide?

A : rvice P

B : rvice Q

C : rvice R

D : rvice S

Answer: D

Question 2

Explain how probability analysis could be used to assess the risk of the evaluated projects.

Select all the true statements.

A : company can determine a range of possible outcomes for each of the cash flows in the project, for example, a high, low and medium estimate of each cash flow could be determined.

B : net present value (NPV) of the project, if all high, low or medium estimates occurred, can be calculated along with the combined probabilities of their occurrence.

C : probabilities can be combined to calculate the expected value of each cash flow element and of the project as a whole

D : NPVs of a sample range of possible outcomes and the probability of each NPV can be calculated. If a small sample is taken the distribution of outcomes can be used to calculate the zero activities deviation of the NPVs and the probability of success of the projects.

Answer: A,B,C

Question 3

A company has budgeted to produce 5,000 units of Product B per month. The opening and closing inventories of Product B for next month are budgeted to be 400 units and 900 units respectively. The budgeted selling price and variable production costs per unit for Product B are as follows:

Total budgeted fixed production overheads are $29,500 per month. The company absorbs fixed production overheads on the basis of the budgeted number of units produced. The budgeted profit for Product B for next month, using absorption costing, is $20,700.

Prepare a marginal costing statement which shows the budgeted profit for Product B for next month.

What was the difference between the profit calculation using marginal costing and the profit calculation using absorption costing?

A : $2870

B : $3010

C : $2950

D : $3610

E : $2750

Answer: C

Question 4

Which TWO of the following statements are true for obtaining a reliable forecast from a time series?

A : ere must be an increasing trend.

B : past trend must continue in the future.

C : past pattern of seasonal variations must continue in the future.

D : trapolation of the trend must be avoided.

E : ere must be a decreasing trend.

Answer: B,C

Question 5

A company is preparing its annual budget and is estimating the number of units of Product A that it will sell in each quarter of year 2. Past experience has shown that the trend for sales of the product is represented by the following relationship:

y = a + bx where

y = number of sales units in the quarter a = 10,000 units b = 3,000 units x = the quarter number where 1 = quarter 1 of year 1

Actual sales of Product A in Year 1 were affected by seasonal variations and were as follows:

Quarter 1:14,000 units Quarter2: 18,000 units Quarter 3: 18,000 units Quarter 4: 20,000 units

Calculate the expected sales of Product A (in units) for each quarter of year 2, after adjusting for seasonal variations using the additive model.

A : expected sales for year 2 Quarter 4 was 32700 units

B : expected sales for year 2 Quarter 4 was 32000 units

C : expected sales for year 2 Quarter 4 was 33000 units

D : expected sales for year 2 Quarter 4 was 40000 units

Answer: B

Page: 1 / 53

Total 261 Questions | Updated On: Nov 25, 2025

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