Free CIMA CIMAPRO19-P01-1-ENG Exam Questions

A company accountant is trying to determine the optimum production plan for the period using linear programming.
The accountant has correctly formulated the linear programming problem as follows:
Variables (products): x and y
Objective function: Maximise contribution, C = 10x + 15y
Material constraint: 4x + 6y 500 (kg)
Labour constraint: x + 2y 350 (hours)
Machine constraint: 10x + 4y 1,500 (hours)
x constraint: 50 x 200
y constraint: y 0
Which of the following statements is true?

A company is preparing its annual budget and is estimating the number of units of Product W 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:

The labour requirement for a special contract is 250 skilled labour hours paid at $10 per hour and 750 semi-skilled labour hours paid at $8 per hour.
At present, skilled labour is fully utilised on other contracts which generate a $12 contribution per hour, after charging labour costs. Additional skilled labour is unavailable in the short term.
There is a surplus of 1,200 semi-skilled hours over the period of the contract but the firm has a policy of no redundancies.
The relevant cost of labour for the special contract is:

THS produces two products from different combinations of the same resources. Details of the products are shown below:

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