CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 40 Discussion

Actual exam question for CIMA's CIMAPRA17-BA2-1 exam

Question #: 40
Topic #: 1

Refer to the exhibit.

The following conventional breakeven chart has been drawn for a product. Forecast sales volume for next period is V units.

Which ONE of the following distances on the graph indicates the forecast profit for next period?

ADistance a

BDistance b

CDistance c

DDistance d

Show Suggested Answer

Suggested Answer: D

by Carmen at Aug 20, 2022, 10:08 PM

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Edward

1 months ago

Yo, this chart is straight-up giving me flashbacks to my high school economics class. Remember when the teacher used to draw these things on the chalkboard and we'd all just stare at them blankly? Good times, good times.

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Farrah

12 days ago

I think you're right, distance c does seem to indicate the forecast profit for next period.

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Selene

18 days ago

Yeah, I never really understood them either. But I think the answer might be distance c.

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Laurena

19 days ago

I remember those days, breakeven charts were always so confusing.

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Aretha

2 months ago

Alright, let's think this through. The forecast sales volume is V units, so the answer has to be related to that. I'm leaning towards B, distance b, but I'm also kinda hungry for a donut right now. Anyone else?

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Shenika

3 days ago

I'm not sure about the answer, but now I want a donut too. Thanks for that!

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Svetlana

5 days ago

I agree, distance b seems like the most logical choice given the information provided.

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Dell

28 days ago

I think it's distance b too. It makes sense based on the forecast sales volume.

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Jaime

2 months ago

I'm gonna go with C, distance c. Why? Because it looks the most dramatic on the chart, and you know what they say, 'go big or go home!' Plus, who doesn't love a good underdog story?

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Denae

17 days ago

I'm not sure, but I think distance a might be the forecast profit for next period. It looks like a significant point on the graph.

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Becky

1 months ago

I agree with you, I also think it's distance b. It makes more sense based on the chart.

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Harrison

1 months ago

I think it's actually distance b. It seems to be the point where profit is maximized.

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Desiree

2 months ago

Wait, wait, wait. Is it just me, or does this chart look like it's straight out of a middle school math textbook? I mean, come on, this is a certification exam! They could at least try to make it a little more challenging.

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Dannie

10 hours ago

Floyd: Yeah, but they could have made it a bit more challenging for a certification exam.

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Jonell

2 days ago

User 3: Maybe they wanted to keep it simple for everyone to understand.

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Floyd

4 days ago

User 2: I agree, it looks like something we learned in middle school.

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Vernice

8 days ago

User 1: I know right, this chart looks so basic.

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Bok

16 days ago

User 4: Yeah, but it doesn't really test our skills if it's that simple.

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Deeann

27 days ago

User 3: Maybe they wanted to make sure everyone could understand it easily.

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Blair

28 days ago

User 2: I agree, it looks like something from a basic math class.

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Stephaine

1 months ago

User 1: I know right, this chart looks way too simple.

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Dion

2 months ago

Hmm, that makes sense. I see your point now.

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Wei

2 months ago

I disagree, I believe it is Distance c because it represents the forecast profit.

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Catalina

2 months ago

Hmm, this is tricky. I think the answer is B, distance b. That's the difference between the total revenue and the total cost at the forecast sales volume. Easy peasy, right?

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