CIMA Exam CIMAPRA17-BA2-1 Topic 1 Question 51 Discussion

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

Question #: 51
Topic #: 1

[All CIMAPRA17-BA2-1 Questions]

The following is an extract from a budgetary control report for the latest period:

The budget variance for prime cost is:

A$3,260 adverse

B$18,580 adverse

C$3,340 adverse

D$3,260 favourable

Show Suggested Answer

Suggested Answer: C

https://www.acowtancy.com/textbook/acca-ma/a3-cost-classification/cost-objects-cost-units-and-cost-centres-/notes

by James at Apr 02, 2023, 04:28 PM

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Winfred

1 months ago

Alright, let's see. The image shows a favorable variance of $3,260, so the adverse variance must be the opposite of that. Option D seems to be the right answer here.

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Gregg

2 months ago

Haha, the 'prime cost' part made me think of a prime rib dinner. I better focus on the actual numbers in the report instead of my growling stomach!

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Laurene

7 days ago

User 3: I agree, we need to focus on the numbers in the report.

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Loise

12 days ago

User 2: Let's not get distracted, the variance is $3,260 adverse.

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Barrett

19 days ago

User 1: I know, 'prime cost' does sound delicious!

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Van

2 months ago

Hmm, I'm a bit confused. The image shows a favorable variance, but the question is asking for the adverse variance. I'll have to double-check my work on this one.

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Sheron

7 days ago

Marla: Oh, I see. I guess I need to double-check my work on this one.

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Marla

1 months ago

User 2: Are you sure? The image shows a favorable variance, but the question is asking for the adverse variance.

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Glen

1 months ago

User 1: I think the answer is D) $3,260 favourable.

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Sol

2 months ago

The question clearly states that the budget variance for prime cost is adverse, so I'm going with option B. $18,580 adverse variance seems like the correct answer here.

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