CIMA Exam CIMAPRO19-P02-1 Topic 1 Question 68 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam

Question #: 68
Topic #: 1

[All CIMAPRO19-P02-1 Questions]

Residual income is an appropriate performance measure for which type of responsibility centre?

ACost centre

BRevenue centre

CInvestment centre

DProfit centre

Show Suggested Answer

Suggested Answer: A

by Kristeen at Mar 29, 2023, 01:16 PM

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11 days ago

Hmm, residual income seems like a great fit for investment centres. Gotta maximize that return on investment, am I right?

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23 days ago

I'm not sure, but I think residual income could also work for profit centre since it focuses on profitability.

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25 days ago

I agree with Mitsue, residual income is a good measure for investment centre because it considers both income and expenses.

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26 days ago

I think residual income is best for investment centre.

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