CIMA Exam CIMAPRO19-P02-1 Topic 6 Question 66 Discussion

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

Question #: 66
Topic #: 6

A company makes three products, E, F and G. Total overheads for the year are expected to be $1.2 million, with the following split between cost pools:

Cost driver information has been estimated as follows:

The company plans to make 10,000 units of product E in the year, with an expected direct cost of $0.60 per unit. This annual production of product E is expected to require 20 quality inspections, 28 purchase requisitions, and 400 kilogrammes of materials.

What is the overhead cost per unit of product E?

A$0.10

B$0.70

C$3.57

D$4.17

Show Suggested Answer

Suggested Answer: C, D

by Pamella at Mar 03, 2023, 12:12 AM

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Shantell

1 months ago

Okay, let's do this! I'm feeling confident about this one. With a little bit of number crunching, I'm sure I can nail the overhead cost per unit of product E.

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Lavonna

1 months ago

Haha, this question is a real brain-teaser! I bet the answer is hidden somewhere in all those numbers and formulas. Time to put on my thinking cap!

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Agustin

6 days ago

No, I believe it's $3.57.

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Toshia

11 days ago

I think the overhead cost per unit of product E is $0.10.

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Nobuko

1 months ago

Hmm, I'm not sure about this one. The cost driver information seems a bit complex, but I think I can figure it out if I break it down carefully.

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Gracia

14 days ago

D) $4.17

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Rossana

19 days ago

C) $3.57

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Quiana

26 days ago

B) $0.70

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Ona

1 months ago

A) $0.10

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Kaitlyn

2 months ago

Alright, let's think this through step-by-step. If the total overheads are $1.2 million and the company plans to make 10,000 units of product E, the overhead cost per unit should be straightforward to calculate.

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