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IMANET Exam CMA Topic 2 Question 75 Discussion

Actual exam question for IMANET's CMA exam

Question #: 75
Topic #: 2

[All CMA Questions]

All of the following are tools used to evaluate solutions except

AValue analysis.

BSimulation.

CLinear programming.

DDecision theory.

Show Suggested Answer

Suggested Answer: A

Older equipment that is being disposed of is reaching the end of its productive he. Thus, in the early years of the project, the depreciation expense on the new equipment only provides an incremental tax benefit since there was some depreciation expense still being recognized on the old equipment. Once the time of the old equipment's useful life has passed, all the depreciation tax shield is being provided by the (higher) expense being recognized on the new equipment.

by Candida at Oct 02, 2023, 02:00 PM

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Angelyn

6 days ago

Hmm, this is a tricky one. I'm leaning towards option C, but I'll double-check my notes just to be sure.

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Emeline

17 days ago

Simulation and decision theory seem more like evaluation tools to me. I'll have to think about this one a bit more.

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Kiley

18 days ago

I'm pretty sure linear programming is not a tool used to evaluate solutions, so I'll go with option C.

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Gilma

21 days ago

But value analysis is used to evaluate solutions, so it should be the correct answer.

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Annice

24 days ago

I disagree, I believe the answer is B) Simulation.

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Gilma

25 days ago

I think the answer is A) Value analysis.

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