CIMA Exam CIMAPRA17-BA3-1 Topic 1 Question 91 Discussion

Actual exam question for CIMA's CIMAPRA17-BA3-1 exam

Question #: 91
Topic #: 1

Which of the following would meet the definition of a liability in accordance with the Conceptual Framework's definition?

AAn amount due from a customer for goods dispatched two weeks ago

BAn amount due to a supplier for goods to be purchased in one month's time

CAn amount which was paid to a supplier in relation to a dispute

DAn amount due to a supplier for goods purchased one month ago

Show Suggested Answer

Suggested Answer: B

by Annamae at Jun 30, 2024, 02:24 PM

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Nilsa

5 months ago

The Conceptual Framework is always a tricky one, but I think D is the way to go. You can't go wrong with a good old-fashioned accounts payable liability!

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Malcolm

4 months ago

I'm leaning towards D as well, it fits the definition of a liability based on the Conceptual Framework.

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Tish

4 months ago

I think A could also be considered a liability, as it represents an amount due from a customer.

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Darrin

4 months ago

I agree, D seems like the most appropriate option here.

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Truman

4 months ago

D is definitely the best choice, it aligns with the Conceptual Framework's definition.

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Ivette

4 months ago

I think D as well, it fits the definition of a liability.

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Krystina

4 months ago

I agree, D seems like the most appropriate option here.

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Lura

5 months ago

Gotta go with D on this one. Liabilities are all about current obligations, and an amount due to a supplier for past purchases definitely fits the bill.

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Salley

4 months ago

Yeah, D makes the most sense when it comes to liabilities.

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Genevieve

5 months ago

I agree, D seems like the best option here.

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Scarlet

5 months ago

Option B is a future obligation, but option D is a current obligation that arose from a past transaction.

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Lenna

5 months ago

But what about option B? It's also an amount due to a supplier.

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Flo

5 months ago

I agree with Scarlet, because a liability is an obligation to pay in the future.

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Graham

5 months ago

Hmm, interesting question. I'd say C is the most amusing option - an amount paid in relation to a dispute? That sounds like a liability alright, just not a very fun one!

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Aja

4 months ago

D) An amount due to a supplier for goods purchased one month ago

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Tonette

4 months ago

C) An amount which was paid to a supplier in relation to a dispute

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Shayne

5 months ago

B) An amount due to a supplier for goods to be purchased in one month's time

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Kindra

5 months ago

A) An amount due from a customer for goods dispatched two weeks ago

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Val

5 months ago

I'm not too sure about this one. I think option B could also be considered a liability since it's an amount due to a supplier, even if it's for future purchases.

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Kyoko

6 months ago

Option D seems like the obvious answer here. The amount due to the supplier for goods purchased one month ago would meet the definition of a liability.

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Elenore

4 months ago

I agree, it's the amount due to the supplier for goods purchased one month ago.

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Dusti

5 months ago

I think option D is the correct answer.

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Scarlet

6 months ago

I think option D would meet the definition of a liability.

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