CIMA Exam CIMAPRO19-P02-1 Topic 6 Question 4 Discussion

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

Question #: 4
Topic #: 6

Division A and Division B are divisions of the same group. Division A transfers all of its output to Division B.

Which THREE of these alternative transfer pricing bases will prevent any cost inefficiencies in Division A being passed on to Division B?

AStandard variable cost

BActual full cost

CActual prime cost

DMarket price

EActual variable cost

FStandard variable cost plus a profit margin

Show Suggested Answer

Suggested Answer: A, D, F

by Quentin at May 06, 2022, 05:35 PM

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