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Most Recent IMANET CMA Exam Questions & Answers


Prepare for the IMANET Certified Management Accountant exam with our extensive collection of questions and answers. These practice Q&A are updated according to the latest syllabus, providing you with the tools needed to review and test your knowledge.

QA4Exam focus on the latest syllabus and exam objectives, our practice Q&A are designed to help you identify key topics and solidify your understanding. By focusing on the core curriculum, These Questions & Answers helps you cover all the essential topics, ensuring you're well-prepared for every section of the exam. Each question comes with a detailed explanation, offering valuable insights and helping you to learn from your mistakes. Whether you're looking to assess your progress or dive deeper into complex topics, our updated Q&A will provide the support you need to confidently approach the IMANET CMA exam and achieve success.

The questions for CMA were last updated on Jan 21, 2025.
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Question No. 1

Internal factors that influence the prices charged include

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Correct Answer: B

Internal factors that influence the prices charged include such marketing objectives as scrawl, current-profit maximization, market-share leadership, and product-quality

leadership.


Question No. 2

A company has recently introduced total quality management (TQM). The company's top management wants to determine a new and innovative approach to foster total participation throughout the company. Management should

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Correct Answer: B

Group decisions tend to be more creative than individual decisions. One creative approach is brain- storming, which breaks down broadly based problems into their essentials. It is an unstructured approach that relies on the spontaneous contribution of ideas from all members of a group.


Question No. 3

One reason to outsource is so a firm can focus on its

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Correct Answer: D

Firms may gain a competitive advantage by outsouricing those activities which can be performed more efficiently,and thus at lower cost,by outside providers.doing this allow the company to expend its effort on those activities which it performs comparatively well,referred to as its core competencies.


Question No. 4

The management of Pelican, Inc. is evaluating a proposed acquisition of a new machine at a purchase price of $180,000 and with installation costs of $10,000. A $9,000 increase in working capital will be required. The machine Will have a useful life of four years, after which it can be sold for $30,000. The estimated annual incremental operating revenues and cash operating expenses are $450,000 and $300.000, respectively, for each of the four years. Pelican's effective income tax rate is 40%. and the cost of capital is 12%. Pelican uses straight-line depreciation for both financial reporting and income tax purposes. If the project is accepted, the estimated incremental after-tax operating cash flows at the end of the first year wilt be?

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Correct Answer: B

The estimated incremental after-tax operating cash flows for each year of a capital project consist of two components: the after-tax cash inflows from operations and the depreciation tax shield arising from me purchase of new equipment. The first of these for Pelican can be calculated as follows:

Pelican's total incremental after-tax operating cash flows for each year of the project's

life is thus $106,000 ($90,000 + $16,000).


Question No. 5

The internal rate of return is

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Correct Answer: D

The internal rate of return (IRR) is the discount rate at which the present value of the cash flows equals the original investment. Thus, the NPV of the project is zero at the IRR. The IRR is also the maximum borrowing cost the firm could afford to pay for a specific project. The IRR is similar to the yield rate/effective rate quoted in the business media.


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