Free CIMA CIMAPRO19-P02-1-ENG Exam Questions

Become CIMA Certified with updated CIMAPRO19-P02-1-ENG exam questions and correct answers

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Total 205 Questions | Updated On: Oct 26, 2026

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Question 1

A manufacturing company is in the process of introducing just in time (JIT) and total quality management (TQM) into every aspect of its value chain.
Which TWO of the following are appropriate changes to make to the support activities in the organization's value chain?

A : bound logistics would need to ensure that materials of appropriate quality are delivered on a just in time basis.

B : erations would need to be carried out on a right first time basis as any failure could delay production.

C : ter sales service would need to ensure that appraisal costs are kept to a minimum.

D : ocurement would need to arrange to purchase goods so that they are delivered as required.

E : rm infrastructure would need to arrange appropriate training courses for staff.

F : chnology development would need to ensure that processes are continually improving.

Answer: A,D

Question 2

A very large organization is financed by both debt and equity. It evaluates all projects on the basis of their net present value (NPV) using an organization wide weighted average cost of capital as the discount rate.
For a small project, which TWO of the following would affect the project's cash flows AND the discount rate?

A : xation rates

B : flation rates

C : preciation rates

D : Changes in working capital

E : project's terminal value

Answer: A,B

Question 3

Which TWO of the following conditions are necessary for a learning curve to apply?

A : process must be simple.

B : process must be complex.

C : There must be regular breaks in production.

D : oduction must be machine intensive.

E : oduction must be labor intensive.

Answer: A,B

Question 4

Which of the following statements about the use of traditional budgeting compared with a beyond budgeting approach is correct?

A : the organization has devolved decision making, beyond budgeting is not appropriate because it does not allow the same level of empowerment as traditional budgeting.

B : the organization's products are subject to rapid technological change, beyond budgeting would allow managers to respond more quickly than under traditional budgeting.

C : there is a dynamic external environment with fast moving opportunities, beyond budgeting will inhibit the organization's ability to take advantage of these opportunities whereas traditional budgeting will not.

D : the organization's culture is such that a top down budgeting system is desired then this is better achieved by adopting beyond budgeting rather than traditional budgeting.

Answer: B

Question 5

The following summarised financial statements have been prepared by JNM's North subsidiary for the year just ended:

Calculate the North subsidiary's Residual Income, assuming that JNM's cost of capital is 10%.
Give your answer to the nearest $ million.

A :

Answer: A

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Total 205 Questions | Updated On: Oct 26, 2026

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