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The CIMA CIMA P1 Management Accounting is a tricky little paper pass but it's one of the more interesting papers as it builds your knowledge of Management Accounting and the various concepts involved - and, after all, this is why we are studying for the CIMA qualification!
Over half (60%) of the CIMA P1 Management Accounting is concerned with;
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Reference: https://www.cimaglobal.com/Qualifications/Professional-Qualification/Operational-level/
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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Cost Accounting for Decision and Control | 30% | - Absorption and marginal costing - Standard costing and variance analysis - Activity-based costing - Cost-volume-profit (CVP) analysis - Concepts and purposes of costing - Cost classification and behaviour |
| Topic 2: Short-Term Commercial Decision Making | 30% | - Relevant costing principles - Product mix decisions - Make-or-buy and outsourcing decisions - Pricing strategies and decisions - Limiting factor analysis |
| Topic 3: Dealing with Uncertainty in the Short Term | 15% | - Risk attitudes: maximin, maximax, minimax regret - Sensitivity analysis - Probability and expected values - Decision trees - Uncertainty in budgeting and decisions |
| Topic 4: Budgeting and Budgetary Control | 25% | - Beyond budgeting and modern approaches - Flexible budgeting - Preparation of functional and master budgets - Budgetary control and performance reporting - Purposes and types of budgets |
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