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February 201615.00

Foundations in Accountancy FMA / ACCA Paper F2

Management Accounting

This Kit provides material specifically for the practice and revision stage of your studies for Foundations in Accountancy FMA Management Accounting and ACCA Paper F2 Management Accounting that has been comprehensively reviewed by the ACCA examining team. This unique review ensures that the questions, solutions and guidance provide the best and most effective resource for practising and revising for the exam.

One of a suite of products supporting Foundations in Accountancy FMA Management Accounting and ACCA Paper F2 Management Accounting, for use independently or as part of a package, this Kit is targeted at Foundations in Accountancy exams from 1 September 2016 to 31 August 2017 and contains:

DO YOU KNOW? Checklists to test your knowledge of Management Accounting topics A bank of exam-standard MCQs with answers, covering the syllabus Two mock exams including the FMA/F2 Specimen exam

ACCA approved content providerBPP Learning Media is dedicated to supporting aspiring business professionals with top-quality learning material as they study for demanding professional exams, often whilst working full time. BPP Learning Medias commitment to student success is shown by our record of quality, innovation and market leadership in paper-based and e-learning materials. BPP Learning Medias study materials are written by professionally qualified specialists who know from personal experience the importance of top-quality materials for exam success.

Foundations in Accountancy FMA / ACCA Paper F2Management Accounting

For exams from 1 September 2016 to 31 August 2017

ACCA ApprovedPractice & Revision Kit

Managem

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ractice & R

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Foundations in Accountancy

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PR A C T I C E

&

R E V I S I O N

K I T

Welcome to BPP Learning Media's Practice & Revision Kit for FMA. In thisFMA/F2 Practice & Revision Kit, which has been reviewed by the ACCA examination team, we:

Include Do you know? Checklists to test your knowledge and understanding of topics

Provide you with two mock exams including the Specimen Exam June 2014

Provide the ACCA exam answers to the Specimen Exam June 2014 as an additional revision aid

FOR EXAMS FROM 1 SEPTEMBER 2016 TO 31 AUGUST 2017

Foundations in Accountancy

PAPER F2 FMA MANAGEMENT ACCOUNTING

Note FIA FMA and ACCA Paper F2 are examined under the same syllabus and study guide.

FMA/F2 MANAGEMENT ACCOUNTING

ii

First edition May 2011 Fifth edition March 2016

ISBN 9781 4727 4594 1 (Previous ISBN 9781 4727 3535 5) e-ISBN 9781 4727 4639 9

British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library

Published by

BPP Learning Media Ltd BPP House, Aldine Place London W12 8AA

www.bpp.com/learningmedia

Printed in the UK by RICOH UK Limited

Unit 2 Wells Place Merstham RH1 3LG

Your learning materials, published by BPP Learning Media Ltd, are printed on paper obtained from traceable sustainable sources.

All our rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of BPP Learning Media.

We are grateful to the Association of Chartered Certified Accountants for permission to reproduce past examination questions. The suggested solutions in the practice answer bank have been prepared by BPP Learning Media Ltd, except where otherwise stated.

BPP Learning Media Ltd 2016

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CONTENTS

iii

Contents Page

Finding questions Question index ..............................................................................................................................v

Helping you with your revision....................................................................................................... vii Using your BPP Practice and Revision Kit...................................................................................... viii Passing the FMA/F2 exam ............................................................................................................. ix Approach to examining the syllabus ................................................................................................ ix The Computer Based Examination ................................................................................................... x Tackling Multiple Choice Questions................................................................................................. xi Using your BPP products.............................................................................................................. xii

Questions and answers Questions .................................................................................................................................... 3 Answers .................................................................................................................................. 149

Formula sheet and tables ............................................................................................................. 229

Exam practice Mock exam 1 Specimen Exam June 2014 Questions......................................................................................................................... 237 Answers........................................................................................................................... 253 ACCA's exam answers ....................................................................................................... 261

Mock exam 2 Questions......................................................