Managing Costs and Finance - Exam Kit - ACCA Diploma in Financial and Management Accounting (RQF Level 3)

Oct 22, 2026

Uploaded by Terk

Exam kit material for ACCA Diploma in Financial and Management Accounting (RQF Level 3), covering “Managing Costs and Finance”. Includes index to questions and answers, syllabus and revision guidance, and an overview of the examination. The content provides practice questions across management information, cost recording, costing techniques, decision-making, cash management, and providing information, with detailed question formats such as multiple choice and double-entry accounting entries, plus mock and specimen exam questions.

LanguageEnglish

CategoryExam

FormatPDF

Pages6

Reading Time15 min

AccessFree to download

Syllabus and revision guidance

The examination

Section 1 - Management information

Section 2 - Cost recording

Section 3 - Costing techniques

Section 4 - Decision-making

Section 5 - Cash management

Section 6 - Providing information

Section 7 - Answers

Section 8 - Mock exam questions

Section 9 - Mock exam answers

Section 10 - Specimen exam questions

Section 11 - Specimen exam answers

ACCA Diploma in Financial and Management Accounting (RQF Level 3) MA2 Managing Costs and Finance EXAM KIT CONTENTS Page | Index to questions and answers | P.7 | | --- | --- | | Syllabus and revision guidance | P.9 | | The examination | P.11 | Section | 1 | Management information | 1 | | --- | --- | --- | | 2 | Cost recording | 13 | | 3 | Costing techniques | 31 | | 4 | Decision‐making | 53 | | 5 | Cash management | 71 | | 6 | Providing information | 81 | | 7 | Answers | 89 | | 8 | Mock exam questions | 153 | | 9 | Mock exam answers | 167 | | 10 | Specimen exam questions | 175 | | 11 | Specimen exam answers | 189 | INDEX TO QUESTIONS AND ANSWERS Page number Question Answer | PRACTICE QUESTIONS | | | | --- | --- | --- | | Management information | 1 | 89 | | Cost classification and cost behaviour | 6 | 92 | | Accounting for materials | 13 | 97 | | Accounting for labour | 21 | 105 | | Accounting for other expenses | 27 | 109 | | Absorption costing | 31 | 112 | | Marginal costing | 40 | 118 | | Job and batch costing | 45 | 122 | | Process costing | 48 | 124 | | Service costing | 50 | 126 | | Cost/volume/profit analysis | 53 | 127 | | Short‐term decision‐making | 60 | 133 | | Investment appraisal | 66 | 137 | | The nature of cash and cash flow | 71 | 140 | | Cash budgets | 72 | 141 | | Cash management | 76 | 143 | | Investing and financing | 77 | 144 | | Information for comparison | 81 | 146 | | Reporting management information | 85 | 150 | Section 1 MANAGEMENT INFORMATION MANAGEMENT INFORMATION 1 Place a tick in the column to indicate which THREE of the following statements are correct. | | Correct? | | --- | --- | | Cost accounting can be used for inventory valuation to meet the
requirements of internal reporting only | | | Management accounting provides appropriate information for decision making, planning, control and performance evaluation | | | Routine information can be used for both short‐term and long‐run decisions | | | Financial accounting information can be used for internal reporting purposes | | | Management accounting information must be presented in a prescribed industry format | | 2 Which of the following is the correct definition of exception reporting? A A report that is only produced when something out‐of‐the‐ordinary has happened B A report that highlights which divisions have had the best performance in the period C A report that explains which controls managers are unhappy with D A report that summarises the full year’s performance for the business 3 A company operates a fleet of delivery vehicles. It is aiming to determine cost units for operational purposes. Which of the following cost units would be useful to the company? | | Yes | No | | --- | --- | --- | | Driver hour | | | | Tonne per kilometre | | | 4 Which of the following would be included in the financial accounts, but may be excluded from the cost accounts? A Direct material costs B Depreciation of storeroom handling equipment C Bank interest and charges D Factory manager’s salary 5 What is an investment centre best described as? A a centre within an enterprise with responsibilities for revenues, costs and capital investment, and whose performance is measured by its return on capital employed B a centre within an enterprise with responsibilities for revenues and costs, and whose performance is measured by its profitability C a centre within an enterprise where costs are collected before being analysed further D a centre within an enterprise whose performance is the responsibility of a specific manager The following information relates to Questions 6 to 9. The following is a summary of entries in the work‐in‐progress (WIP) account in the cost ledger of XYZ. Opening balance Direct material used Direct labour charged to WIP Production overhead absorbed Transfers to finished goods $3,000 DR $12,500 $21,500 $17,400 $49,000 6 What is the balance of work‐i

FAQs

What topics does the “Managing Costs and Finance” exam kit cover?

It covers management information, cost recording, costing techniques, decision-making, cash management, and providing information, followed by answers and exam-style question sets.

How does the kit support revision and exam preparation?

It includes an index to questions and answers, plus syllabus and revision guidance, and then provides practice questions as well as mock and specimen exam questions.

What types of questions are included in the practice section?

The section uses exam-style formats including tick-the-box statements, multiple-choice questions, and double-entry accounting requirements for WIP and production overhead.

Oct 22, 2026

Uploaded by Terk