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CMA-Financial-Planning-Performance-and-Analytics – CMA Part 1: Financial PlanningPerformance and Analytics Exam

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Showing 4–6 of 10 questions

Question 4 (SECTION: 1)

Company A currently uses U.S GAAP while Company 8 is currently using IFRS. Both companies are individually in the process of internally developing trademarks that have been demonstrated to be technically and economically feasible Both companies have incurred development costs in the current year with respect to their internally developed trademarks. Which one of the following best describes how Company A and Company B should account for these development costs in their financial statements?

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    Company A should expense the development costs while Company B should capitalize the development costs
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    Company A should capitalize the development costs while Company B should expense the development costs
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    Both Company A and Company B should capitalize the development costs
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    Both Company A and Company B should expense the development costs
Question 5 (SECTION: 1)

A fitness company produces workout video content and snares it online. The company has subscribers all over the world and its subscriber base has shown steady growth Management has approached a popular workout apparel company to discuss potential sponsorship opportunities. The goal is to impress the potential sponsor by showing the growth in total subscribers over the last 12 months. All of the following would be appropriate options for visualizing this data except a

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    bar graph
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    line graph
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    pie chart
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    table
Question 6 (SECTION: 1)

Which one of the following is not considered to be a Benefit of participative budgeting?

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    Managers are held responsible for reaching their goals and cannot shift responsibility by blaming the unrealistic goals demanded by the budget.
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    Budget estimates are prepared by those in direct contact with various activities
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    individuals at all organizational levels are recognized as being pan of the team resulting in greater support of the budget
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    When managers set the final targets for the budget, it reduces top management's concerns about the profitability of operations