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What do you learn in P1?
- Why costing is done and what it is used for, including appropriate costing methods and techniques and where digital costing might be used.
- How budgets are prepared and implemented across the organisation, the impact these have, and how techniques are applied to ensure sound short term decision making, against a backdrop of risk and uncertainty, by using appropriate risk management tools.
Understanding function and technical aspects of Prepare information to support short-term decision-making
The following will be discussed in CIMA P1 exam dumps:
- Apply appropriate techniques that support short-term decision-making
- Explain factors that could influence short-term decisions
- Apply appropriate techniques to deal with situations where there is risk and uncertainty
- Identify relevant costs and benefits
- Prepare information to support operational decisions
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CIMA P1 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Cost-Volume-Profit Analysis | - Contribution and margin of safety - Break-even analysis |
| Costing Techniques | - Absorption and marginal costing - Overhead allocation and absorption |
| Budgeting | - Cash and functional budgets - Budget preparation and purpose |
| Introduction to Management Accounting | - Role and purpose of management accounting - Cost classification and cost behavior |
| Standard Costing and Variance Analysis | - Interpretation of variances - Material, labor, and overhead variances |
| Short-term Decision Making | - Relevant costing principles - Make or buy and limiting factors |
