Free CIMA CIMAPRA19-P03-1-ENG Practice Exam Questions and Answers 2026

M, a manufacturing company, has had some problems with defects in one of the main productsitproduces. This product has been made by the company for many years and is very profitable. Last monthithad over 300 defects reported by customers which is more than 15% of products sold. This is a reputation risk for M and is also affecting profitabilityWhich of the following controls could M introduce to reduce defects and also increase profitability?

SDF is a quoted company. Which of the following matters should normally be dealt with by SDF's audit committee?

You are theManagementAccountant for a company which supplies baked food to a string of retail outlets; biscuits, cakes, savoury snacks etc.You discover that a trainee employee, who is responsible for cleaning out the delivery vans has been taking damaged goods and packets which have reached their sales expiry date and has been selling them to friends. These products would otherwise have been discarded as waste.The trainee in question is the nephew of one of the senior managers.What is the correct course of action?

Which of the following statements are correct?

TRF is conducting a post completion audit on an investment in a pollution control machine that has reached the end of its five year useful life.TRF could have been heavily fined if the machine had failed to keep pace with the output of emissions, measured in units. TRF's cost of capital is 10%. When the machine was purchased, there was a choice of three machines on the market:TRF purchased the Big machine, but annual requirements only exceeded 600,000once, in year 3, when 720,000 units of emissions were emitted.Calculate the amount that the post completion audit showsTRF overpaid for the ownership costs associated with this machine.Give your answer to the nearest whole $ (in $'000s).