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CIMA P2 exam is aimed at individuals who have already completed the CIMA Operational level and are looking to progress to the next level of their certification. P2 exam is divided into two main sections, each comprising of three hours of testing. The first section covers advanced management accounting techniques and the second section focuses on business performance management.

To prepare for the exam, candidates are recommended to take a course in advanced management accounting and study the relevant materials provided by CIMA. They should also practice past papers, which are available on the CIMA website. P2 exam is computer-based and consists of 90 multiple-choice questions. Candidates have three hours to complete the exam, and a score of 70% or higher is required to pass.

Reference: https://planner.cimaglobal.com/proqual/2019/management/P2

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CIMA P2 Exam Syllabus Topics:

SectionObjectives
Topic 1: Budgeting and Control- Variance analysis and performance management
  • 1. Performance evaluation techniques
    • 2. Fixed vs flexible budgets
      - Budgeting systems
      • 1. Rolling budgets
        • 2. Incremental vs zero-based budgeting
          Topic 2: Cost Accounting Systems- Activity-based costing (ABC)
          • 1. Cost drivers and allocation
            • 2. ABC applications in decision making
              - Standard costing and variance analysis
              • 1. Material, labour, and overhead variances
                • 2. Planning vs operational variances
                  Topic 3: Risk and Uncertainty- Risk management techniques
                  • 1. Simulation and scenario analysis
                    - Decision making under risk
                    • 1. Sensitivity analysis
                      • 2. Expected value and probability analysis
                        Topic 4: Short-term Decision Making- Pricing decisions
                        • 1. Cost-volume-profit analysis
                          • 2. Marginal costing approaches
                            - Relevant costing
                            • 1. Limiting factor analysis
                              • 2. Make or buy decisions

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