CMA Intermediate - Cost & Management Accounting (2026)

Case Scenario - I: Graphite Core Industries (established 1995) manufactures wooden pencils. Core Manufacturing Process produces lead and grooved slats, transferred to Casing & Shaping Process at 30% profit on transfer price. Casing & Shaping Process glues lead into slats, shapes and paints pencils, transferred to Finished Stock at 10% profit on transfer price. Stock in process is valued at prime cost. April 2026 data - Core Mfg: DM 4,90,000, DW 3,60,000, DE 3,40,000, FOH 3,00,000, Opening Stock 5,10,000, Closing Stock 2,50,000. Casing & Shaping: DM 8,95,000, DW 9,50,000, DE 3,80,000, FOH 5,00,000, Opening Stock 7,75,000, Closing Stock 6,00,000. Finished Stock: Opening 14,00,000, Closing 10,00,000. Finished stock valued at price received from Casing & Shaping. Sales during April 2026 = Rs.75,00,000. Inter process profit in opening stock: Casing & Shaping Rs.75,000, Finished Stock Rs.3,20,000. What is the Profit of the Core Manufacturing Process?

Case Scenario - I: Graphite Core Industries (established 1995) manufactures wooden pencils. Core Manufacturing Process produces lead and grooved slats, transferred to Casing & Shaping Process at 30% profit on transfer price. Casing & Shaping Process glues lead into slats, shapes and paints pencils, transferred to Finished Stock at 10% profit on transfer price. Stock in process is valued at prime cost. April 2026 data - Core Mfg: DM 4,90,000, DW 3,60,000, DE 3,40,000, FOH 3,00,000, Opening Stock 5,10,000, Closing Stock 2,50,000. Casing & Shaping: DM 8,95,000, DW 9,50,000, DE 3,80,000, FOH 5,00,000, Opening Stock 7,75,000, Closing Stock 6,00,000. Finished Stock: Opening 14,00,000, Closing 10,00,000. Finished stock valued at price received from Casing & Shaping. Sales during April 2026 = Rs.75,00,000. Inter process profit in opening stock: Casing & Shaping Rs.75,000, Finished Stock Rs.3,20,000. What is the Prime Cost (including Inter Process Profit) of Casing & Shaping Process?

Case Scenario - I: Graphite Core Industries (established 1995) manufactures wooden pencils. Core Manufacturing Process produces lead and grooved slats, transferred to Casing & Shaping Process at 30% profit on transfer price. Casing & Shaping Process glues lead into slats, shapes and paints pencils, transferred to Finished Stock at 10% profit on transfer price. Stock in process is valued at prime cost. April 2026 data - Core Mfg: DM 4,90,000, DW 3,60,000, DE 3,40,000, FOH 3,00,000, Opening Stock 5,10,000, Closing Stock 2,50,000. Casing & Shaping: DM 8,95,000, DW 9,50,000, DE 3,80,000, FOH 5,00,000, Opening Stock 7,75,000, Closing Stock 6,00,000. Finished Stock: Opening 14,00,000, Closing 10,00,000. Finished stock valued at price received from Casing & Shaping. Sales during April 2026 = Rs.75,00,000. Inter process profit in opening stock: Casing & Shaping Rs.75,000, Finished Stock Rs.3,20,000. What is the amount of profit included in the closing stock of Casing & Shaping Process?

Case Scenario - I: Graphite Core Industries (established 1995) manufactures wooden pencils. Core Manufacturing Process produces lead and grooved slats, transferred to Casing & Shaping Process at 30% profit on transfer price. Casing & Shaping Process glues lead into slats, shapes and paints pencils, transferred to Finished Stock at 10% profit on transfer price. Stock in process is valued at prime cost. April 2026 data - Core Mfg: DM 4,90,000, DW 3,60,000, DE 3,40,000, FOH 3,00,000, Opening Stock 5,10,000, Closing Stock 2,50,000. Casing & Shaping: DM 8,95,000, DW 9,50,000, DE 3,80,000, FOH 5,00,000, Opening Stock 7,75,000, Closing Stock 6,00,000. Finished Stock: Opening 14,00,000, Closing 10,00,000. Finished stock valued at price received from Casing & Shaping. Sales during April 2026 = Rs.75,00,000. Inter process profit in opening stock: Casing & Shaping Rs.75,000, Finished Stock Rs.3,20,000. What is the transfer price of pencils (including inter process profit) transferred to Finished Stock account from the Casing & Shaping Process?

Case Scenario - I: Graphite Core Industries (established 1995) manufactures wooden pencils. Core Manufacturing Process produces lead and grooved slats, transferred to Casing & Shaping Process at 30% profit on transfer price. Casing & Shaping Process glues lead into slats, shapes and paints pencils, transferred to Finished Stock at 10% profit on transfer price. Stock in process is valued at prime cost. April 2026 data - Core Mfg: DM 4,90,000, DW 3,60,000, DE 3,40,000, FOH 3,00,000, Opening Stock 5,10,000, Closing Stock 2,50,000. Casing & Shaping: DM 8,95,000, DW 9,50,000, DE 3,80,000, FOH 5,00,000, Opening Stock 7,75,000, Closing Stock 6,00,000. Finished Stock: Opening 14,00,000, Closing 10,00,000. Finished stock valued at price received from Casing & Shaping. Sales during April 2026 = Rs.75,00,000. Inter process profit in opening stock: Casing & Shaping Rs.75,000, Finished Stock Rs.3,20,000. What is the amount of total profit realized by Graphite Core Industries on sale of finished stock of pencils which is transferred to the Costing Profit and Loss Account?

Case Scenario - II: Safety First Tyre Company manufactures 'Puncture Resistant' motorcycle tyres via three jobs - Belting (B), Extrusion (E), Vulcanizing (V), using a special machine and an Artificial Intelligence (AI) system hired at Rs.4,08,000 per quarter. Special machine cost Rs.66,00,000, depreciation @10% p.a. straight line; Rent Rs.1,38,000 per six months; Other indirect expenses Rs.4,92,000 p.a. First month machine hours - Without AI: B 600, E 900, V Nil; With AI: B 450, E 550, V 1000. What is the amount of overheads per month for using the special machine without the aid of Artificial Intelligence (AI) system?

Case Scenario - II: Safety First Tyre Company manufactures 'Puncture Resistant' motorcycle tyres via three jobs - Belting (B), Extrusion (E), Vulcanizing (V), using a special machine and an Artificial Intelligence (AI) system hired at Rs.4,08,000 per quarter. Special machine cost Rs.66,00,000, depreciation @10% p.a. straight line; Rent Rs.1,38,000 per six months; Other indirect expenses Rs.4,92,000 p.a. First month machine hours - Without AI: B 600, E 900, V Nil; With AI: B 450, E 550, V 1000. What is the amount of overheads per month for using the special machine with the aid of Artificial Intelligence (AI) system?

Case Scenario - II: Safety First Tyre Company manufactures 'Puncture Resistant' motorcycle tyres via three jobs - Belting (B), Extrusion (E), Vulcanizing (V), using a special machine and an Artificial Intelligence (AI) system hired at Rs.4,08,000 per quarter. Special machine cost Rs.66,00,000, depreciation @10% p.a. straight line; Rent Rs.1,38,000 per six months; Other indirect expenses Rs.4,92,000 p.a. First month machine hours - Without AI: B 600, E 900, V Nil; With AI: B 450, E 550, V 1000. What is the machine hour rate for the company as a whole for a month when the Artificial Intelligence (AI) system was used?

Case Scenario - II: Safety First Tyre Company manufactures 'Puncture Resistant' motorcycle tyres via three jobs - Belting (B), Extrusion (E), Vulcanizing (V), using a special machine and an Artificial Intelligence (AI) system hired at Rs.4,08,000 per quarter. Special machine cost Rs.66,00,000, depreciation @10% p.a. straight line; Rent Rs.1,38,000 per six months; Other indirect expenses Rs.4,92,000 p.a. First month machine hours - Without AI: B 600, E 900, V Nil; With AI: B 450, E 550, V 1000. What is the machine hour rate for the company as a whole for a month when the Artificial Intelligence (AI) was not used?

Case Scenario - II: Safety First Tyre Company manufactures 'Puncture Resistant' motorcycle tyres via three jobs - Belting (B), Extrusion (E), Vulcanizing (V), using a special machine and an Artificial Intelligence (AI) system hired at Rs.4,08,000 per quarter. Special machine cost Rs.66,00,000, depreciation @10% p.a. straight line; Rent Rs.1,38,000 per six months; Other indirect expenses Rs.4,92,000 p.a. First month machine hours - Without AI: B 600, E 900, V Nil; With AI: B 450, E 550, V 1000. What is the machine hour rate for the month in respect of the individual jobs - Belting (B), Extrusion (E) and Vulcanizing (V) respectively?

The management of Gamma Limited has provided the following information for Product X: Maximum Stock Level 1125 units, Re-Ordering Level (ROL) 750 units, Minimum rate of consumption per day 25 units, Minimum lead time 5 days. What is the Re-Order Quantity (ROQ)?

The following information pertains to worker G: Basic Pay Rs.25,000/month, Dearness Allowance Rs.5,000/month, Other Allowances Rs.2,000/month. Working days in a year = 325 of 8 hours each. G availed 25 days as holiday on full pay. What is the wage rate per hour of worker G?

Job Number 501 undertaken by PCM Limited: Direct Materials Rs.60,000, Direct Wages Rs.50,000, Factory Overheads 60% of Direct Wages, Administrative Overheads 25% of Factory Cost, Profit percentage on total cost 25%. What is the selling price of Job Number 501?

AMC Travels runs 4 luxury buses (60 km apart cities), seating capacity 50, actual passengers 70% of capacity, 30 days/month, one round trip per day. Total cost for April 2026 = Rs.25,05,000. What is the cost per passenger kilometer?

XYZ Ltd. for two consecutive years: Year 1 - Sales Rs.1,80,00,000, Profit Rs.24,00,000; Year 2 - Sales Rs.2,40,00,000, Profit Rs.42,00,000. What is the Break-even Sales Value?