G1 - CIMA Professional Gateway Assessment (CPGA) 24 May 2011 Tuesday Afternoon Session

Instructions to candidates
You are allowed three hours to answer this question paper. You are allowed 20 minutes reading time before the examination begins during which you should read the question paper and, if you wish, highlight and/or make notes on the question paper. However, you are not allowed, under any circumstances, to open the answer book and start writing or use your calculator during this reading time. You are strongly advised to carefully read ALL the question requirements before attempting the question concerned (that is, all parts and/or subquestions). The question requirements for Section A are highlighted in a dotted box. ALL answers must be written in the answer book. Answers or notes written on the question paper will not be submitted for marking. You should show all workings as marks are available for the method you use. ALL QUESTIONS ARE COMPULSORY. Section A comprises 3 questions on pages 2 to 7. Section B comprises 1 question containing 12 objective test sub-questions on pages 8 to 11. Maths tables and formulae are provided on pages 13 to 15. These are detachable for ease of reference. The list of verbs as published in the syllabus is given for reference on page 19. Write your candidate number, the paper number and the examination subject title in the spaces provided on the front of the examination answer book. Also write your contact ID and name in the space provided in the right hand margin and seal to close. Tick the appropriate boxes on the front of the answer book to indicate which questions you have answered.

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The Chartered Institute of Management Accountants 2011

G1 - CIMA Professional Gateway Assessment

SECTION A 75 MARKS
[You are advised to spend no longer than 45 minutes on each question in this section]

ANSWER ALL THREE QUESTIONS

Question One EC, an engineering company, produces tools and components to customers' specific requirements. EC operates a job costing system and uses absorption costing to absorb overheads into the cost of each customer order. Selling prices are usually determined by adding a 30% mark up to the costs incurred in completing the order. EC has recently been asked to provide a quotation for a new customer. The details of the work have been discussed at a meeting with the customer and the following resource requirements have been determined. The cost of these resources has been calculated using the companys routine costing system. Direct material A Direct material B Skilled labour Unskilled labour Supervision labour Machine overhead Other overhead Total cost Notes: 1. Direct material A is currently held in inventory and is in regular use. EC uses a FIFO system to maintain its inventory records. The latest price paid for material A was $22 per square metre, but the replacement cost would be $23 per square metre. Direct material B is currently not used by EC and would have to be bought if the work is undertaken. The minimum order from the supplier of material B is for 25 square metres. EC does not expect to be able to use this material on any other work, though it would be able to sell it as scrap for $2 per square metre. The skilled labour that would be required is available within EC, but only if those employees are transferred from other work that they are currently doing. This other work could be done by sub-contractors who could be hired on an hourly basis at a cost of $7 per hour. Alternatively sub-contractors could be hired to work on this new customers order at a cost of $9 per hour. ECs current skilled labour is paid $8 per hour. The unskilled labour is paid an hourly rate of $6 but only for hours that they are actively working. There are only 40 hours of additional unskilled labour available within normal working hours. In order to complete the customer order on time they would have to work 20 hours of overtime. EC pays an overtime premium of 50%. The work would be supervised by the existing supervisor as part of his normal activity. The supervisor is paid an annual salary which is equivalent to $20 per hour for a 40 hour working week. The machines that would need to be used have a running cost of $12 per hour. Two different machines would be required: machine W for 12 hours and machine Z for 8 hours. Both machines are regularly used by EC. Machine W is very specialised and is used for only some of ECs work. There is sufficient spare capacity on this machine. Machine Z is in constant use by EC and, if it is required for this customer order, EC would need to hire an Note 1 2 3 4 5 6 7 5 square metres @ $20 10 square metres @ $15 100 hours @ $8 60 hours @ $6 20 hours @ $20 20 hours @ $12 160 labour hours @ $4 $ 100 150 800 360 400 240 640 2,690

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additional machine at a hire cost of $5 per hour (excluding running costs) to fulfill its normal work. 7. ECs non-machine related fixed overhead costs are absorbed into job costs using an absorption rate per labour hour.

If this customer order is accepted it must be completed during the next 30 days. EC would like to win this order as it believes that it will probably win repeat orders from the customer. The directors have therefore decided to price this work on the basis of its relevant cost plus 10%.

Required (a)
Prepare a schedule that shows the relevant cost of the new customer's order. (12 marks)

(b)

Explain, for each of the resource items numbered 1 to 7, the reason for each of the values you have included in your answer to (a) above. (7 marks) Assuming that EC wins the customer order and completes the work, and that resource costs are as expected, explain why the costs reported using the company's job costing system may be greater than the selling price charged for the customer order. Illustrate your answer using direct material A and skilled labour costs. (6 marks) (Total for Question One = 25 marks)

(c)

Section A continues on the next page

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Question Two ATL Hotel and Leisure Group has recently opened a hotel resort and leisure complex in S Country. The CEO of ATL Group is now looking at further opportunities for the company in order to take advantage of the growing number of tourists and visitors to S Country. One opportunity that he has identified is to develop a top-class eighteen hole golf course, complete with its own club-house and restaurant. Although the very hot weather conditions and desert environment mean that this will not be a straightforward venture, the CEO is hopeful that the project could be completed within eighteen months. In the longer term, his vision is to attract leading golf players from around the world to participate in major tournaments and to build a luxury apartment complex next to the golf course. Having had the idea and set the scope for the golf course project, he is now at the stage of investigating its feasibility. If this is favourable, then the CEO's intention is to appoint a project manager to manage the golf course project.

Required: (a)
Explain the purpose of project feasibility, making reference to the different types of feasibility studies that should be undertaken for the golf course project. (12 marks)

(b)

Describe the skills the CEO should look for when recruiting a project manager and explain why they are important. (13 marks) (Total for Question Two = 25 marks)

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Question Three
The statements of financial position for CVB and FG as at 30 September 2010 are provided below: CVB $000 ASSETS Non-current assets Property, plant and equipment Available for sale investment (note 1) Current assets Inventories Receivables Cash and cash equivalents Total assets EQUITY AND LIABILITIES Equity Share capital ($1 equity shares) Retained earnings Other components of equity Total equity Non-current liabilities 5% bonds 2013 (note 2) Current liabilities Total liabilities Total equity and liabilities FG $000

22,000 4,000 26,000 6,200 6,600 1,200 14,000 40,000

5,000 5,000 800 1,900 300 3,000 8,000

20,000 7,500 500 28,000

1,000 5,000 6,000

3,900 8,100 12,000 40,000

2,000 2,000 8,000

Additional information 1. CVB acquired a 15% investment in FG on 1 May 2008 for $600,000. The investment was classified as available for sale and the gains earned on it have been recorded within other reserves in CVB's individual financial statements. The fair value of the 15% investment at 1 April 2010 was $800,000. On 1 April 2010, CVB acquired an additional 60% of the equity share capital of FG at a cost of $2,900,000. In its own financial statements, CVB has kept its investment in FG as an available for sale asset recorded at its fair value of $4,000,000 as at 30 September 2010. 2. CVB issued 4 million $1 5% redeemable bonds on 1 October 2009 at par. The associated costs of issue were $100,000 and the net proceeds of $3.9 million have been recorded within non-current liabilities. The bonds are redeemable at $4.5 million on 30 September 2013 and the effective interest rate associated with them is approximately 8.5%. The interest on the bonds is payable annually in arrears and the amount due has been paid in the year to 30 September 2010 and charged to the income statement. An impairment review was conducted at the year end and it was decided that the goodwill on the acquisition of FG was impaired by 10%. It is the group policy to value non-controlling interest at fair value at the date of acquisition. The fair value of the non-controlling interest at 1 April 2010 was $1.25 million. The profit of FG for the year was $3 million, and the profits are assumed to accrue evenly throughout the year.

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6.

FG sold goods to CVB for $400,000. Half of these goods remained in inventories at 30 September 2010. FG makes 20% margin on all sales. No dividends were paid by either entity in the year to 30 September 2010.

7.

Required: (a)
Explain how the investment in FG should be accounted for in the consolidated financial statements of CVB following the acquisition of the additional 60% shareholding. (5 marks) Prepare the consolidated statement of financial position as at 30 September 2010 for the CVB Group. (20 marks) (Total for Question Three = 25 marks)

(b)

(Total for Section A = 75 marks)

End of Section A Section B starts on the next page

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SECTION B 25 MARKS
[You are advised to spend no longer than 45 minutes on this section]

ANSWER ALL TWELVE QUESTIONS

Instructions for answering Section B:

The answers to the twelve sub-questions in Section B should ALL be written in your answer book. Your answers should be clearly numbered with the sub-question number and ruled off so that the markers know which sub-question you are answering. For multiple choice questions you need only write the sub-question number and the letter of the answer option you have chosen. You do not need to start a new page for each sub-question.

Question Four
4.1 C plc is a holding company which has a number of divisions. One of the divisions, A, manufactures a component, A1, which is transferred to another division, B, where it is incorporated in product BZ. Division A is working at full capacity. The following information is available: Component A1 per unit 13 5 18 Product BZ per unit 18 30 12 60 80 20

Component A1 Variable costs Fixed costs Selling price Profit

An external customer has asked C plc to sell it 10,000 units of component A1. If C plc agrees, Division A will incur 50,000 of additional inspection costs. The directors of C plc are keen to supply the external customer as they believe other orders will follow. Assuming that there is no other available supply of component A1, what is the minimum price that C plc would have to charge per component if it did not want to suffer a reduction in profits? A B C D 38 43 55 63 (2 marks)

Section B continues on the opposite page

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4.2

P (International) plc is a UK parent company with an overseas subsidiary. As a result of an increase in taxation in the UK, the company management wishes to transfer profits from the UK to the subsidiary. It is considering changing the transfer prices charged on the goods shipped from the overseas subsidiary to P and the size of the royalty payments paid by P plc to the subsidiary. In order to transfer profit from P (International) plc to the overseas subsidiary, the management of P should

A B C D

decrease the transfer prices and the royalty payments. decrease the transfer prices but increase the royalty payments. increase the transfer prices and the royalty payments. increase the transfer prices but decrease the royalty payments. (2 marks)

4.3

K plc is a company that comprises five divisions. Each divisional manager is responsible for the divisional budget. In the context of this responsibility accounting system, which of the following would best describe a controllable cost?

A B C D

A cost for which the behaviour pattern can be analysed to facilitate effective budgetary control. A cost specific to an activity that could be avoided if the activity did not take place. A cost which refers to a decision already taken and which cannot be changed in the short term. A cost which can be influenced by the budget holder. (2 marks)

4.4

W plc is a large international company involved in the production of timber products, from the initial growing of the timber in its own plantations, right through to the final product ready for the customer. W plc is structured into a number of divisions each dealing with different stages of the production process. W plc appraises its divisional managers through the use of residual income based on controllable profit and controllable net assets. The company uses a cost of capital of 15%. Although each division is an investment centre and the divisional managers are given a great deal of autonomy, the group Finance Director does retain control of the cash function. The following information is available for the Transport division: Profit before interest and tax Profit after tax Divisional net assets Cash (included within the net assets figure) '000s 275 240 1,570 130

What is the residual income for the Transport division using W plc's appraisal system? A B C D 20,000 24,000 39,500 59,000 (2 marks)

Section B continues on the next page

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4.5 A B C D

An organisation which is typified by teamwork, flexibility and individual participation irrespective of status can be characterised by which type of culture? Process Culture People Culture Task Culture Power Culture (2 marks)

4.6 A B C D

Which conflict handling strategy involves an individual putting the interests of others first and suppressing their own interest? Accommodation Avoidance Compromise Collaboration (2 marks)

4.7 A B C D

Which ONE of the following determinants of Porter's Diamond model proposes that national competitive advantage is created through the high expectations of local customers? Factor Conditions Firm strategy, Infrastructure, Rivalry Supporting Industry Demand Conditions (2 marks)

4.8

Identify THREE of the support/secondary activities in Porter's Value Chain model. (3 marks)

4.9

BNM has $10 million $1 ordinary shares in issue at 1 January 2010. On 1 August 2010 BNM issued 2 million $1 ordinary shares at a premium of 30 cents. BNM's profit available to ordinary shareholders was $4 million for the year ended 31 December 2010. The basic earnings per share is:

A B C D

33.3 cents per share 36.9 cents per share 40 cents per share 42.5 cents per share (2 marks)

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4.10 The Directors of GHJ, an unlisted entity, have approached the directors of a smaller listed entity and have proposed an agreed takeover by GHJ. The net assets of GHJ are approximately twice as great as the target entity. This type of arrangement is known as a A B C D merger listed acquisition reverse acquisition fresh start acquisition (2 marks) 4.11 IOP operates a defined benefit pension plan for its employees. The present value of the pension plan obligations as at 31 December 2010 total $567 million. The fair value of the pension plan assets at that date total $558 million. Unrecognised gains as at 31 December 2010 were $3 million. The statement of financial position of IOP as at 31 December 2010 will show: A B C D a net pension asset of $6 million a net pension liability of $6 million a net pension liability of $9 million a net pension liability of $12 million (2 marks) 4.12 FGH acquired an investment in a listed entity and classified the investment as available for sale. 100,000 shares were acquired at $1.15 on 1 May 2010 and the related acquisition costs were $8,000. The shares were trading at $1.50 at 31 December 2010 The subsequent measurement of the available for sale investment will be recorded by: A B C D Debit investment $19,000 and credit profit or loss $19,000 Debit investment $27,000 and credit profit or loss $27,000 Debit investment $19,000 and credit reserves $19,000 Debit investment $27,000 and credit reserves $27,000 (2 marks)

Total for Section B = 25 marks)

End of Question Paper Reminder All answers to Section B must be written in your answer book. Answers to Section B written on the question paper will not be submitted for marking Maths tables and formulae are on pages 13-15 which are detachable for ease of reference
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Maths Tables and Formulae

Present value of $1, that is (1+ r ) payment or receipt.
Periods (n) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Periods (n) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 1% 0.990 0.980 0.971 0.961 0.951 0.942 0.933 0.923 0.914 0.905 0.896 0.887 0.879 0.870 0.861 0.853 0.844 0.836 0.828 0.820 2% 0.980 0.961 0.942 0.924 0.906 0.888 0.871 0.853 0.837 0.820 0.804 0.788 0.773 0.758 0.743 0.728 0.714 0.700 0.686 0.673 3% 0.971 0.943 0.915 0.888 0.863 0.837 0.813 0.789 0.766 0.744 0.722 0.701 0.681 0.661 0.642 0.623 0.605 0.587 0.570 0.554

Present Value Table

where r = interest rate; n = number of periods until

4% 0.962 0.925 0.889 0.855 0.822 0.790 0.760 0.731 0.703 0.676 0.650 0.625 0.601 0.577 0.555 0.534 0.513 0.494 0.475 0.456

Interest rates (r) 5% 6% 0.952 0.943 0.907 0.890 0.864 0.840 0.823 0.792 0.784 0.747 0.746 0.705 0.711 0.665 0.677 0.627 0.645 0.592 0.614 0.558 0.585 0.527 0.557 0.497 0.530 0.469 0.505 0.442 0.481 0.417 0.458 0.394 0.436 0.371 0.416 0.350 0.396 0.331 0.377 0.312 Interest rates (r) 15% 16% 0.870 0.862 0.756 0.743 0.658 0.641 0.572 0.552 0.497 0.476 0.432 0.410 0.376 0.354 0.327 0.305 0.284 0.263 0.247 0.227 0.215 0.195 0.187 0.168 0.163 0.145 0.141 0.125 0.123 0.108 0.107 0.093 0.093 0.080 0.081 0.069 0.070 0.060 0.061 0.051

7% 0.935 0.873 0.816 0.763 0.713 0.666 0.623 0.582 0.544 0.508 0.475 0.444 0.415 0.388 0.362 0.339 0.317 0.296 0.277 0.258

8% 0.926 0.857 0.794 0.735 0.681 0.630 0.583 0.540 0.500 0.463 0.429 0.397 0.368 0.340 0.315 0.292 0.270 0.250 0.232 0.215

9% 0.917 0.842 0.772 0.708 0.650 0.596 0.547 0.502 0.460 0.422 0.388 0.356 0.326 0.299 0.275 0.252 0.231 0.212 0.194 0.178

10% 0.909 0.826 0.751 0.683 0.621 0.564 0.513 0.467 0.424 0.386 0.350 0.319 0.290 0.263 0.239 0.218 0.198 0.180 0.164 0.149

11% 0.901 0.812 0.731 0.659 0.593 0.535 0.482 0.434 0.391 0.352 0.317 0.286 0.258 0.232 0.209 0.188 0.170 0.153 0.138 0.124

12% 0.893 0.797 0.712 0.636 0.567 0.507 0.452 0.404 0.361 0.322 0.287 0.257 0.229 0.205 0.183 0.163 0.146 0.130 0.116 0.104

13% 0.885 0.783 0.693 0.613 0.543 0.480 0.425 0.376 0.333 0.295 0.261 0.231 0.204 0.181 0.160 0.141 0.125 0.111 0.098 0.087

14% 0.877 0.769 0.675 0.592 0.519 0.456 0.400 0.351 0.308 0.270 0.237 0.208 0.182 0.160 0.140 0.123 0.108 0.095 0.083 0.073

17% 0.855 0.731 0.624 0.534 0.456 0.390 0.333 0.285 0.243 0.208 0.178 0.152 0.130 0.111 0.095 0.081 0.069 0.059 0.051 0.043

18% 0.847 0.718 0.609 0.516 0.437 0.370 0.314 0.266 0.225 0.191 0.162 0.137 0.116 0.099 0.084 0.071 0.060 0.051 0.043 0.037

19% 0.840 0.706 0.593 0.499 0.419 0.352 0.296 0.249 0.209 0.176 0.148 0.124 0.104 0.088 0.079 0.062 0.052 0.044 0.037 0.031

20% 0.833 0.694 0.579 0.482 0.402 0.335 0.279 0.233 0.194 0.162 0.135 0.112 0.093 0.078 0.065 0.054 0.045 0.038 0.031 0.026

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Cumulative present value of $1 per annum, Receivable or Payable at the end of each year for n years
1 (1+ r ) n r

Periods (n) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Periods (n) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

1% 0.990 1.970 2.941 3.902 4.853 5.795 6.728 7.652 8.566 9.471 10.368 11.255 12.134 13.004 13.865 14.718 15.562 16.398 17.226 18.046

2% 0.980 1.942 2.884 3.808 4.713 5.601 6.472 7.325 8.162 8.983 9.787 10.575 11.348 12.106 12.849 13.578 14.292 14.992 15.679 16.351

3% 0.971 1.913 2.829 3.717 4.580 5.417 6.230 7.020 7.786 8.530 9.253 9.954 10.635 11.296 11.938 12.561 13.166 13.754 14.324 14.878

4% 0.962 1.886 2.775 3.630 4.452 5.242 6.002 6.733 7.435 8.111 8.760 9.385 9.986 10.563 11.118 11.652 12.166 12.659 13.134 13.590

Interest rates (r) 5% 6% 0.952 0.943 1.859 1.833 2.723 2.673 3.546 3.465 4.329 4.212 5.076 5.786 6.463 7.108 7.722 8.306 8.863 9.394 9.899 10.380 10.838 11.274 11.690 12.085 12.462 4.917 5.582 6.210 6.802 7.360 7.887 8.384 8.853 9.295 9.712 10.106 10.477 10.828 11.158 11.470

7% 0.935 1.808 2.624 3.387 4.100 4.767 5.389 5.971 6.515 7.024 7.499 7.943 8.358 8.745 9.108 9.447 9.763 10.059 10.336 10.594

8% 0.926 1.783 2.577 3.312 3.993 4.623 5.206 5.747 6.247 6.710 7.139 7.536 7.904 8.244 8.559 8.851 9.122 9.372 9.604 9.818

9% 0.917 1.759 2.531 3.240 3.890 4.486 5.033 5.535 5.995 6.418 6.805 7.161 7.487 7.786 8.061 8.313 8.544 8.756 8.950 9.129

10% 0.909 1.736 2.487 3.170 3.791 4.355 4.868 5.335 5.759 6.145 6.495 6.814 7.103 7.367 7.606 7.824 8.022 8.201 8.365 8.514

11% 0.901 1.713 2.444 3.102 3.696 4.231 4.712 5.146 5.537 5.889 6.207 6.492 6.750 6.982 7.191 7.379 7.549 7.702 7.839 7.963

12% 0.893 1.690 2.402 3.037 3.605 4.111 4.564 4.968 5.328 5.650 5.938 6.194 6.424 6.628 6.811 6.974 7.120 7.250 7.366 7.469

13% 0.885 1.668 2.361 2.974 3.517 3.998 4.423 4.799 5.132 5.426 5.687 5.918 6.122 6.302 6.462 6.604 6.729 6.840 6.938 7.025

14% 0.877 1.647 2.322 2.914 3.433 3.889 4.288 4.639 4.946 5.216 5.453 5.660 5.842 6.002 6.142 6.265 6.373 6.467 6.550 6.623

Interest rates (r) 15% 16% 0.870 0.862 1.626 1.605 2.283 2.246 2.855 2.798 3.352 3.274 3.784 4.160 4.487 4.772 5.019 5.234 5.421 5.583 5.724 5.847 5.954 6.047 6.128 6.198 6.259 3.685 4.039 4.344 4.607 4.833 5.029 5.197 5.342 5.468 5.575 5.668 5.749 5.818 5.877 5.929

17% 0.855 1.585 2.210 2.743 3.199 3.589 3.922 4.207 4.451 4.659 4.836 4.988 5.118 5.229 5.324 5.405 5.475 5.534 5.584 5.628

18% 0.847 1.566 2.174 2.690 3.127 3.498 3.812 4.078 4.303 4.494 4.656 7.793 4.910 5.008 5.092 5.162 5.222 5.273 5.316 5.353

19% 0.840 1.547 2.140 2.639 3.058 3.410 3.706 3.954 4.163 4.339 4.486 4.611 4.715 4.802 4.876 4.938 4.990 5.033 5.070 5.101

20% 0.833 1.528 2.106 2.589 2.991 3.326 3.605 3.837 4.031 4.192 4.327 4.439 4.533 4.611 4.675 4.730 4.775 4.812 4.843 4.870

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FORMULAE
Annuity

Present value of an annuity of $1 per annum receivable or payable for n years, commencing in one year, discounted at r% per annum:
PV =

1 1 1 r [1 + r ]n

Perpetuity Present value of $1 per annum receivable or payable in perpetuity, commencing in one year, discounted at r% per annum: PV =

1 r

Growing Perpetuity Present value of $1 per annum, receivable or payable, commencing in one year, growing in perpetuity at a constant rate of g% per annum, discounted at r% per annum: PV = Time series Additive model: Series = Trend + Seasonal + Random Multiplicative model: Series = Trend*Seasonal*Random Regression analysis The linear regression equation of Y on X is given by: Y = a + bX where: b= and or solve
Covariance ( XY ) Variance ( X )

1 r g

or Y Y = b(X X ), =
n XY ( X )( Y ) n X ( X )
2 2

a= Y bX

Y = na + b X XY = a X + b X2
Exponential Geometric Learning curve Yx = aX
b

Y = ab b Y = aX

where: Yx = the cumulative average time per unit to produce X units; a = the time required to produce the first unit of output; X = the cumulative number of units; b = the index of learning. The exponent b is defined as the log of the learning curve improvement rate divided by log 2.

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LIST OF VERBS USED IN THE QUESTION REQUIREMENTS

A list of the learning objectives and verbs that appear in the syllabus and in the question requirements for each question in this paper. It is important that you answer the question according to the definition of the verb. LEARNING OBJECTIVE
Level 1 - KNOWLEDGE What you are expected to know.

VERBS USED
List State Define

DEFINITION
Make a list of Express, fully or clearly, the details of/facts of Give the exact meaning of

Level 2 - COMPREHENSION What you are expected to understand.

Describe Distinguish Explain Identify Illustrate

Communicate the key features Highlight the differences between Make clear or intelligible/State the meaning or purpose of Recognise, establish or select after consideration Use an example to describe or explain something

Level 3 - APPLICATION How you are expected to apply your knowledge.

Apply Calculate Demonstrate Prepare Reconcile Solve Tabulate

Put to practical use Ascertain or reckon mathematically Prove with certainty or to exhibit by practical means Make or get ready for use Make or prove consistent/compatible Find an answer to Arrange in a table

Level 4 - ANALYSIS How you are expected to analyse the detail of what you have learned.

Analyse Categorise Compare and contrast Construct Discuss Interpret Prioritise Produce

Examine in detail the structure of Place into a defined class or division Show the similarities and/or differences between Build up or compile Examine in detail by argument Translate into intelligible or familiar terms Place in order of priority or sequence for action Create or bring into existence

Level 5 - EVALUATION How you are expected to use your learning to evaluate, make decisions or recommendations.

Advise Evaluate Recommend

Counsel, inform or notify Appraise or assess the value of Advise on a course of action

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CIMA Professional Gateway Assessment (CPGA)

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