part 1 cram session
Post on 03-Jan-2016
Embed Size (px)
DESCRIPTIONPart 1 Cram Session. Financial Planning, Performance , and Control. Exam format. 3 hrs - 100 multiple choice questions = approx. 1.5 minutes per question (on average). Find ways to “bank” time Look for short-cuts - PowerPoint PPT Presentation
Study Unit 2
Part 1Cram SessionFinancial Planning, Performance, and ControlExam format3 hrs - 100 multiple choice questions = approx. 1.5 minutes per question (on average).Find ways to bank timeLook for short-cutsYou will find that you most question do not seem easy, dont get discouragedYou earn points for each question answered correctlySome questions are test questions that carry no point value. You will not know which ones they areExtra time can be carried forward to the Essay portion
1 hr - 2 Essay questions with up to 8 sub-partsYou cant go back to multiple-choice part once you enter this portion of the examWhatever you have typed on the screen will be saved as your answer, irrespective if the timer runs out on you
Exam formatPart 1 Financial Planning, Performance and Control 4 hours, 100 multiple-choice questions and two 30-minute essay scenarios Planning, budgeting, and forecasting (30%) Performance measurement (25%) Cost management (25%) Internal controls (15%) Professional ethics (5%)
If you find you have weaknesses in any topic ref. Appendix A for ref. the appropriate sub units
Exam Structure & Feedback Exam structure 3 hours of multiple choice questions ~ 75% of score 1 hour of essay questions ~ 25% of score
Must earn at least 50% on multiple choice section in order to advance to essay section
Cannot return to the multiple choice section once youve advanced to the essay section of the exam
Exam StrategyTo pass the exam, you need: Knowledge Confidence Effective Time Management Commitment! Last minute prep for the examFocus on what you dont knowRealize that you will be more proficient in some topics more than othersPractice the Essay questions use the Gleim Essay WizardCreate short mock multiple choice exams (say no more than 50 questions) to condition for the longer 100 question exam, or take the Gleim online CMA Practice Exam that came with your Gleim study material. It is a 4 hour exam.You can also read the question and only the correct answer of questions at the end of each SU. It is a fast way of covering a lot of ground.Make sure your financial calculator has a fresh battery, and that it is not the first time you used it.
Day of the ExamDo not study up to the exam day/timeGive yourself plenty of time to get to the testing center. Make sure you have identified exact location priorMake sure you are well rested (probably not a good idea to take exam after a long day of work, for exampleIt is a four hour exam, make sure you are prepared for the duration (eat, etc.)Dress in layers. You can always shed layers when you are there, they have lockersDont wear a watch into the testing centerYou can bring your own foam earplugs, so long that they are in a plastic bag
Day of the ExamTake a copy of the type of calculators that are permitted with you. Ref. the ones listed on the IMA WebsiteYou realistically should not plan on any breaks outside of bathroom breaks. Note the timer keeps running if you do take a break.Be optimistic. At this point there is nothing else you can do, and being stressed or discouraged will not help your test results.
Relax - NO ONE HAS DIED FROM FAILING THE CMA EXAM, there is life beyond and we will help you pass it!!!!
ExamBudget your time, know your time hacksSee how many Essay sub-questions you will be given. There are two parts with different amounts of sub-partsAnswer the questions in consecutive order, and limit the number you want to come back to no more than say 10, but make sure you answer it before going on to the next.Never leave a question unanswered, score is based on number of correct answers.Do not allow the answer choices to affect your reading of the question
Most common reasons for missing questionsMisreading the requirement (stem) Read the question firstNot understanding what is requiredMaking a math error Try to not do calculations of paper first, with the idea of transferring to the exam later. If you know how to use your memory button(s) well on your calculator, use it (i.e. save sub-calculations in your calculator).Applying the wrong rule or conceptBeing distracted by one or more of the answers the most common wrong answers are the incorrect alternativesMost common reasons for missing questionsIncorrectly eliminating answers from considerations read all answers first, some are more correct or complete then othersNot having any knowledge of the topic tested dont agonize over it. If possible try to make an educated guess by eliminating obvious wrong answers. If you guess, use the same letter each time.Employing bad intuition when guessing
The essaysRemember, 2 essay questions with 3 to 6 parts each!
This section provides a great opportunity to earn partial credit Be sure to show your work and assumptions You can scroll between questions and scenarios within the essay section of the exam Helps to determine how much time you will need for responses
Essay Questions Pay close attention to verbs E.g., if it says compare or contrast, dont define something
Read the entire question to understand all requirements You may have more than one requirement, for example: Define abc and interpret its applicability to xyz.
Grammar and writing skills Focus is on use of standard English, organization and clarity Graders are looking for effective writing skills
Essay Questions Be brief and to the point Its ok to use bullet points!!!
Do not leave a questions blank If short on time, at least write an outline of your main points
Graders are looking to give you points, not take them away Make it as easy as possible for graders to give you points!
Essay Questions Type your responses into a text box Similar to MS Word, but with more simple functionality Effective January 2013, the spreadsheet tool is no longer being used on the CMA exam
Be sure to use all of the time available to you
EssayThere is a sample grading rubric for essay portion enclosed in slide presentation. This is interesting because this shows that the graders only give points for correct answers. They don't deduct for wrong answers. Notice on rubric for the second sample essay, there are multiple points that could be earned for each question, but the total points for each question is less than the sum for all the possible answers. This means that there is more than one correct answer. Once you get the maximum points for this part, the grader moves on. You don't get more points for embellishing.Don't embellish. Be direct. Be simple. Use bullet points. Show your work, including calculations. Use proper grammar and English. Then move on to the next question.Practice answering essays online. This will get you used to how to type calculations and make bullet points.Use ALL the time you have on your essay questions, even if you pull time from your multiple choice section.The more you study, the better you will do. It is as simple as that.
Sample Essay Question #1 A City owns and operates a community swimming pool. The pool is open each year for 90 days during the summer months of June, July, and August. A daily admission is charged to patrons of the pool. By law, 10% of all recreational and sporting fees must be remitted to a state tourism promotion fund. The City Manager has set a goal that pool admission revenue, after subtracting the state fee and variable costs, must be sufficient to cover the fixed costs. Variable costs are assumed to be 15% of gross revenue. Fixed costs for the three-month period total $33,000. The following budget for the pool has been prepared for the current year.
Adult admissions: 30 per day x 90 days x $5.00 $ 13,500 Student admissions: 120 per day x 90 days x $2.50 27,000 Total revenue 40,500 State tourism fee 4,050 Net revenue36,450 Variable costs 6,075 Fixed costs 33,000 Expected deficit $ (2,625) The City Manager is trying to determine what admission mix is necessary to break even and what actions could be taken to eliminate the expected deficit. Essay Requirements (partial) Given the anticipated mix of adult and student admissions, how many total admissions must the pool have in order to break even for the season?
Regardless of the admissions mix, what is the highest number of admissions that would be necessary to break even for the season?
Sample Essay Response Question 1: Given the anticipated mix of adult and student admissions, how many total admissions must the pool have in order to break even for the season? Sample Response: The contribution margin is 75% or $3.75 per adult admission, and $1.875 per student admission. The mix is 20% adult (30 150) and 80% student (120 150). Calculate the weighted average contribution margin (WACM) WACM = 0.20 ($3.75) + 0.80 ($1.875) = $2.25 The breakeven point in units is calculated as follows: Fixed costs WACM Fixed costs = $33,000 WACM = $2.25 $33,000 $2.25 = 14,667 admissions per season
Sample Essay Response Question 2: Regardless of the admissions mix, what is the highest number of admissions that would be necessary to break even for the season? Sample Response: To calculate the highest number of admissions to break even, you would assume that all admissions are students. Thats because the student admission price is the lowest of all admission prices. The breakeven point in units is calculated as follows: Fixed costs Contribution margin for students Fixed costs = $33,000 Contribution margin for students = $1.875 $33,000 $1.875 = 17,600 admissions per season
City Pool Question Item Description Maximum % Score Points CorrectQuestion 1 8 CM% = 1-10%-15% (75%) 1 0Adult = 75% x $5 ($3.75) 1