CMA (India) Final Exam Survival Guide

Window: India | Cost & management accounting, law, strategy

Must-do topics

• Costing: ABC, JIT, lean, life-cycle, target costing, transfer pricing
• Strategic finance: capital budgeting, WACC, valuation, M&A
• Decision-making: marginal vs absorption costing, make-or-buy, shutdown
• Performance mgmt: responsibility centers, balanced scorecard, EVA/RI
• Law & ethics: corporate governance, SEBI/Limited Liability, environment law

Top traps (avoid)

• Confusing cost drivers in ABC
• Forgetting capital rationing limits in NPV/IRR Qs
• Not adjusting for opportunity cost in decision-making Qs
• Mixing planning vs operational variances

Time split

• 3 hrs; 120 marks (20 objective + 100 descriptive)
• Essays need stepwise calc + short managerial recommendation

Last-48h checklist

• Costing formulae; transfer pricing methods
• Decision tree: accept/reject special orders
• Balanced scorecard: 4 perspectives + examples
• Ethics list: ICMA code principles

Quick facts

• EVA = NOPAT − (WACC × Capital)
• Transfer price = Variable cost + Opportunity cost (if capacity constrained)
• Flexible budget = Actual hours × Standard rate
• Variance analysis: Material Price vs Usage; Labor Rate vs Efficiency

Speed tactics

• Draw tables → quick clarity (costs, alternatives, variances)
• Always add “managerial implication” in answers
• Eliminate options that don’t maximize contribution

Day-of mini-plan

• 10-min warm-up: 2 variances + 1 EVA calc
• Pace: 1.5 min per mark; don’t overdo step math