CMA Part 2 Volume 2: Sections C – F Financial Decision Making HOCK international books are licensed only for individual use and may not be lent, copied, sold or otherwise distributed without permission directly from HOCK international. If you did not download this book directly from HOCK international, it is not a genuine HOCK book. Using genuine HOCK books assures that you have complete, accurate and up-to-date materials. Books from unauthorized sources are likely outdated and will not include access to our online study materials or access to HOCK teachers. Hard copy books purchased from HOCK international or from an authorized training center should have an individually numbered orange hologram with the HOCK globe logo on a color cover. If your book does not have a color cover or does not have this hologram, it is not a genuine HOCK book. Sixth Edition CMA Preparatory Program Part 2 Volume 2: Sections C – F Financial Decision Making Brian Hock, CMA, CIA and Lynn Roden, CMA HOCK international, LLC P.O. Box 204 Oxford, Ohio 45056 (866) 807-HOCK or (866) 807-4625 (281) 652-5768 www.hockinternational.com
[email protected] Published July 2014 Acknowledgements Acknowledgement is due to the Institute of Certified Management Accountants for permission to use questions and problems from past CMA Exams. The questions and unofficial answers are copyrighted by the Certified Institute of Management Accountants and have been used here with their permission. The authors would also like to thank the Institute of Internal Auditors for permission to use copyrighted questions and problems from the Certified Internal Auditor Examinations by The Institute of Internal Auditors, Inc., 247 Maitland Avenue, Altamonte Springs, Florida 32701 USA. Reprinted with permission. The authors also wish to thank the IT Governance Institute for permission to make use of concepts from the publication Control Objectives for Information and related Technology (COBIT) 3rd Edition, © 2000, IT Governance Institute, www.itgi.org. Reproduction without permission is not permitted. © 2014 HOCK international, LLC No part of this work may be used, transmitted, reproduced or sold in any form or by any means without prior written permission from HOCK international, LLC. ISBN: 978-1-934494-75-2 Thanks The authors would like to thank the following people for their assistance in the production of this material: Kevin Hock for his work in the formatting and layout of the material, All of the staff of HOCK Training and HOCK international for their patience in the multiple revisions of the material, The students of HOCK Training in all of our classrooms and the students of HOCK international in our Distance Learning Program who have made suggestions, comments and recommendations for the material, Most importantly, to our families and spouses, for their patience in the long hours and travel that have gone into these materials. Editorial Notes Throughout these materials, we have chosen particular language, spellings, structures and grammar in order to be consistent and comprehensible for all readers. HOCK study materials are used by candidates from countries throughout the world, and for many, English is a second language. We are aware that our choices may not always adhere to “formal” standards, but our efforts are focused on making the study process easy for all of our candidates. Nonetheless, we continue to welcome your meaningful corrections and ideas for creating better materials. This material is designed exclusively to assist people in their exam preparation. No information in the material should be con