CIMA Study Guide 2026
Everything you need to pass the CIMA exam in one place: the exam format, every topic to study, real practice questions with explanations, flashcards, and full-length practice tests. Free, no sign-up needed.
📋 CIMA Exam Format at a Glance
📚 CIMA Topics to Study (23)
✍️ Sample CIMA Questions & Answers
1. In US taxation, what is 'depreciation recapture'?
Depreciation recapture requires that gains on the sale of an asset, to the extent they reflect previously deducted depreciation, be recognized as ordinary income.
2. Which financial instrument gives the holder the right, but not the obligation, to buy an asset at a specified price on or before a specified date?
A call option gives the holder the right, but not the obligation, to purchase an underlying asset at the strike price before or at expiration.
3. The PESTEL framework is used to analyze which type of business environment?
PESTEL analyzes macro-environmental factors: Political, Economic, Social, Technological, Environmental, and Legal influences on an organization.
4. Which type of risk cannot be eliminated through diversification in a portfolio?
Systematic (market) risk affects all investments and cannot be eliminated through diversification, unlike unsystematic risk which is company-specific.
5. What is 'residual income' as a performance measure for investment centers?
Residual income is operating profit minus a notional charge for the capital employed, rewarding managers who earn above the required rate of return.
6. What type of risk is associated with changes in foreign exchange rates affecting the value of transactions?
Currency transaction risk arises when exchange rate movements affect the value of foreign currency denominated transactions before they are settled.