TThe percentages below show the relative weight range given to each topic in each part. The level designations indicate the depth and breadth of topic coverage in each part. A detailed content specification outline can be downloaded from IMA website in the certification section.
Part 1 – Financial Reporting, Planning, Performance, and Control
Performance Management (20%) (Level C)
Factors to be analyzed for control and performance evaluation including revenues, costs, profits, and investment in assets; variance analysis based on flexible budgets and standard costs; responsibility accounting for revenue, cost, contribution and profit centers; key performance indicators; and balanced scorecard.
Cost Management (20%) (Level C)
Cost concepts, flows and terminology; alternative cost objectives; cost measurement concepts; cost accumulation systems including job order costing, process costing, and activity-based costing; overhead cost allocation; supply chain management and business process performance topics such as lean manufacturing, ERP, theory of constraints, value chain analysis, ABM, continuous improvement and efficient accounting processes.
Internal Controls (15%) (Level C)
Corporate governance; internal control risk; internal control environment, procedures, and standards; responsibility and authority for internal auditing; types of audits; assessing the adequacy of the accounting information system controls; and business continuity planning
External Financial Reporting Decisions (15%) (Level C
Preparation of financial statements: balance sheet, income statement, statement of changes in equity, statement of cash flows; valuation of assets and liabilities; operating and capital leases; impact of equity transactions; revenue recognition; income measurement; major differences between U.S. GAAP and IFRS.
Planning, Budgeting and Forecasting (30%) (Level C)
Strategic planning process; budgeting concepts; annual profit plans and supporting schedules; types of budgets, including activity-based budgeting, project budgeting, flexible budgeting; top-level planning and analysis; and forecasting, including quantitative methods such as regression and learning curve analysis.
Part 2 Financial Decision Making
Financial Statement Analysis (25%) (Level C)
Calculation and interpretation of financial ratios; evaluate performance utilizing multiple ratios; market value vs. book value; profitability analysis; analytical issues including impact of foreign operations, effects of changing prices and inflation, off-balance sheet financing, and earnings quality.
Corporate Finance (20%) (Level C)
Types of risk; including credit, foreign exchange, interest rate, market, and political risk; capital instruments for long-term financing; initial and secondary public offerings; dividend policy; cost of capital; working capital management; raising capital; managing and financing working capital; mergers and acquisitions; and international finance.
Decision Analysis (20%) (Level C)
Relevant data concepts; cost-volume-profit analysis; marginal analysis; make vs. buy decisions; income tax implications for operational decision analysis; pricing methodologies including market comparable, cost-based and value-based approaches.
Risk Management (10%) (Level C)
Types of risk including business, hazard, financial, operational, strategic, legal compliance and political risk; risk mitigation; risk management; risk analysis; and ERM.
Investment Decisions (15%) (Level C)
Cash flow estimates; discounted cash flow concepts; net present value; internal rate of return, discounted payback; payback; income tax implications for investment decisions; risk analysis; and real options
Professional Ethics (10%) (Level C)
Ethical considerations for management accounting professionals and for the organization. A detailed content spec is available from the ICMA or it can be downloaded from www.imanet.org/certification.
CMAs have demonstrated a commitment to lifelong learning. Once you’ve completed and passed both parts of the CMA exam, you must complete 30 hours of NASBA-approved continuing professional education (CPE) each year, including a minimum of two hours in the area of ethics. Since reported CPE hours are verified on a random basis, you should keep CPE certificates and other supporting documents for a minimum of two years.