How to Crack CMA Foundation in First Attempt – Subject Wise Approach

Cracking the CMA Foundation exam in the first attempt requires thorough preparation, effective study techniques, and a disciplined approach. Here are some essential tips to help you succeed:
– Understand the Syllabus: Familiarize yourself with the entire CMA Foundation syllabus. Identify key topics and chapters that carry more weight.
– Create a Study Plan: Develop a comprehensive study schedule that covers all subjects. Allocate specific time slots for each subject and stick to the schedule. Include regular revision periods in your plan.
– Use Quality Study Material: Rely primarily on the study material provided by the Institute of Cost Accountants of India (ICAI). Refer to supplementary books and notes for additional clarity.
– Regular Revision: Revise each subject regularly to retain concepts. Make concise notes for quick revision, especially for complex topics.
– Practice Mock Tests: Solve previous years’ question papers and mock tests. Simulate exam conditions to improve time management and accuracy. Analyze your performance in mock tests and work on weak areas.
– Focus on Conceptual Clarity: Ensure you have a strong understanding of fundamental concepts. Avoid rote learning and focus on understanding the principles behind each topic.
– Effective Time Management: Manage your time efficiently during your preparation and the exam. Prioritize topics based on their importance and difficulty level. Allocate appropriate time to each question during the exam.
– Stay Updated: Keep track of any changes in the syllabus or exam pattern. Follow updates from the ICAI regarding the exam.
– Healthy Lifestyle: Maintain a balanced diet and get adequate sleep to stay healthy. Incorporate short breaks during study sessions to stay fresh and avoid burnout.
– Stay Positive and Confident: Maintain a positive attitude throughout your preparation. Believe in your abilities and stay motivated. Stay calm and composed during the exam.

Table of Contents

1. Introduction
2. Pattern of Examination
3. General Strategies
4. Taxmann Resources
5. Subject-wise Planning
6. Conclusion

1. Introduction

Before anything else, preparation is the key to success

– Alexander Graham Bell

Cost and Management Accountancy (CMA) – Foundation is the first step for a candidate who dreams to become a Cost and Management Accountant, clearing which could enable a candidate to begin his/her journey in the corporate/industrial world and open up new spheres of domain expertise.

An appropriate strategy backed by a positive mindset can give positive result in clearing this course with excellent marks. Understanding the paper pattern, the passing criteria and being prepared with a subject-wise roadmap will play a crucial role in clearing the CMA Foundation exam.

2. Pattern of Examination

CMA Foundation consists of four papers, all of which include objective-type questions. Institute of Cost Accountants of India (ICMAI) conducts CMA Foundation examination twice a year – June & December; which shall be an MCQ-OMR sheet based offline exam with all four tests taking place on the same day.

Paper 1 and Paper 2 will be conducted together in Session 1 of 2 hours, while Paper 3 and Paper 4 will be conducted together in Session 2 of 2 hours. Both sessions are of 200 marks with 100 questions of 2 marks each. The division of papers into 2 sessions allows candidates to manage their time effectively. Being aware of the timing for each paper helps students plan their study schedule and optimize their performance.

Each of the four papers in CMA Foundation is of 100 Marks with 50 MCQs (i.e., each question carries 2 marks); with no negative marking for incorrect answers. The passing criteria established for CMA Foundation is minimum of 40% marks in each of the four papers individually, and 50% marks in aggregate of all papers put together. There are no exemption rules in CMA Foundation exams and any students scoring less than 40% in any of the Papers will have to reappear for all the papers in the next attempt.

A successful beginning always plays a vital role in boosting a candidate’s confidence. Accordingly, there are a few general as well as subject-wise strategies that may help a candidate crack CMA Foundation in his/her first attempt.

3. General Strategies

3.1 Prepare a Schedule and Plan for Studies

Preparing a weekly or a fortnightly timetable and scheduling topics/chapters along with appropriate time allotment can enable candidates to cover more topics in lesser amount of time. Adhering to the timetable so prepared and its completion in a time-bound manner is a good way to ensure achieving small milestones towards the destination.

3.2 Self-made Notes

As all the four papers are to be appeared on a single day, appropriate study material for revision is essential for which notes can be made by the student subject-wise which may include keywords, mnemonics, technical words meaning, charts, etc. This will help the candidate to revise important topics swiftly and more efficiently.

3.3 Conceptual Clarity

Conceptual clarity is of the utmost importance during the process of learning. Hence, focus should be on having the conceptual clarity towards the basics and the very essence of the topics.

3.4 Mock Test

MCQs-based test will require a significant amount of practice, for which mock-tests available at various platforms come to the rescue. Further, it should also be noted that since there are no negative marks for incorrect answers, atleast an attempt to answer all the questions should be made. Students can access the model question paper for CMA Foundation Syllabus 2022 at ICMAI Website.

3.4 Amendments

CMA Foundation exams are conducted twice a year and may involve some amendments. Accordingly, students can check out the website for any amendments, updates, circulars or clarifications from the institute applicable for the examination.

3.5 Final Revision

Students must avoid referring to any new material/books for its revision and stick to the books from which he/she has studied earlier. Further, a student must know exactly what and from where to revise while juggling between four subjects to avoid any last-minute hassle.

3.6 Time Management

A candidate gets 60 minutes to complete 50 MCQs of 2 marks each in CMA Foundation. Thus, in order to sustain the speed, he/she must not spend much time on doubtful questions and those should be kept for the end to answer. Also, as there is no negative marking for incorrect answers, it is advised to not skip any question.

3.7 Self-management

Self-management is undervalued, but it is critical. Always remember to schedule time for physical activity and mental refreshment as part of preparation, as this is vital for preserving health. One must never get too much pressurized to pass the exam. Of course, the goal is to pass the examination, but the journey should be enjoyable. Never put too much emphasis on the end outcome; instead, concentrate on progress towards the goal.

4. Taxmann Resources

Taxmann offers a wide array of resources tailored to meet the needs of students pursuing courses in taxation, accounting, finance, and corporate laws. These resources are designed to provide comprehensive knowledge, practical insights, and up-to-date information to help students excel in their academic and professional careers.

4.1 Key Resources for Students

• Textbooks and Study Material
  1. Detailed textbooks covering subjects such as Income Tax, GST, Corporate Laws, Accounting Standards, and more.
  2. Books authored by renowned experts and professionals in the field.
  3. Updated content reflecting the latest amendments and changes in laws.

• Online Learning Platforms

1. 1. Taxmann Academy offers Tax and Accounts Professional (TAP) Course which is a comprehensive program designed to provide individuals with the skills and knowledge necessary to excel in the tax and accounting industry. It is a comprehensive course involving knowledge and skill training concerning various compliances applicable daily to business practices. With three stages – Foundation, Advanced, and Master – the course covers everything from the basics of tax law to advanced accounting principles, all presented in an engaging and easy-to-understand format.

• Video Lectures

1. 1. Comprehensive video lectures for CA, CS, and CMA courses.
   2. Lectures delivered by top faculty members with extensive industry experience.
   3. Interactive sessions and detailed explanations to enhance understanding.

• Mock Tests and Question Banks:

1. 1. Extensive collection of mock tests and practice questions for various exams.
   2. Real-time exam simulations to help students prepare effectively.
   3. Question banks curated to cover all important topics and frequently asked questions.

• Updates and Amendments

1. 1. Regular updates on changes in tax laws, regulations, and accounting standards.
   2. Notifications and circulars to keep students informed about the latest developments.

• Research and Reference Material

1. 1. Access to a vast library of research material, articles, journals, and commentaries.
   2. In-depth analysis and expert insights on various topics.

4.2 How to Access Taxmann Resources

• Website: Visit Taxmann.com/Students to explore and purchase resources.
• Subscriptions: Subscribe to Taxmann’s online portals for access to digital content.
• Bookstores: Purchase physical copies of textbooks from leading bookstores or directly from Taxmann.
• Online Courses: Enroll in video lecture courses through Taxmann’s e-learning platforms.

4.3 Benefits for Students

• Comprehensive Coverage: Extensive resources covering all aspects of taxation, accounting, and corporate laws.
• Expert Guidance: Learn from industry experts and experienced faculty members.
• Practical Insights: Gain practical knowledge through case studies and real-world examples.
• Updated Content: Stay informed with the latest updates and amendments.
• Exam Preparation: Enhance your exam readiness with mock tests and practice questions.

5. Subject-wise Planning

All the papers have 50 MCQs carrying 2 marks each of a total of 100 marks to be completed within 1 hour.

5.1 Fundamentals of Business Laws and Communication

• Marks Weightage: Section A – Fundamentals of Business Laws – 80% and Section B – Business Communication – 20%.
• Being a new subject and a theoretical one, one must study it in detail and allocate ample time for its revision. In law, every word carries some meaning and therefore utmost care should be taken while remembering the provisions.
• One of the most important chapters i.e. Indian Contract Act, 1872 carrying 30% of the weightage is to be completed on priority basis.
• The portion of business communication that is newly introduced in Syllabus 2022 is concise in length and important for scoring extraordinary marks in this Paper due to its 20% weightage. Examiners may throw some difficult questions in this topic, hence understanding of concepts, basic differentiation in related terms, and linking of concepts is to be kept in mind.
• It is advisable to take up the Sale of Goods Act & Negotiable Instrument Act having 20% weightage each, one by one, and complete those in strict allocated time.

5.2 Fundamentals of Financial and Cost Accounting

• Marks Weightage: Section A – Fundamentals of Financial Accounting – 70% and Section B – Fundamentals of Cost Accounting – 30%.
• At the onset, one should start with Accounting Principles, Rectification of Errors, Bank Reconciliation Statements, and Depreciation.
• Then, one may proceed with Accounting for Special Transactions carrying 15% of total paper weightage, following Financial Statements of sole proprietorship and of a Non-Profit Organization carrying 25% of total paper weightage. This may take quite a lot of preparation time; hence time management is the key.
• Students may prepare the Subject with rough calculations and bypass proper formatting and narration since the paper will have only options to tick. The focus should be on answering as many questions in the shortest possible time.
• A student should learn the Cost Sheet by practicing it in writing.
• Lastly, one cannot ignore theoretical portions (like definition of Cost Centre, Cost Unit, Capital and Revenue Transactions, etc.) and should have at least read it twice or more number of times to get familiar with the basic concepts.

5.3 Fundamentals of Business Mathematics and Statistics

• Marks Weightage: Section A – Fundamentals of Business Mathematics – 40% and Section B – Fundamentals of Business Statistics – 60%.
• One must develop his/her speed on the calculator to be used in the exam.
• Learn quick techniques or apply shortcuts while calculating any solution so that it takes less time to solve any question as compared to its traditional method of solving.
• At the onset, take up Statistics part which is considered to be more scoring (This will cover 60% of the paper). Topics like mean, median and mode or probability have higher weightages and therefore priority is to be given to them while preparing for Business Statistics.
• Lastly, one can proceed with Mathematics (Algebra, Arithmetic and calculus) (covering 40% of the paper). A lot of questions come from the topics like Compound Interest and Permutation and Combination. Hence, preparation should be crafted in such a manner to include more focus on these chapters.
• The concept of Calculus is newly introduced in Syllabus from which students can expect 2-3 questions.
• To reiterate, practical subjects call for deep and repetitive practice. Hence, one must practice sums of Mathematics and Statistics as many times as possible within the time allocated for this subject.

5.4 Fundamentals of Business Economics and Management (FBEM)

• FBEM is a theoretical subject comprising of Section A – Fundamentals of Economics and Section B – Fundamentals of Management with a weightage of 70% and 30% marks respectively.
• It is advisable to begin with the Theory of Demand & Supply, Theory of Production & Cost and Price Determination, and Forms of Markets that carry maximum weightage. Then, Fundamentals of Management can be completed which is considered to be comparatively easier with a considerable 30% weightage. Lastly, one may proceed with Money and Banking and other remaining topics.
• One may assume that the syllabus of this Paper is similar to what had already been learnt in higher secondary levels. However, a thorough revision is definitely required to brush up on the concepts.
• While studying, one should try to highlight and stress upon those chapters from where questions have repeatedly asked in past like Theory of Demand and Supply.

6. Conclusion

The above mentioned points will not only save time and effort but will also help in retention of most of the important concepts of every subject. Thus, besides the necessary discipline and consistency, a properly devised approach shall ensure success in the beginning stage i.e., CMA Foundation which shall also channel the way a student should approach future course of examination.