Ask the Accounting Community

While preparing for CMA Part 2, I realised something.

Most of the time, I knew the formulas.
NPV, IRR, WACC, risk terms - all familiar.

Still, in exam-style questions, I kept second-guessing myself:

• which cash flows are relevant

• when NPV vs IRR conflicts

• how much to write in ERM essays

What helped me was writing very simple personal notes focused on decision logic and examiner expectations, not memorisation.

I'm embedding those notes here in case they help someone who feels the same during revision.

👉Click Personal notes (Quick clarity)

Happy to hear how others are approaching Capital Budgeting and ERM for Part 2.

Thank you for sharing this perspective, Mr. Mowrey. I really appreciate it.

I agree that capital budgeting should go beyond just calculating ROI and should focus more on management actions and the quality of inputs and assumptions. That broader view is something I'm still learning to develop as a student.

From a CMA exam perspective, I've found that many of my mistakes came from focusing too much on formulas and not enough on what the numbers actually mean for the business decision. Your point about questioning inputs and outputs really connects with that.

I'll definitely read the article you attached. Thank you for contributing your experience - it's very helpful for candidates like me.