ACCA Performance Management (PM) MCQ Strategy: Section A and B Tips

Performance Management has had one of the lowest pass rates among ACCA's Applied Skills exams. In ACCA's June 2026 results it was 41%, the lowest of that group (see our pass rates breakdown). Students often blame Section C, the two long questions. But 60 of the 100 marks come from Sections A and B, and that is where a pass is usually built or lost. This guide covers how those sections work and how to approach them. Format details are from ACCA's PM exam guidance as of October 2026; check accaglobal.com for any changes, especially as ACCA moves towards its redesigned qualification from 2027.

The PM Exam Format

Section A: 15 objective test questions, 2 marks each, 30 marks in total.
Section B: 3 objective test cases, each a scenario with 5 questions worth 2 marks, 30 marks in total.
Section C: 2 constructed response questions of 20 marks each, 40 marks in total.
Duration: 3 hours. Pass mark: 50%.

Section C questions come from the decision-making, budgeting and control, and performance measurement areas of the syllabus. Sections A and B can test the whole syllabus, including specialist cost and management accounting techniques, which is why they reach topics the long questions do not.

Your Time Budget

Three hours for 100 marks is 1.8 minutes per mark. That gives roughly:

Section A: 54 minutes, or about 3.6 minutes per question.
Section B: 54 minutes, or about 18 minutes per case.
Section C: 72 minutes, or 36 minutes per question.

The biggest risk is running over in Section A and arriving at Section C with 50 minutes instead of 72. Write the clock time you should finish each section on your scratch paper before you start, and stick to it.

Section A Tips

Work the answer before you read the options

PM distractors are built from common mistakes: using total costs instead of incremental costs, applying the learning curve to the wrong batch, mixing up favourable and adverse variances. If you scan the options first, one of them will look like your half-finished answer. Calculate first, then match.

Know the formulas cold

Section A rewards speed on standard techniques: the learning curve formula, throughput accounting ratio, ROI and RI, mix and yield variances, planning and operational variances, and the basics of linear programming. If you have to rebuild a formula from scratch in the exam, you are spending time you need for Section C.

Read the requirement word by word

"Which of the following is NOT", "the total variance" versus "the materials mix variance", "per unit" versus "in total". Many PM marks are lost to answering a nearby question correctly.

Do not get stuck

Every Section A question is worth the same 2 marks. If one takes more than five minutes, flag it, pick your best option and move on. Never leave a blank, because there is no negative marking.

Section B Tips

Read the five questions before the scenario

Each case has a scenario and five questions. Skim the questions first so you know which numbers matter when you read the scenario. Usually some questions are calculations and some test understanding, and they can often be answered independently.

Answer the discursive questions first

Within a case, the narrative questions (for example, which statement about target costing is true) are often quicker than the calculations. Bank them, then spend the rest of the case's time on the numbers.

Expect the same topic from different angles

A Section B case on variances might ask you to calculate a variance, identify a likely cause, and spot which statement about standard costing is false. Learn each topic well enough to calculate, explain and evaluate it.

Treat each case as an 18-minute block

If a case is going badly, finish your best answers and move on. Five questions at 2 marks each means one difficult question costs only 2 marks if you leave it with a sensible guess.

The Topics Most Likely to Trip You Up

Learning curve: confusing cumulative average time with the time for an incremental unit or batch.
Throughput accounting: treating labour as a variable cost when the throughput approach treats it as part of total factory costs.
Relevant costing: including sunk or committed costs, or using historical cost for materials that would need to be replaced.
Mix and yield variances: using actual prices instead of standard prices, or the wrong total quantity.
Planning and operational variances: mixing up which standard (original or revised) applies to which variance.
Performance measures: knowing what ROI and RI encourage managers to do, not only how to calculate them.

How to Practise for Sections A and B

Topic sets first. As you finish each chapter, do 15 to 20 objective questions on it from our free ACCA PM question bank. Note every mistake and the reason for it.
Then mixed timed sets. Practise 15 mixed questions in 54 minutes to copy Section A. When you can finish with a few minutes to spare and score well, you are on track.
Little and often. A short daily set keeps earlier chapters fresh while you study later ones. The ACCA daily challenge gives you 10 questions a day.
Full mocks. In the last few weeks, sit full three-hour mocks in ACCA's CBE practice platform so the software and timing feel familiar. Pro adds unlimited timed simulators if you want more.

If you passed MA, much of the base is familiar; our ACCA MA guide covers the foundation techniques that PM builds on.

FAQs

How many marks are objective test questions in ACCA PM?
60: 30 in Section A and 30 in Section B.

How long should I spend on Section A?
About 54 minutes, based on 1.8 minutes per mark.

Is there negative marking in ACCA PM?
No. Answer every question.

What topics come up in PM Section C?
ACCA says Section C questions come from decision-making techniques, budgeting and control, and performance measurement and control.

Where can I practise PM objective test questions for free?
Use our ACCA PM MCQ bank.