ACCA Performance Management Exam: Full Guide 2025

The ACCA Performance Management exam, also known as PM, is one of the most crucial applied skills level papers in the ACCA course. If you are preparing for the PM paper in 2025, this guide will help you understand the syllabus, question types, exam structure, and effective strategies to pass.
Whether you're a student in India or anywhere globally, this ACCA Performance Management exam guide is designed to give you complete clarity and boost your chances of clearing it in the first attempt.

What is the ACCA Performance Management (PM) Paper?

The Performance Management paper helps students apply management accounting techniques to support planning, control, and decision-making. It builds on concepts introduced in Management Accounting (MA) and prepares you for strategic-level exams like Advanced Performance Management (APM).
The PM paper mainly focuses on:

• Budgeting and variance analysis
  
  

• Costing methods and decision-making
  
  

• Performance measurement and control
  
  

• Data analysis for business insights
  
  

It plays a major role in shaping your analytical and problem-solving skills.

ACCA PM Paper Structure – 2025 Format

The ACCA Performance Management exam is a computer-based exam (CBE) available four times a year: March, June, September, and December.
Total Duration: 3 hours (plus 10 minutes of reading time)
Total Marks: 100
Pass Marks: 50%

The Paper Has 3 Sections:

Section	Description	Marks
A	15 objective test questions	30
B	3 scenario-based OT case questions	30
C	2 long-form, constructed response questions	40

Section C requires detailed workings, reports, or calculations, so practicing is key. Use mock exams regularly.

ACCA PM Syllabus – 2025

Here’s a breakdown of the syllabus for the ACCA PM paper in 2025:

A. Information, Technologies & Systems

• Understanding how information systems support performance management
  
  

• Use of big data and analytics
  
  

B. Specialist Cost and Management Accounting

• Activity-based costing (ABC)
  
  

• Throughput accounting
  
  

• Life-cycle costing
  
  

• Target costing
  
  

C. Decision-Making Techniques

• Relevant cost analysis
  
  

• Limiting factor decisions
  
  

• Pricing decisions
  
  

• Make or buy decisions
  
  

D. Budgeting and Forecasting

• Functional budgets
  
  

• Behavioural aspects of budgeting
  
  

• Variance analysis
  
  

• Beyond budgeting techniques
  
  

E. Performance Measurement & Control

• Financial and non-financial KPIs
  
  

• Balanced Scorecard
  
  

• Divisional performance
  
  

• Transfer pricing
  
  

Understanding the ACCA syllabus will make your preparation much stronger.

Who Should Attempt the ACCA PM Paper?

The ACCA PM exam is suitable for candidates who have already passed:

• Business and Technology (BT)
  
  

• Management Accounting (MA)
  
  

• Financial Accounting (FA)
  
  

It is often taken as the first or second paper in the Applied Skills level.
Ideal for students pursuing a career in:

• Management accounting
  
  

• Business analysis
  
  

• Finance business partnering

• Decision support

Tips to Pass the ACCA Performance Management Exam

Here are some tried-and-tested tips to help you pass the ACCA PM paper:

1. Understand the Exam Pattern
   Spend time analyzing past papers and structure.
   
   

2. Master Key Formulas
   Learn important costing and variance formulas.
   
   

3. Time Management
   Practice mock exams with a timer.
   
   

4. Practice with ACCA Approved Content
   Use approved study material.
   
   

5. Focus on Performance Measurement
   A common weak spot for students is non-financial performance indicators.

6. Use ACCA Practice Platform ACCA provides a free CBE Practice Platform, just like many online ACCA courses.

Common Mistakes to Avoid

• Ignoring theory: Many students focus only on calculations and ignore the theory-based MCQs.
  
  

• Poor presentation in long answers: Structure your answers well.

• Relying only on YouTube: Always refer to official ACCA resources.

ACCA Performance Management Exam – Difficulty Level

The ACCA PM exam is considered moderate to challenging, mainly due to the mix of practical and theoretical questions. The global pass rate is usually between 38%–45%.

Career Opportunities After Clearing ACCA PM

Clearing the ACCA Performance Management paper adds value to your resume. It shows employers that you understand business decisions and financial control. Job roles after this paper include:

• Assistant Management Accountant
  
  

• Finance Analyst
  
  

• Cost Accountant
  
  

• Business Finance Executive
  
  

• Internal Auditor
  
  

It also lays the foundation for advanced-level papers like AFM, APM, and SBL, essential for leadership roles.

Conclusion

The ACCA Performance Management exam in 2025 offers a strong combination of practical business knowledge and analytical skills. If you are preparing seriously, stay consistent, practice mock exams, and revise each syllabus area thoroughly. Whether you’re in India or overseas, PM is one of the most essential papers for success in the accounting and finance world.

If you need help choosing or enrolling in courses like ACCA, CMA USA, EA, or US CPA, contact the team at NorthStar Academy.

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