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CIMA BA4 Exam Syllabus Topics:

CIMA Fundamentals of Ethics - Corporate Governance and Business Law Sample Questions:

1. Company F is a new business that prides itself on being green and ethical. It uses renewable energy to run its factories, abides by all the rules and regulations and regularly donates money to sustainable development charities around the world, despite occasionally being unable to fully pay its workers.
Why is Company F in violation of Carroll's CSR pyramid?

A) It is not in violation of Carroll's pyramid.
B) Because it should be donating to charities based in their own country.
C) Because using renewable energy to run factories generally isn't advised as it can be unreliable.
D) Because it is not profitable.

2. In which of the following business organisations do the members have limited liability and the ability to keep the constitution private?

A) A general partnership
B) A limited liability partnership
C) A company limited by shares
D) A sole trader

3. On the basis of the National Minimum Wages Act 1998, what is the age range for the lowest national minimum wage entitlement?

A) workers aged 15-17
B) workers aged 16-19
C) workers aged 16-18
D) workers aged 16-17

4. Louis is the only director in MNO Ltd. Max, Nick and Olga each hold one third of the issued share capital of the company. Louis has proposed an amendment to the company's Articles of Association. Which of the following is correct?

A) The Articles may be changed if Louis and any one of the shareholders vote in favor of the proposal.
B) The Articles may be changed if any two of the shareholders vote in favor of the proposal.
C) The Articles may be changed if any one of the shareholders votes in favor of the proposal.
D) The Articles may only be changed if Max, Nick and Olga vote in favor of the proposal.

5. In the UK, the body responsible for establishing standards and related guidance for accountants providing assurance services is:

A) The International Federation of Accountants
B) The Professional Oversight Board for Accountancy
C) The Financial Reporting Council
D) The Auditing Practices Board

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