CIMA BA4

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CIMA BA4 Exam Syllabus Topics:

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

1. Which of the following is correct?
i. A company intending to issue new shares for cash must first offer them to the existing shareholders.
ii. A company may dispense with the requirement to offer new shares to existing shareholders by passing a special resolution.
iii. A company issuing shares for a non-cash consideration is not required to offer the shares to the existing members first.

A) (i) only
B) (ii) and (iii) only
C) (ii) only
D) (i), (ii) and (iii)

2. What is the purpose of the equitable remedy of rescission?

A) To force the party in breach to carry out the contract.
B) To ensure that the innocent party is adequately compensated.
C) To prevent a party from acting in breach of contract.
D) To place the parties in their pre-contract position.

3. Section 12 of the Sale of Goods Act 1979 implies a condition into contracts for the sale of goods that the person selling the goods has the right to sell them. Which of the following is correct?
(i) The contracting parties may agree to exclude Section 12 from their contract (ii) Section 12 applies to both consumer and non-consumer contracts for the sale of goods.
(iii) A breach of Section 12 entitles the purchaser of the goods to cancel the contract.

A) (i) only
B) (ii) and (iii) only
C) (ii) only
D) (i) and (ii) only

4. Jo is employed as management accountant of a large retailer. Jo has been asked to make a payment to a bogus supplier that she believes would constitute money laundering. If Jo accepts the request, which of the following 'fundamental principles' of CIMA's Code of Ethics will be compromised?

A) Integrity
B) Objectivity
C) Professional behavior
D) Confidentiality

5. Demonstrating an attitude of esteem, deference, regard or admiration of others reflects the personal quality identified by the CIMA Code of Ethics as:

A) Reverence
B) Reliability
C) Responsiveness
D) Respect

Solutions: