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CIMA BA4 Exam Syllabus Topics:

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

1. Self regulation is based upon:

A) Professional bodies
B) Trust
C) Rules
D) Compliance

2. Zed plc wishes to issue £500,000 of shares on terms that the holders will receive a dividend before the other shareholders and they will be bought back by the company in 12 months' time. Which of the following best describes these shares?

A) Redeemable ordinary shares
B) Preference shares
C) Redeemable preference shares
D) Ordinary shares

3. Which of the following is INCORRECT in relation to the United States of America (USA)?
(i) In the event of a conflict between state and federal legislation, state legislation is superior.
(ii) The USA has a federal system of government.
(iii) Legislation is enacted by Congress.

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

4. When might an ethical dilemma occur?

A) When a code of ethics provides clear guidance on next steps
B) When legislation dictates the appropriate course of action
C) All of the above
D) When there is a conflict of interest

5. Which THREE of the following statements are correct regarding the CIMA Code of Ethics for Professional Accountants?

A) The CIMA Code imposes an obligation on CIMA members and students to comply with relevant laws and regulations
B) The CIMA Code is mandatory for all CIMA members and students, and is applicable to all professional services.
C) The CIMA Code is an example of a compliance driven ethical framework
D) Professional accountants should consider the ethical requirements contained in the CIMA Code as the basic principles which they should follow in performing their work
E) Where a statutory requirement is in conflict with a provision of the CIMA Code, the CIMA Code requirement prevails

Solutions: