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CIMA BA4 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Corporate Governance, Controls and Corporate Social Responsibility | 45% | - Corporate governance framework
|
| Topic 2: Business Ethics and Ethical Conflict | 30% | - Ethical principles and professional behaviour
|
| Topic 3: General Principles of Legal System, Contract and Employment Law | 15% | - Business law fundamentals
|
| Topic 4: Company Administration | 10% | - Corporate legal administration
|
CIMA Fundamentals of Ethics - Corporate Governance and Business Law Sample Questions:
Which of the following statements reflects the leadership principles of corporate governance on board behavior?
- A. Good governance practice encourages control to be concentrated in the hands of one director
- B. Good governance practice encourages independent challenge and rigour in strategic development
- C. Good governance practice encourages compromise, consensus and discourages confrontation in board decision-making
- D. Good governance practice vests the responsibility for board decision making with the CEO
Correct Answer: B 🗳️
Which of the following remedies is available as of right in the event of a breach of contract?
(i) Specific performance.
(ii) Damages.
(iii) An injunction.
- A. (ii) only
- B. (iii) only
- C. (i) only
- D. (ii) and (iii) only
Correct Answer: A 🗳️
You are at a conference. The finance director of one of your competitors is boasting about top secret plans that she says will give her company market dominance. As she walks into a conference session, she accidently drops a folder marked "private and confidential". No one else notices and you are left alone in the room with the folder. Which of the following would be an ethical course of action and why?
- A. Give the folder to a journalist friend at the conference because it is in the public interest to expose the company's plans
- B. Return the folder to your competitor unopened because this is what you would hope would be done if you were in her situation
- C. Read the contents in order to teach the arrogant finance director a lesson
- D. Read the contents in the hope that you can help your company by preventing your competitor's plans
Correct Answer: B 🗳️
Which of the following is correct in relation to the UK Corporate Governance Code?
(i) The Code gives rise to a disclosure requirement
(ii) Breach of the Code gives rise to criminal penalties
(iii) Breach of the Code gives rise to civil liability
- A. (iii) only
- B. (i) and (ii) only
- C. (i) only
- D. (ii) and (iii) only
Correct Answer: C 🗳️
Which of the following statements is incorrect?
- A. A term will be implied into a contract wherever a court considers that it would be reasonable to do so.
- B. A term may be implied into a contract by statute.
- C. A term may be implied into a contract on the basis of a trade custom.
- D. A term may be implied into a contract on the basis of previous dealings between the parties.
Correct Answer: A 🗳️
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