Free CIMA BA4 Practice Exam with Questions & Answers

Disclosing publicly available information

Using sensitive information gained with a previous employer for the advantage of a new employer

Not disclosing information if required to do so by law

Disclosing confidential information to third parties

Tom cannot contract with XYZ Ltd as he would be placing himself in a conflict of interest and duty situation.

Tom must formally disclose his interest in the contract to the board.

The shareholders may approve the arrangement by passing an ordinary resolution.

The purchase consideration may be in the form of cash or shares.  

the public interest will always be served if an accountant complies with his or her employer's corporate ethical policies

frauds which are detected in an audit must be reported to the public

a professional accountant's responsibility is not exclusively to satisfy the needs of an individual client or employer

professional accountants must be prepared to break laws that they consider to be against the public interest

Continue to be profitable

Lose business to unethical companies

Be more expensive to run

Be a poor investment

The contract between AB Ltd and CD Ltd is frustrated.

CD Ltd is legally entitled to refuse delivery of the desks

The failure to deliver the filing cabinets is a breach of a warranty which entitles CD Ltd to claim damages

The delivery of the desks amounts to substantial performance of the contract and CD Ltd is obliged to pay the contract price less an amount for the defects in performance

(i) and (ii).

(i).

(i), (ii) and (iii).

(iii).

1 only

1 and 2 only

2 and 3 only

1,2 and 3

The use of chemicals in manufacturing

The welfare of workers who assemble the company's products

The environmental impact of transporting toys from the country of manufacture to the country of sale

Whether the recommended retail price of a particular product provides sufficient margin after the unit cost of production is taken into account

In England the government cannot make law without the authority of Parliament.

In England the government can pass a law overruling any Act of Parliament.

In England the government is not bound by the law.

In England the government may delegate authority to a local authority to make law.

Bias

Conflict of interest

The undue influence of others

Honesty

It is the legal principle used by a court to decide a case.

It is the legal principle used by a court to decide a case which is binding upon lower courts called upon to decide a similar case.

It is a statement of law made “by the way” which is not binding on future courts which are called upon to decide a similar case.

It is a statement of law made “by the way” which is binding on future courts which are called upon to decide a similar case.

Loss of reputation, suppliers and customers

Loss of reputation, status and earning potential.

Loss of reputation, credibility and Chartered Institute status.

Loss of reputation, public trust and customers

Providing ethical leadership which focuses on minimizing environmental costs sustainably.

Providing ethical and strategic leadership which focuses on sustainable value creation.

Providing strategic leadership which sustains the maximization of short term value.

Providing sustainable ethical and strategic leadership which focuses on operating profit.

Yes - Because the potential buyer sent the letter before the closing date.

Yes - The potential buyer can choose to accept Pablo and Paulo's price whenever he wants, providing that he hasn't already declined it.

No - Because they received the letter after the closing date they do not have to accept the potential buyer's offer.

No - They can decline the potential buyer's request at any time, regardless of when they received the letter.

A decision by the Supreme Court.

A provision in an Act of Parliament

A Regulation issued by the European Council of Ministers.

A Statutory Instrument.