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CIMA BA4 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| General Principles of the Legal System, Contract and Employment Law | 15% | - Employment law, rights and obligations - Essential elements of a valid contract - Terms, breach and remedies of contract - Structure and sources of law |
| Corporate Governance, Controls and Corporate Social Responsibility | 45% | - Internal control and risk management - External audit and assurance - Principles and frameworks of corporate governance - Corporate social responsibility and sustainability - Roles and responsibilities of directors and officers |
| Business Ethics and Ethical Conflict | 30% | - CIMA Code of Ethics and professional values - Concepts of ethics and business ethics - Ethics vs law and regulation - Identification and resolution of ethical dilemmas |
| Company Administration | 10% | - Company financing and capital - Formation and constitution of companies - Corporate insolvency and administration - Types of business organizations |
CIMA Fundamentals of Ethics - Corporate Governance and Business Law Sample Questions:
1. Which of the following is incorrect?
A) A special resolution is needed to dismiss a director if the Articles of Association provide that he is to be a director for life.
B) A director may be removed from office for any reason by an ordinary resolution.
C) The company must be given 28 days' notice of a proposed resolution to dismiss a director.
D) A director who is under threat of removal has the right to speak at the meeting, whether or not he is a member.
2. Which of the following is incorrect in relation to the criminal law?
A) A crime is regarded as an offence against society as a whole and the state will prosecute the offender on its behalf.
B) The purpose of the criminal law is to regulate behavior within society by punishment and deterrence.
C) A breach of contract is a criminal offence.
D) All criminal cases commence in the Magistrates' Court.
3. Which of the following are likely advantages of being a sole trader? Select ALL that apply.
A) Working hours will be relatively short.
B) They retain all profits.
C) They have limited personal responsibility in regards to the debts of the business.
D) No formal procedures required to set up the business.
E) Greater degree of independence.
F) Expansion is likely to be fast.
4. Which of the following is correct in relation to a company's ability to contract where the company was registered after the Companies Act 2006 was fully implemented?
A) The company cannot restrict its ability to contract in either its memorandum or articles of association.
B) The company's ability to contract is specified in its objects clause in its memorandum of association.
C) The company's ability to contract is specified in its objects clause in its articles of association.
D) The company has unrestricted objects
5. B has been employed by Wye Ltd for 10 years. His contract of employment states that, if either Wye Ltd or B wishes to terminate the contract, each party must give the statutory minimum period of notice.
Which of the following statements is correct?
A) Both B and Wye Ltd are entitled to 1 week's notice.
B) B is entitled to 10 weeks' notice but Wye Ltd is entitled to only 1 week's notice.
C) B is entitled to 1 month's notice and Wye Ltd is entitled to 10 weeks' notice.
D) Both B and Wye Ltd are entitled to 10 weeks' notice.
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: C | Question # 3 Answer: B,D,E | Question # 4 Answer: D | Question # 5 Answer: B |
