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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 INCORRECT in relation to business names?

A) If a business name is used which is the same or very similar to that of an existing business, an action in the tort of passing off may be brought by the existing business.
B) Both public and private companies may use a business name.
C) If a business name is used, the name of the proprietor must be stated on business correspondence and at the premises where the business is carried on.
D) The business name of a private company limited by shares must end in "Limited" or "Ltd".

2. Zed plc contracted to build an apartment block for Exe Ltd. Which of the following would provide Zed with a valid excuse not to proceed with the contract?
(i) A key employee who was to manage the project has resigned.
(ii) The price of the materials to be used by Zed plc have increased to such an extent that the building can only be completed at a loss to Zed plc.
(iii) Planning permission has been refused.

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

3. Which of the following governs all public sector employees?

A) The Seven Principles of Public Private Partnership
B) The Seven Principles of Public Enterprise
C) The Seven Principles of Public Sector Participation
D) The Seven Principles of Public Life

4. Which ONE of the following is NOT contained within form IN01 which must be submitted to the Registrar of Companies in order to register a company limited by shares?

A) The name of the company
B) The objects of the company
C) The location of the company's registered office
D) The names of the first directors

5. Which of the following is incorrect in relation to the memorandum of association when registering a company limited by shares?

A) The memorandum must state that the subscribers agree to take at least one share each
B) The memorandum must state the objects for which the company is being registered
C) The memorandum must state that the subscribers wish to form a company under the Companies Act
2006
D) The memorandum must be in the prescribed form

Solutions: