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CIMA BA4 Exam
BA4 - Fundamentals of Ethics, Corporate Governance and Business Law (Page 2 )

Updated On: 9-Feb-2026
Page 2 of 102
PDF with 661 Questions

How can a company help employees make the right decision when faced with a difficult situation?

  1. Offer guiding values and principles to underpin decision-making
  2. Threaten them with disciplinary procedures
  3. Give them a rule book
  4. Have a strong rules-based culture

Answer(s): A



Which of the following statements is incorrect?

(i) A term may be implied into a contract on the basis of previous dealings between the parties.

(ii) A term may be implied into a contract by statute.

(iii) A term may be implied into a contract by a court where it would be reasonable to imply it.

  1. (i) only
  2. (i) and (ii) only
  3. (ii) only
  4. (iii) only

Answer(s): D



Although no-one has reason to suspect, you have taken a violent dislike to a particular assurance client. This could severely affect your independence:

  1. Of belief
  2. In appearance
  3. Of mind
  4. In competence

Answer(s): C



Which of the following is not valid consideration?

  1. Payment to be made upon delivery of the goods.
  2. Payment handed over at the time of the contract.
  3. Past consideration.
  4. A promise to make an early repayment of a debt.

Answer(s): C



Which of the following are TWO reasons why new legislation might be introduced in response to corporate scandals?

  1. To prevent this type of unethical behavior by making it illegal
  2. To punish individuals for adhering to codes of ethics
  3. To encourage companies to make their own decisions about ethical matters
  4. To enforce minimum standards of behavior

Answer(s): A,D






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