Free BA4 Exam Braindumps (page: 43)

Page 42 of 126

Which of the following statements is INCORRECT?

i) A contract is a voluntary agreement whereas obligations in the tort of negligence are imposed by the state.

ii) Damages are only available for breach of contract and breach of the tort of negligence if damage, injury or loss has been suffered by the claimant.

iii) A contract breaker is liable whether or not he is at fault whereas to be liable in the tort of negligence the defendant must have been at fault.

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

Answer(s): B



Z Ltd intends to participate in a "substantial property transaction" with one of its directors. Which of the following is correct in relation to substantial property transactions?

(i) The value of the asset must exceed 10% of the company's net assets and be more than £5,000.

(ii) The transaction must be approved by the shareholders.

(iii) The director must disclose his interest in the transaction.

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

Answer(s): D



Allowing bias, conflict of interest or undue influence of others to override professional or business judgments violates the CIMA Code of Ethics fundamental principle of:

  1. Objectivity
  2. Transparency
  3. Truthfulness
  4. Objection

Answer(s): A



Which of the following is correct?

  1. The shares of all public limited companies are quoted on the Stock Exchange.
  2. The company secretary of a public limited company must be qualified.
  3. A private limited company must have at least two shareholders.
  4. A public limited company cannot trade until it has paid up share capital of at least £50,000.

Answer(s): B






Post your Comments and Discuss CIMA BA4 exam with other Community members:

BA4 Discussions & Posts