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CIMA CIMAPRA17-BA1-1 Exam Questions
BA1 - Fundamentals of Business Economics (Page 20 )

Updated On: 29-Mar-2026
Page 19 of 95
PDF with 468 Questions

Which ONE of the following is regarded as a general characteristic of an organization?

  1. Controlled performance of its activities
  2. Social goals towards society
  3. Collective goals towards society
  4. Social arrangement of people

Answer(s): B



Some not-for-profit organizations (NPOs) are required to show they are effective.
Which one of the following most closely defines effective?

  1. Conducts its activities and operations at low cost
  2. Achieves the goals and objectives set for it
  3. Finds the correct balance between cost and benefit
  4. Doesn't make losses

Answer(s): B



Which ONE of the following best explains the statement 'In not for profit organizations money is a constraint and not a goal'?

  1. Money be ignored because reaching the goals of the organization is all that matters
  2. There is no need for the organization to be efficient
  3. There is a trade off between financial and non-financial goals
  4. Money limits how far the organization can achieve its goals

Answer(s): D



All of the following are objectives of not-for-profit organizations except one.
Which ONE is the exception?

  1. Value for money
  2. Maximization of financial surpluses
  3. Serving the public interest effectively
  4. Efficient use of physical and human resources

Answer(s): B



Which of the following statements best describes a private firm?

  1. An organization that does not seek profit
  2. An organization that is owned by shareholders
  3. An organization that is outside the state's influence
  4. An organization that is not directly owned by the state

Answer(s): D



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