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CIMA E1 Exam Questions
Managing Finance in a Digital World (Page 5 )

Updated On: 27-Feb-2026
Page 5 of 60
PDF with 295 Questions

A company is expanding its baby clothing product range to include all items for infants, for example feeding and bathing equipment. As this is a new venture for the company, the Board of Directors has agreed that market research is a necessary exercise, but it is undecided as to which is the most efficient and effective method. Which of the following methods of research would be most appropriate?

  1. Questionnaires
  2. Focus groups
  3. Experimentation
  4. Interviews

Answer(s): B



Which of the following would be a disadvantage of the use of 'big data'?

  1. Increased system requirements
  2. Increased speed of decision making
  3. Increased relevance of decisions
  4. Increased volume of unstructured data

Answer(s): A



According to Ansoff, which of the following marketing strategies should be adopted when introducing an existing product to a new market?

  1. Market penetration
  2. Product development
  3. Diversification
  4. Market development

Answer(s): D



Which of the following is a potential advantage of outsourcing?

  1. Finality of decision
  2. Reduced capital expenditure
  3. Reduced transaction costs
  4. Reduced core competencies

Answer(s): B



Which of the following is a benefit to the employer of remote working?

  1. Reduced cost of commuting
  2. Ease of balancing work/life commitments
  3. Privacy to the individual
  4. Increased employee motivation

Answer(s): D






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