Cima E1 Practice Questions

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Sample Questions

Question No 1: Which one of the following is NOT a benefit of corporate governance? A. B. C. D.

Stimulation of performance. Enhanced marketability of goods and services. Prevention of fraudulent claims by contractors. Improved access to capital markets.

Answer: D Question No 2: Corporate political activity is normally undertaken in order to A. B. C. D.

secure policy preferences. make the world a better place. further an environmental agenda. understand the external drivers on an organisation.

Answer: A Question No 3: Political risk analysis is conducted by a company considering international operations and normally focuses on the A. B. C. D.

World economy generally. Relations between the USA, Japan and Europe. Political and cultural differences between the home and target country. Industrialisation of the target country.

Answer: C Question No 4: Efficient regulation of companies is said to exist if A. B. C. D.

The total benefit to the nation is greater than the total cost. There is greater integration of the world’s economies. Greater innovation takes place by all businesses. The effect on businesses is neutral.

Answer: A

Question No 5: The basis of the stakeholder view is that A. B. C. D.

Only shareholders are legitimate stakeholders. Only creditors and shareholders are legitimate stakeholders. Persons, groups and organisations with an interest in the organisation are stakeholders. Only members that an organisation officially recognises are stakeholders.

Answer: C Question No 6: Which ONE of the following is not an approach to systems implementation? A. B. C. D.

Parallel running. Phased changeover. Matrix operation. Pilot testing.

Answer: C Question No 7: Which ONE of the following is not normally associated with outsourced IS solutions? A. B. C. D.

Ensuring contract compliance. Assembly and maintenance of a suitably skilled workforce. Preparing formal tendering documents. Invoicing, processing and payment.

Answer: B Question No 8: A necessary product/service requirement to meet the Japanese interpretation of ‘quality’ is A. B. C. D.

To comply with all safety standards. To cost no more than necessary. To meet a design brief. To meet customer expectations.

Answer: D

Question No 9: Process design can best be improved by A. B. C. D.

An organisational restructure to reflect functions not processes. Improved checks on suppliers. Adopting a strategy of continuous improvement. Improved quality control.

Answer: C Question No 10: Collaborating with its suppliers may bring a company added value because it can A. B. C. D.

Strike a harder bargain with its suppliers. Work with a supplier to improve quality and reduce costs. Avoid transaction costs. Introduce price competition amongst suppliers.

Answer: B Buy Complete Questions Answers File from

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