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BA4 Exam Dumps - Fundamentals of Ethics, Corporate Governance and Business Law

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Question # 49

In relation to directors, which of the following statements is incorrect?

A.

The Remuneration Committee usually consists entirely of non-executive directors

B.

The directors may be dismissed by the shareholders tor any reason

C.

The executive directors are bound to carry out only those duties which are stated in the director's contract of service

D.

The boards of listed companies commonly appoint sub-committees to enable them to comply with corporate governance requirements

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Question # 50

You are the financial controller of SB Company, responsible for directing the budgeting process For the current year, you were instrumental in gaming approval of a particular manager's budget without modification. As a token of appreciation, the manager has given you a gift voucher for a local restaurant In considering whether or not to accept the gift, you should refer to which of the following fundamental ethical principles?

A.

Professional competence

B.

Credibility

C.

Integrity

D.

Professional behavior

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Question # 51

When preparing financial statements, you are extremely careful not to omit relevant information, mislead readers or misstate facts. This demonstrates the CIMA Code of Ethics fundamental principle of:

A.

Professional behavior

B.

Confidentiality

C.

Objectivity

D.

Integrity

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Question # 52

Being able to be trusted by others to be dependable reflects the personal quality identified by the CIMA Code of Ethics as:

A.

Traditionalism

B.

Reliability

C.

Respect

D.

Transparency

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Question # 53

Which of the following is not an equitable remedy?

A.

Specific performance.

B.

An injunction.

C.

Damages.

D.

Rescission.

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Question # 54

Which of the following is not financial assistance for the purchase of a public company's own shares?

A.

A loan by a company outside the ordinary course of business

B.

Allowing the use of a company's assets as security for a loan

C.

The payment of a dividend which has the effect of putting a shareholder in funds and enabling him to purchase the company's shares

D.

Releasing a shareholder from a debt owed to the company

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Question # 55

Which of the following is incorrect in relation to the remedy of damages?

A.

A contract breaker is liable for losses which arise naturally from the breach.

B.

A contract breaker is liable for special losses which are within his contemplation.

C.

Damages will not normally be awarded for the distress caused to the innocent party by the breach.

D.

Damages are designed to compensate the innocent party and to punish the contract breaker.    

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Question # 56

Which of the following statements is correct?

(i) An employer may rely on information discovered after an employee's dismissal to justify a wrongful dismissal.

(ii) An employer may rely on information discovered after an employee's dismissal to justify an unfair dismissal.

(iii) An employment tribunal will take into account the employee's conduct when determining how much compensation for unfair dismissal to award.   

A.

(i) only

B.

(i) and (ii)

C.

(i) and (iii)

D.

(iii) only

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