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CIMA Fundamentals of Ethics - Corporate Governance and Business Law Sample Questions:

1. According to the CIMA Code of Ethics, a professional accountant should not be associated with reports, returns, communications or other information where they believe that the information:

A) Contains a materially false or misleading statement
B) Contains statements or information furnished recklessly
C) All of the above
D) Omits or obscures information required to be included where such omission or obscurity would be misleading

2. Which of the following is incorrect?
(i) All contracts must be in writing.
(ii) A contract to sell land must be in writing.
(iii) A contract of employment must be in writing.

A) (i) and (iii) only
B) (ii) and (iii) only
C) (i) only
D) (i), (ii) and (iii).

3. Which of the following is NOT one of the 'seven principles of public life', as defined by the Committee of Standards in Public Life?

A) Leadership
B) Objectivity
C) Integrity
D) Learning

4. In the event of a conflict between European Law and French Law which will prevail?

A) French public law
B) European law
C) French private law
D) The French Code Civile

5. In the tort of negligence what is meant by "res ipsa loquitur"?

A) The defendant does not owe a duty of care to the claimant.
B) The facts speak for themselves.
C) The tort is actionable without proof of loss or damage.
D) The damage is too remote.

Solutions: