CIMA BA4 : Fundamentals of Ethics - Corporate Governance and Business Law
- Exam Code: BA4
- Exam Name: Fundamentals of Ethics - Corporate Governance and Business Law
- Updated: Sep 22, 2026
- Q & A: 660 Questions and Answers
About CIMA BA4 Exam
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CIMA BA4 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Company Administration | 10% | - Types of business organisation - Administration and management of companies |
| Topic 2: Business Ethics and Ethical Conflict | 30% | - Professional ethics principles - Ethical dilemmas and resolution - Nature and importance of ethics |
| Topic 3: Corporate Governance, Controls and Corporate Social Responsibility | 45% | - Role of board and directors - Corporate social responsibility (CSR) - Principles of corporate governance - Internal controls and audit |
| Topic 4: General Principles of the Legal System, Contract and Employment Law | 15% | - Legal system fundamentals - Contract law basics - Employment law essentials |
CIMA Fundamentals of Ethics - Corporate Governance and Business Law Sample Questions:
Which of the following statements is correct?
(i) A term may be implied into a contract by statute.
(ii) A term may be implied into a contract on the ground that it is a trade custom.
(iii) A term may be implied into a contract by a court in order to give the agreement "business efficacy".
- A. (i) and (ii) only
- B. (i), (ii) and (iii)
- C. (iii) only
- D. (i) only
Correct Answer: B 🗳️
In resolving an ethical dilemma, which of the following would NOT be a useful approach to take when focusing on finding an ethical solution?
- A. Asking colleagues for their advice
- B. Asking yourself whether the possible solutions are legally acceptable
- C. Testing the issue against CIMA's Code of Ethics
- D. Identifying whether the possible solutions would make you more or less popular with colleagues
Correct Answer: D 🗳️
You always take the time to be polite to colleagues and listen to the opinions of others, even if you might disagree with their views. Which TWO of the personal qualities identified by the CIMA Code of Ethics does this demonstrate?
- A. Respect
- B. Responsibility
- C. Reliability
- D. Courtesy
Correct Answer: A,D 🗳️
Which of the following does NOT describe the responsibilities of the audit committee?
- A. The review of the internal audit programme and significant findings of the auditors. The review of the company's systems of internal control. The review of the company's system to facilitate whistle blowing
- B. The review of the company's financial statements and any interim reports produced. The review of the company's systems of internal controls. The review of the audit report and any management letter provided by the external auditor
- C. The discussion with auditors on any significant matters that arose during the audit. The recommendations on the appointment and removal of auditors. The setting of the audit fee in discussion with the auditors.
- D. The review of the company's financial statements and any interim reports produced. The review of the structure, size and composition of the board. The review of the company's internal control and risk management system
Correct Answer: D 🗳️
Which of the following is NOT one of the main requirements of the UK Corporate Governance Code?
- A. The appointment of a senior Government representative to the Board
- B. The separation of roles of Chairman and Chief Executive
- C. The appointment of independent non-executive directors to the Board
- D. The establishment of an audit committee
Correct Answer: A 🗳️
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