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?
Which of the following is INCORRECT in relation to the board of directors of a private company limited by shares?
Which of the following is correct in relation to the UK Corporate Governance Code?
(i) The Code gives rise to a disclosure requirement
(ii) Breach of the Code gives rise to criminal penalties
(iii) Breach of the Code gives rise to civil liability
Wye Ltd has an issued share capital of 500,000 ordinary 20p shares. The company wishes to consolidate its shares into 100,000 ordinary £1 shares. Which of the following is CORRECT?
(i) Wye Ltd must have the power to consolidate its share capital in its articles of association
(ii) Consolidation is lawful for a private company but not for a public company
(iii) The consolidation must be authorized by the shareholders of Wye Ltd passing an ordinary resolution
Which of the following does the CIMA Code of Ethics fundamental principle of integrity NOT involve?
You work for a pharmaceutical company. Which of the following corporate issues is NOT related to ethics or social responsibility?
You work for an airline company and discover a series of regular payments made to a lobbying group that campaigns to allow people freedom to fly as and when they choose without being taxed for contributing to global warming. The group's website includes specific commentary that claims to 'expose the myth of global warming'. Neither your company nor the lobbying group (which describes itself as 'independent') mention the financial link between your organizations. Is this an ethical issue and why?
Kane is a management accountant for business in the City. When looking through the company's latest financial reports he finds that company has been paying far less tax than it should be.
After consulting the company's management, Kane discovers that the company had been deliberately paying less tax and are not interested in taking action to rectify it.
As Kane has done all he can to try and solve the issue himself, it's clear that he now needs to take steps to disassociate himself from the misleading information.
How might he do this?
Select ALL that apply.
Which ONE of the following resolutions is no longer legally effective?
The majority of developed countries require publicly quoted companies and large companies to produce annual financial statements which are then audited by an external auditor.
Which of the following statements regarding the requirement for external audit is Incorrect?
Which of the following is NOT one of the main requirements of the UK Corporate Governance Code?
H is hoping for a promotion. His wife is expecting a baby and they need the extra money. He needs to present the figures for his section, but the true figures do not reflect well on his manager. What should H do?
Exe Ltd contracted to manufacture and deliver machinery to Wye plc for a price of £100,000. As required by the contract, Wye plc paid a deposit to Exe Ltd of £20,000. In order to fulfil its contract it has been necessary for Exe Ltd to purchase specialist tools and equipment. Before the contract was completed, Exe Ltd's factory was destroyed by fire. Neither Exe Ltd nor Wye plc was in any way responsible for the fire.
Which of the following is INCORRECT?
(i) The contract between Exe Ltd and Wye plc has become frustrated.
(ii) The contract may remain enforceable if the parties have agreed a force majeure clause which specifies the repercussions of a factory fire.
(iii) As the deposit was payable before the contract became unenforceable, Wye plc will lose its deposit of £20,000.
The IFAC has eight main drivers of sustainable corporate success. Which of the following are included in the eight mam drivers?
1, Innovation and adaptability
2. Effective leadership and strategy.
3. Board control and responsibility
In relation to the company secretary which of the following is correct?
(i) A public company must have a company secretary who is appropriately qualified
(ii) A member of CIMA is qualified to act as a company secretary
(iii) A private company may choose to have a company secretary and if so he/she must be appropriately qualified
