Fundamentals of Ethics - Corporate Governance and Business Law: BA4 Exam
"Fundamentals of Ethics - Corporate Governance and Business Law", also known as BA4 exam, is a CIMA Certification. With the complete collection of questions and answers, ExamcollectionPass has assembled to take you through 660 Q&As to your BA4 Exam preparation. In the BA4 exam resources, you will cover every field and category in CIMA Certification Certification helping to ready you for your successful CIMA Certification.
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- Exam Code: BA4
- Exam Name: Fundamentals of Ethics - Corporate Governance and Business Law
- Certification Provider: CIMA
- Corresponding Certification: CIMA Certification
- Updated: Sep 09, 2026
- No. of Questions: 660 Questions & Answers with Testing Engine
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CIMA BA4 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Company Administration | 10% | - Formation and constitution of companies - Company financing and capital - Corporate insolvency and administration - Types of business organizations |
| Topic 2: Corporate Governance, Controls and Corporate Social Responsibility | 45% | - External audit and assurance - Principles and frameworks of corporate governance - Roles and responsibilities of directors and officers - Corporate social responsibility and sustainability - Internal control and risk management |
| Topic 3: Business Ethics and Ethical Conflict | 30% | - Concepts of ethics and business ethics - CIMA Code of Ethics and professional values - Ethics vs law and regulation - Identification and resolution of ethical dilemmas |
| Topic 4: General Principles of the Legal System, Contract and Employment Law | 15% | - Terms, breach and remedies of contract - Employment law, rights and obligations - Structure and sources of law - Essential elements of a valid contract |
CIMA Fundamentals of Ethics - Corporate Governance and Business Law Sample Questions:
The Remuneration Committee is recognised as a board sub-committee under the Corporate Governance Code Which of the following are objectives of the Remuneration Committee?
1. The Committee should be, and should be seen to be, independent with access to its own external advice or consultants
2 The Committee is required to establish and agree pension provision for all board members
3. The Committee's reporting is clear, concise and gives the reader of the annual report a bird's eye view of policy payments and the rationale behind them
- A. 1 and 3 only
- B. 1 only
- C. 2 only
- D. 2 and 3 only
Governance denotes the generic way an organization is run with particular emphasis on:
- A. Accountability, integration, financial management
- B. Accounting, integration, financial management
- C. Accountability, integrity, risk management
- D. Accounting, integrity, risk management
Which of the following statements is correct in relation to a misrepresentation?
- A. A misrepresentation is a false statement of fact or opinion made by one person to another before a contract is formed and which causes the contract to be automatically cancelled
- B. If a person can show that he or she was induced to contract by a misrepresentation then a court must grant a remedy, irrespective of the time taken to commence the action against the misrepresents.
- C. If one person attempts to persuade another to enter into a contract by misrepresenting the facts, the intended victim will have a remedy, unless the misrepresentation did not induce the intended victim to contract
- D. A person selling goods may be hekJ liable in misrepresentation if he or she remains silent during the negotiations and fails to correct any misunderstandings on the part of the buyer
Which of the following statements is incorrect in relation to a public company limited by shares?
- A. The company must have issued at least £50,000 of shares.
- B. The company must ensure that its company secretary is properly qualified whereas a private company need not have a company secretary.
- C. The company must have at least one director.
- D. The company must have at least one shareholder.
Decklt is a skateboard manufacturer that is ethically run and has a good reputation.
However, it has just transpired that one of their suppliers - with whom they have a good relationship with due to their cheap prices - is involved in a serious fraud case.
What should Decklt do?
- A. Immediately cut all ties with the supplier and discontinue all products that are made using their materials.
- B. Stick with the supplier but let the relevant regulatory bodies know that Decklt had nothing to do with their illicit activity.
- C. Stick with the supplier as they won't be able to find cheaper prices elsewhere.
- D. Immediately cut all ties with the company and look for a different supplier.
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