CIMAPRA19-E02-1 by CIMA Actual Free Exam Q&As

Question 1

Which THREE of the following are benefits of having strong discipline and grievance procedures in place?

A. Any staff who don't perform as required can be dismissed without risk of legal action. B. Company meets its legal requirements. C. Cost savings due to legal costs being avoided. D. Staff have higher morale and are more motivated.

Discussion 0

Correct Answer: B,C,D Vote an answer

Question 2

A project team is engaged in a risk assessment process prior to the execution of a major project. One risk is assessed to be of low impact but medium likelihood (probability). In these circumstances the appropriate response is:

A. Take immediate steps to terminate the risk B. Negotiate the transfer of the risk to a third party C. Accept (tolerate) the risk without further action D. Accept the risk, but monitor closely

Discussion 0

Correct Answer: D Vote an answer

Question 3

Which of the following does NOT describe the theory of the transformational super-leader?

A. Someone with a style consistent with a hostile and rapidly changing environment, with the need to develop flexible organisational forms, to motivate knowledge workers and develop a learning organisation. B. Someone who is caring, inspirational, visionary, ethical and a risk-taker. C. Someone with the right personality, appearance and attributes. D. Someone who has followed a leadership course at Harvard Business School.

Discussion 0

Correct Answer: D Vote an answer

Question 4

A large multinational organisation, with financial processing centres in several countries in which it operates, has chosen to consolidate these activities on one site or, in other words, into a Shared Service Centre (SSC).
Which THREE of the following are drawbacks of an SSC?

A. Lack of knowledge may occur because there is less sharing of knowledge which can be achieved within a larger more diverse team. Best practice may not be employed and practices within some business areas may become outdated. B. It distances the accountants from everyday decision-making in that he/she will be unlikely to have day to day contact with the business area which the SSC supports. The outcome may be that the accountant is unable to provide up-to-date information for decision-making. C. The accountants can feel isolated within the business and may develop their own ways of working which may not constitute best practice. Without a larger team around them, they may not be able to develop the acquired skills and knowledge. D. Loss of business knowledge as the finance function within the SSC may not have a detailed knowledge of each part of the business. E. Business relationships are weaker. The SSC may not be able to build strong relationships with the business area, which may result in a deterioration of performance in the business area.

Discussion 0

Correct Answer: B,D,E Vote an answer

Question 5

The Managing Director of a large golf complex is using Drucker's five questions to help develop a new strategy.
Which of the following statements does not answer one of Drucker's questions?

A. We will aim to constantly improve and update our course and the accompanying facilities. B. We will target the fifty years plus demographic. C. We will analyse the local market to ensure we are the best. D. We will offer state of the art facilities at affordable prices. E. We will grow our revenues by 50% over the next three years. F. We will utilise our knowledge in an attempt to improve our members golf skills and enjoyment of the sport.

Discussion 0

Correct Answer: C Vote an answer

Question 6

V is the owner of a small jewellery business which deals exclusively in pearls. The business has built up an excellent network of suppliers which deliver a steady stream of high quality pearls to its workshops, where a team of highly skilled craftsmen turn basic pearls into items of jewellery. V feels that no other company has such a talented and valuable workforce and believes their skills are rare and difficult if not impossible to imitate. They are the key to the company's sustainable competitive advantage and success.
What is the approach to strategy which proposes that competitive advantage is achieved from the organisation's unique assets or competences?

A. Rational strategy model B. Emergent strategy C. Resource-based view D. Free-wheeling opportunism

Discussion 0

Correct Answer: C Vote an answer

Question 7

A Company is undertaking a project for the first time and has given the Finance Manager the task of managing the project. He has been advised to use PERT, as it will help him with his Critical Path Analysis (CPA).
What information will the calculation using PERT provide the Finance Manager with to use in his CPA?

A. The expected time to complete an activity. B. The most optimistic time to complete an activity. C. The most pessimistic time to complete an activity. D. The most realistic / probable time to complete an activity.

Discussion 0

Correct Answer: A Vote an answer

Question 8

After undertaking competitive analysis, a company has assembled the information and is now in a position to benchmark its performance against that of its competitor. A manager has been asked to carry out strategic benchmarking, but he is unsure of what information he should use.
Which TWO of the options below could be used to undertake Strategic Benchmarking?

A. % sales returns B. % late deliveries C. % return on Non Current Assets D. % Market Share

Discussion 0

Correct Answer: C,D Vote an answer

CIMA E2 Managing Performance - CIMAPRA19-E02-1 Exam Practice Test