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WorksheetsCIMA E1 Mock
Total questions: 60
Worksheet time: 2hrs 0mins
Mass production, assembly lines and electricity are characteristics of which of the following industrial revolutions?
First Industrial Revolution
Second Industrial Revolution
Third Industrial Revolution
Fourth Industrial Revolution
Which of the following best describes experiential marketing?
A technique to achieve non-commercial goals.
A technique to emotionally connect a person and a brand.
A technique to motivate employees.
A technique to maximise profits.
Which of the following activities enables supply chain management to support lean production?
Integrating the value chain through supplier partnerships
Providing a robust quality inspection and correction process
Sourcing a design-to-order supplier for production
Introducing a focus on customer requirements
Which of the following is an advancement of the fourth industrial revolution?
The Internet
Mass production
Decentralised consensus
Mechanisation
Which of the following technologies can use sensors within devices to gather data about product or consumer performance?
Internet of things
Cloud Computing
Blockchain
Artificial intelligence
Which TWO of the following show how data analytics adds value to the finance function?
By providing more accurate and timely information to key stakeholders.
By limiting duplication of data by consolidating data from different systems.
By improving business performance measurement in combining financial and non-financial data.
By reducing costs significantly by automating key processes.
By providing greater flexibility in relation to changes in demand.
FKB is in the process of streamlining all the internal systems linked to the finance function. The goal is to enable compatibility throughout all departments to facilitate efficient operations and reporting capabilities.
Whilst the result is expected to increase utilisation of data, this is proving difficult whilst legacy systems are still in place in some areas.
Which competency area should be utilised to resolve this issue?
Data strategy and planning
Data engineering, extraction and mining
Data modelling, manipulation and analysis
Data insight and communication
Which of the following demonstrates the finance function using data to develop the customer value proposition?
The use of data insight for product development decisions to be taken.
The use of data analytics to provide real-time information for decision making.
The use of customer journey analytics to reduce bottlenecks.
The use of predictive analytics to automate the production of forecasts.
Which TWO of the following activities are areas of interface between human resource management and the finance function?
Goal alignment between employees and the organisation.
Identification of the human resource management approach.
Ensuring compliance with relevant regulations and legislation.
Performance management and appraisal.
Recruitment of agency employees.
The IT function of KYW is evaluating the choices for a new networked attached storage (NAS) device. The right choice will significantly improve data access for all employees on the system and avoid issues with duplication and the use of outdated files.
How will the finance function assist IT in the decision to purchase and implement this system?
Identifying the NAS provider
Measuring KPI's for organisational improvements
Comparing the investment proposals for purchase
Increasing profitability through process design
The finance function is able to support the supply chain and production functions by helping to carry out which TWO of the following activities?
Supplier decision management
Project manufacturing techniques
Demand planning and forecasting
Setting minimum order quantities
Identifying process bottlenecks
Which of the following organisational structures best describes combining the strengths of two or more of the basic structures?
Functional
Product based
Geographical
Matrix
CNST Technolgies is undergoing a period of expansion and is about to open twelve new showrooms nationwide.
As part of its expansion, CNST Technologies is going to change it's organisational type. Shares in the company will now be sold to a small group of investors in order to raise capital to finance the expansion.
Which of the following is the new organisations type?
Limited liability partnership
Non-governmental organisation
Public limited company
Private limited company
Which of the following is the primary objective of a not-for-profit organisation?
Maximising the benefit to beneficiaries
Controlling costs
Maximising owner wealth
Effectiveness in achieving objectives
Which of the following is a reason for businesses to prepare statutory reports?
To inform the investors how profitable the business is.
To help compare budget with actual performance.
To decide on their foreign exchange hedging policy.
To ensure they have enough inventory on hand for production.
Which of the following organisational structures is most likely to be associated with the ability to innovate quickly and accommodate market demands?
A geographical structure
A divisional structure
An entrepreneurial structure
A functional structure
J works as a finance analyst for a distribution company. The role includes analysing time taken by customers to settle their accounts and, in turn, when the company's payables are cleared.
Which of the following best describes J's role?
Performance reporting
Preparation of forecasts
Cost reporting
Working capital control
SSS has adopted an outsourcing shared service agreement in order to improve the efficiency of its operations. One of the managers has been made aware that its outsourcing supplier is now also working for a large competitor.
Which of the following should SSS be concerned about with regard to the supplier's and competitor's new relationship?
Risk of quality of service
Risk of increased transaction costs
Risk of loss of confidential information
Risk of losing core competence
PQ Company are installing a new IT system which is expected to bring considerable improvements on the previous system.
Several employees are particularly excited about the opportunity for them to access the system remotely using a virtual private network (VPN), and the increased efficiencies that this will give them.
Which of the following does a VPN allow the company and its employees to take advantage of?
Outsourcing
Teleworking
Recruit sub-contractors
Parallel running systems
J is employed in the finance function of BGZ company, and is currently preparing a breakdown of employment costs in order to clarify the margins for each product line.
This will help make the decision as to whether more staff should be recruited or whether some staff should be made redundant in order to maximise product profitability.
Which of the activities below has J undertaken?
Working capital reporting
Preparation of forecasts
Cost and variance reporting
Provision of analysis to support decisions.
Which of the following is a potential disadvantage of outsourcing?
Economies of scale
Access to skills and expertise
Reduction in distractions
Finality of the decision
Which of the following provides the best description of an intranet?
Employees using networked computers to access information held on a server.
Authorised outsiders using networked computers to access information held on a server.
A collection of data organised to service many applications accessible by many users.
A worldwide network of servers and computers.
XYB Company is undertaking a review of its supply chain management with the aim of optimising the activities of the company and working effectively with its suppliers.
Which THREE of the following are most likely to improve the supply chain management?
Joint problem solving
Price and inventory co-ordination
The buyer chooses one source of supply
Linked computer systems
The buyer chooses several sources of supply
Implementing a Corporate Social Responsibility (CSR) strategy, should benefit an organisation by enabling which of the following effects on its tax liabilities?
Reduction in value added tax
Reduction in income tax
Reduction in environmental taxes
Reduction in corporation tax
T Company is responsive to the market, makes decisions and acts on them very quickly and has good control of it's resources.
Which of the following structures best describes Company T?
Functional
Entrepreneurial
Matrix
Divisional
Which of the following is a measure a business could introduce to enhance its reputation as an organisation with a strong sense of Corporate Social Responsibility?
Assuming sub-contractors ethical working practices are observed.
Negotiating minimal material costs and passing savings on to the customer.
Sourcing stationery and other paper products from recycled sources.
Using business process re-engineering to rationalise the supply chain.
The internal audit team is expected to audit the activities of other finance teams. To be effective in doing this they need to remain objective.
Which of the following potential types of conflict could emerge for the finance team?
Independence/interdependence
Short-term/long-term
Capital/revenue
Individualism/collectivism
HZT Company manufactures and supplies IT equipment. It operates from two sites. The first is a factory where manufacturing takes place. The second is a storeroom and retail showroom with a repair centre attached.
Which of the following is likely to help its reverse logistics capability?
Locating its manufacturing facility close to the retail showroom
Only holding a limited amount of inventory of finished computers
Reducing idle time in the manufacturing facility
Issuing clear guidelines for installation and usage of the computers
P is in business making mattresses. He learnt the skill from his father and likes to make all the decisions himself. He is friends with the farmers locally who supply the wool.
He employs an administrator, six machinists and two labourers who collect materials and deliver finished products.
Which of the following best describes P's organisational structure?
Divisional
Functional
Matrix
Entrepreneurial
M is a large food manufacturing company. The Board is concerned about rising prices of supplies and about renegotiating agreements with suppliers. As a result they are considering outsourcing the entire logistics operation.
Which of the following should be an advantage of such a decision?
Decision-making can be kept within the confines of the organisation.
There is finality of the decision once the service contract is agreed.
The organisation will be protected against future price increases.
Management can concentrate on the core areas of the business.
Which of the following best describes process design?
It is the method by which individual specialists seek to understand business activities and ensure that they are as efficient and effective as possible.
It is a method used to provide a visual representation of the steps and decisions by which a product or transaction is processed.
It is a method used that involves fundamental re-thinking and redesign of existing business processes to achieve improvements in performance as measured in terms of cost, quality, service and speed.
It is a method used in a group of organisations which relate to each other through the linkages between the different processes involved in producing the finished product.
Information relating to production, accounting records and payroll are most likely to be used by which of the following stakeholders?
Connected stakeholders
Key stakeholders
Internal stakeholders
External stakeholders
DEF Company is a medium sized, family run, business operating in a niche market manufacturing quality roller skates and blades using traditional methods.
Cheaper imports and market trends for skate boards and mini-scooters has driven a downturn in business.
You are in a project team reviewing the business and creating a marketing strategy for the company's survival. The company has limited funds to invest.
Which of the following statements regarding Big Data is the correct advice you should give to the project team?
To ensure DEF is ahead of changes in customer demand, which will be more accurately predicted, it is worthwhile investing.
The size of the task and investment required means it will not be suitable for DEF to invest in this approach.
It is worthwhile investing to ensure greater inventory control which will enable DEF to satisfy product demand.
It is worthwhile investing, sophisticated analysis will enable DEF to create a more enjoyable shopping experience.
Which TWO of these are among the main functions of a business?
Ordering goods
Operations
Documenting transactions
Human resources
Which of these 5 Fundamental principles means being straightforward and honest in all professional relationships?
Professional competence and due care
Confidentiality
Objectivity
Integrity
On which of these stakeholders should minimal effort be put as per the Mendelow matrix?
Low Interest - Low Power
High Interest - High power
Low Interest - High Power
High Interest - Low Power
1) Corporate governance is the system by which organisations are directed and controlled.
2) Corporate governance is best described as a system of penalties for unethical behaviour.
Which of these statements is True?
1st
2nd
Both true
Both false
Which stage of the Information to Impact framework connects the different activities to each other and covers the entire framework?
Advising to Influence
Analysing for Insights
Acumen
Applying for Impact
Which of these is NOT a function of the audit committee?
To supervise internal audit
To liaise with external audit
To review the annual accounts
To help achieve organisation goals
Which of these is NOT a source of operational data?
Reverse logistics systems
Data analytics electronic data interchange systems
Enterprise resource planning systems
Digital assets
Which TWO of these are internal stakeholders?
Government
Management
Environmental pressure groups
Employees
If a stakeholder has low interest but high power, then according to Mendelow's matrix the strategy management should follow in relation to that stakeholder is:
Minimal effort
Keep satisfied
Key player
Keep informed
1) The information to impact framework has four sequential stages to value creation and preservation.
2) The first stage of the information to impact framework is Assembling information.
Which of these statements is True?
1st
2nd
Both true
Both false
Which ONE of these data can be measured in numbers?
Quantitative data
Qualitative data
Primary data
Secondary data
Which THREE of the following are advantages of a cloud based service?
Cost efficient
Security
Employee retention
Flexibility
Which THREE of these are key areas of CDR strategy?
CDR - Corporate Digital Responsibility
Giving back
Data value
Data acumen
Digital stewardship
Which of these is not a disadvantage of blockchain?
Not easy for management to override
Scalability can be a problem
Everyone does not understand it
Needs an intermediary
Which of these is NOT a risk of a shared service centre?
Does not address the complexities that exist in multinational organisations
No tailored response
Increases cost
Likely to have a negative impact on staff morale
What does outbound logistics from Porter’s value chain mean?
Advertising
Distribution of product to the customer
Return of goods from customer
Convert raw material into finished goods
The contemporary diamond shape of the finance function is caused by:
Big data
Data visualization
Process automation
Mobile technology
What type of marketing involves using robots to trawl the internet to use conventional high volume sources of data to understand customers?
Big data marketing
Guerrilla marketing
Digital marketing
Viral marketing
What is the first stage of recruitment?
Job description
Job analysis
Person specification
Agree vacancy
What are the THREE stages of data modelling?
Decision making
Conceptual
Logical
Physical
Which of the following best describes a 'digital mindset'?
Extensive use of IT in business
Being alert to what effect IT developments might have
The ability to write computer code in programming languages
Arificial intelligence in business
Which of the following is not listed by CIMA as a fundamental ethical principle?
Objectivity
Integrity
Professional competence and due care
Secrecy
What are the likely consequences of unethical business decisions?
Short term profit decreased; Long term profit decreased
Short term profit increased; Long term profit decreased
Short term profit decreased; Long term profit increased
Short term profit increased; Long term profit increased
Which two of the following are likely consequences of good ethics?
Less regulatory attention
Cost of finance will increase
Increase in customer loyalty
Reputational damage
Marketing is the process of efficiently selling your products to customers.
This statement is .........
True
False
Which of the following is not one of the PESTEL environmental factors?
Suppliers
Social
Economic
Ecological
A market in which there are a small number of powerful competitors is known as
Perfect competition
Oligopoly
Monopolistic competition
Monopoly
