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CIMA BA1 Exam With Confidence Using Practice Dumps

Exam Code:
BA1
Exam Name:
Fundamentals of Business Economics
Certification:
CIMA Certificate
Vendor:
CIMA
Questions:
468
Last Updated:
Jan 30, 2025
Exam Status:
Stable
CIMA BA1

BA1: CIMA Certificate Exam 2024 Study Guide Pdf and Test Engine

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Fundamentals of Business Economics Questions and Answers

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Question 1

Which of the following is an example of fiscal policy?

Options:

A.

The central bank imposing controls on bank lending

B.

The removal of foreign exchange controls which restrict the transfer of currencies between countries

C.

The removal of regulations which restrict Sunday trading

D.

The creation of tax-exempt savings accounts to encourage savings

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Question 2

The Competition and Markets Authority is a regulatory body in the UK. In 2017, the CMA found the proposed merger of Heineken and Punch Pubs in breach of its competition laws. Heineken and Punch Pubs have agreed

to divest in pubs in areas where they are the two dominant pub companies.

Which of the following are ways in which consumers might directly benefit from this decision?

Select ALL that apply.

Options:

A.

Heineken/Punch Pubs will not be able to charge excessive prices for alcoholic beverages served at their pubs

B.

There will be a greater variety of pubs for consumers to choose from in certain areas

C.

Heineken will divest in a certain number of pubs where the merger would have created monopolies

D.

The companies' divestment of pubs in certain areas could lead to the closure of the majority of pubs in said area

E.

The CMA will use this decision as a precedent for others in the future

Question 3

A bottle of brandy costs £25 in Country X, including both unit tax and ad valorem tax. These taxes are applied throughout the production process.

Which of the following applies to this particular scenario? Select ALL that apply.

Options:

A.

The ad valorem tax acts as a sales tax

B.

Both taxes can be classed as multi-stage consumption taxes

C.

The unit tax is otherwise known as stamp duty

D.

The taxes levied on the brandy are charged in a similar way to sales tax in the United States

E.

The taxes levied on the brandy are proportional

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