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BA4 Exam Dumps : Fundamentals of Ethics, Corporate Governance and Business Law

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Fundamentals of Ethics, Corporate Governance and Business Law Questions and Answers

Question 1

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.

Options:

A.

Resign from the company.

B.

Consider getting legal advice.

C.

Determine whether he should report the issue.

D.

Destroy all documents that contain information regarding the company's tax avoidance.

E.

Manipulate the company's accounts so that the right amount of tax is paid.

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Question 2

Exe Ltd was registered in 1980 and has an objects clause in its Memorandum of Association. What is the current status of Exe Ltd's objects clause?

Options:

A.

The objects clause will be treated as if it remains in the Memorandum of Association.

B.

The objects clause will be treated as if it is a provision in the Articles of Association.

C.

Exe Ltd will be treated as if it has no objects clause.

D.

The objects clause will be treated as if it only applies to Exe Ltd's directors.

Question 3

Which THREE of the following are disadvantages of rules-based approaches to ethical standards?

Rules-based approaches:

Options:

A.

are inflexible and expensive

B.

motivate compliance through value and judgment

C.

are subject to precise definitions of wording and hence become contentious

D.

have subjective standards which may cause confusion.

E.

require objective enforcement by an independent party.

F.

are inconsistently applied due to the need for judgment.