CIMA CIMAPRO19-E01-1-ENG E1 Managing Finance in a Digital World Online Training

1. Which of the following statements best describes data extraction?

2. Which of the following is NOT an element of the system development life cycle?

3. K manages the finance function of a cable manufacturing business In order to cope with an increasingly diverse workload K needs human resources to recruit someone with a digital mindset.

Which THREE of the following individual charactenstics should K emphasise to human resources as important in finding the right candidate?

4. Company Q is a relatively small company but expanding quickly. In this period of rapid growth it feels that now is the time to add a Human Resource presence and support, but does not wish to add a permanent department within the organisational structure.

What is the best option for Company Q?

5. Workforce flexibility takes a number of different forms.

Which of the following achieves flexibility where employees have the ability to move between tasks as and when required by the organisation?

6. Which of the following would specifically be an example of the use of the marketing concept by a charity?

7. Appraisal systems involve the collection of feedback on an individual's performance from a range of sources.

Which of the following sources apply to 180-degree appraisal? Select THREE sources that apply.

8. Which of the following statements regarding shamrock organisations are true?

1: Shamrock organisations typically comprise four discrete components.

2: The core group of executives are often supported by external contractors and part-time staff.

3: One of the main characteristics of a shamrock organisation is its flexibility.

9. The Finance function of XZY company, which is based in the UK. are planning how they can minimise the corporation tax costs

Which of the following is correct?

10. Which TWO of the following statements are NOT aims of a reward system?

11. Material requirements planning (MRP I) and manufacturing resource planning (MRP II) are computerised systems used for planning the requirements for raw materials, work-in-progress and finished items and integrating with other production processes. These systems enable strong relationships to be forged with suppliers as orders can be placed with suppliers in good time to fulfill customer requirements and expectations, as well as other processes related to materials planning.

Which of the following specifically can MRP I and MRP II NOT assist with?

12. Which of the following are the primary objectives of a commercial organisation? Select ALL that apply.

13. Who is responsible for the strategic leadership of the finance team?

14. The directors of JES are keen to ensure that expenditure on marketing campaigns is generating additional sales for the company.

Which of the following KPIs would be appropriate for the directors of JES?

15. Offshoring may be successful when which of the following applies?

16. A company is expanding its baby clothing product range to include all items for infants, for example feeding and bathing equipment. As this is a new venture for the company, the Board of Directors has agreed that market research is a necessary exercise, but it is undecided as to which is the most efficient and effective method.

Which of the following methods of research would be most appropriate?

17. Which of the following would be a disadvantage of the use of 'big data'?

18. According to Ansoff, which of the following marketing strategies should be adopted when introducing an existing product to a new market?

19. Which of the following is a potential advantage of outsourcing?

20. Which of the following is a benefit to the employer of remote working?

21. Which of the following are advantages of a virtual team? Select ALL that apply.

22. Dismissal is a drastic form of disciplinary action.

Which THREE of the following examples would constitute fair dismissal?

23. M is employed by an organisation that operates a chain of high street coffee shops. She has made a decision to purchase a failing cake shop in order to take it over and expand the presence of the organisation in the local area.

According to Mintzberg, which part of the organisation does M belong to?

24. One of the key corporate governance factors within an organisation is that of responsible planning and management of resources. This is often referred to as stewardship. Whilst this is the responsibility of all directors, financial resources are overseen by the financial director. The finance department, under the direction of the financial director, issues weekly staff performance reports to line managers and department heads, annual statistical information to local government departments and quarterly high level results statements to shareholders.

Why is stewardship such an important responsibility of company directors and the finance function?

25. Mita has set up a number of food shops and spends a lot of her time finding suitable staff Her key strength is going to farmers' wholesale markets and selecting her suppliers She also carries out all the accounting functions and maintains the shops by acting as her own caretaker, carrying out repairs and maintenance at the weekends

Which aspect of the work would Mita be LEAST LIKELY to outsource?

26. X Company has several distinctive corporate social responsibility stances including a concentration on the triple bottom line, being proactive, and treating stakeholders as partners.

According to Johnson, Whittington and Schools' categorization which of the following stances would best fit X?

27. T is employed as an HR manager for a chain of hotels. A large part of her role is to assist the HR director with forecasting personnel requirements for the next one, three and six month periods respectively.

Which TWO of the following factors should be taken into consideration when forecasting personnel requirements?

28. Organisation X is 6 months into an overhaul in its supply chain management and production process.

The organisation aims to prevent errors before they occur, demands participation by all, including customers and suppliers, and the structure is driven by the entire Board of Directors.

Which method of management has Organisation X adopted?

29. A manufacturing company had major issues with quality standards and as a result received a number of complaints from its customers.

Due to this the company's senior management has considered some new objectives for the business.

Which of the following comply with all requirements of a SMART objective and will help to overcome this issue? Select ALL that apply.

30. Stephanie has just secured a job as a management accountant for a well-known banking firm. She needs to understand the organisation's financial position.

What should she do first in order to gain this understanding?

31. The marketing environment includes political, economic, social, technological, ecological and legal factors affecting marketing (PESTEL). Select THREE examples of economic factors.

32. The structure of an organisation is likely to change as the organisation develops and grows.

Which type of structure is associated with an organisation which is in its early days?

33. Assessment centres can use a range of techniques to assess an applicant's competencies against pre-set criteria.

Which document would set out the competencies required for them to compare against?

34. DRAG DROP

Kolb's learning cycle suggests that learning is a series of steps based on learning from experience.

Match the various stages of the cycle with the correct description.

35. In preparation for GD Company's annual people resourcing meeting, PR is creating the HR Plan for the Finance Directorate. He is currently collecting information for the second stage of the plan i.e. Internal Analysis.

Which THREE of the following will PR need information about for this stage?

36. L is employed within a startup organisation that has limited funds. The organisation is a firm of lawyers specialising in all legal fields, such as family law, property law, commercial law and litigation. Due to the relative infancy of the organisation, and restrictions on funds, they have to be prudent with their choice of information systems. They have all the IT they need for staff but the agreed best way to build the business has been to focus on building their client and prospective client base.

Which of the following should the organisation invest in to help achieve this aim?

37. Data science is increasingly important in the production of business focused data It consists mainly of experts with backgrounds in mathematics, programming and computer science

Which of the following best describes the attributes of a data scientist?

38. Which of the following best outlines the shift to higher level' skills anticipated to be fundamental to future accountants'?

39. Which TWO of the following are non-incorporated organisations?

40. AB Company is planning to implement a new IT system. The existing system runs all of the financial ledgers and is key to the running of the whole organisation.

Which of the following will NOT be a suitable method for the changover of the system?

41. At which stage of a systems development lifecycle is systems architecture considered?

42. Bright Idea Co. specialises in manufacturing light bulb filaments. It is considering outsourcing some of it activities in order to reduce costs and improve customer service.

Which of the following is an example of asset specificity that is likely to be an important consideration in their decision?

43. XYZ company is a large public limited company, registered in the UK and required to be externally audited.

Who is responsible for appointing the external auditors?

44. S is employed within the accounting function of a small company. Due to the size of the company, there are not enough resources for separate accounting functions so S is responsible for both management and financial accounting tasks. As the company is so small there is no requirement for audit. However it does make use of the services of an external certified accountant for statutory accounting and taxation services.

According to Mintzberg, in which part of the organisation does the external accountant belong?

45. Corporate governance in the UK, that provides guidance regarding areas such as directors, internal controls and remuneration, is largely defined by which of the following?

46. Which of the following is NOT a feature of a knowledge management system specific to a particular organisation?

47. Company O has appointed a new CEO who is well known in the industry for making radical changes within the companies that she works for. After her first 9 months in the role, she announced some changes that she wanted to make, starting with the Finance Department. She stressed an intention to focus inwards on improvements to efficiencies and that she was not afraid to make fundamental changes if this is what is required to achieve those improvements.

Which of the following is described above?

48. P works within Company A as a legal advisor. She is also trained in Human Resources (HR) and the Managing Director has asked for her help in dealing with some disciplinary issues. This will involve her temporarily transferring away from her legal role.

Which organisational form has the HR assistance taken?

49. In order to understand the potential for conflict over the functioning of a finance department, B organisation's new Chief Financial Officer has prepared a power/interest (Mendelow) matrix.

How should the Chief Financial Officer treat groups with high levels of interest but relatively low power when determining the role of the function?

50. Which of the following describes a disadvantage of succession planning?

51. One of the finance function's main stakeholders provides feedback on customer responses and reviews about the organisation's products and services.

Which of the following will provide this feedback?

52. AB Company is planning to produce a new product which will require an extra shift to be worked in its factory, and needs to know if the sales expected will cover the extra cost of manufacture.

Which of the following financial processes will be used to calculate this?

53. The Finance Director has been asked to produce a cost saving plan for the organisation which is to come into effect immediately. His initial suggestion to enable quick savings is to cut the staff development and training budget by 50%.

Before he publishes the plan he has asked you to review it and let him know what the effect of this may be in the short term. Select ALL that apply.

54. Continued improvements in Information Technology have encouraged organisations to use IT increasingly to assist in their development.

Which of the following is such an improvement in IT?

55. A high volume operation is likely to be characterised by which of the following?

56. XY Company operates a flexible manufacturing system, manufacturing a single standard product.

What is the disadvantage of this system if the organisation expands its product range?

57. There are several inter-related activities thought critical in implementing internal marketing.

Which THREE are valid?

58. Which TWO of the following tasks is associated with a Finance Department's Management Accounting section?

59. XY Company manufactures in a highly competitive environment and achieves competitive advantage by regularly monitoring all the activities in its value chain.

Which of the following would be affected by problems in the outbound logistics function?

60. Which of the following gives the correct combination of valid stages in the HR cycle?

61. Which of the following is an example of operational information?

62. Which of the following is a disadvantage of using the internet, (E-marketing), to sell products?

63. AB Company is considering a recruitment campaign to provide extra senior marketing staff for a new product launch. AB produces specialist industrial cleaning products and has a well developed marketing function.

Which of the following will be an effective alternative to a recruitment campaign?

64. You work for a pharmaceutical company and during any one year cames out a range of different activities and projects.

Which of the following sets of activities can be said to be connecting influence to impact?

65. Which of the following is the term used to describe the degree to which a task in an organisation is divided into a number of separate activities?

66. Company V has made the decision to operate using Six Sigma in order to manage the supply chain within the production process.

What process below is the method used to continually monitor and chart a process while it is operating?

67. Which of the following are advantages of outsourcing finance? Select ALL that apply.

68. B is a small company that offers translation services into another language. There are very few employees and a network of translators is kept on a database Customers ask for work to be carried out through a website and B finds a suitable translator, taking a fee from the overall charge. The website is maintained by a third party.

What type of organisation is this?

69. An effective induction programme will typically focus on which THREE of the following?

70. Digital interactive marketing does NOT involve the use of which of the following?

71. Barry has heard that the government is planning to tighten environmental regulations. He doesn't like the sound of this, as even though some businesses won't be affected that much, he will have to end up paying a lot more to run his business.

Which of the following options would be most effective in preventing the government from imposing such regulation? Select ALL that apply.

72. G Company has recently undergone a series of redundancies meaning that, in the near future, opportunities for promotion of remaining staff are likely to be limited.

If the company wishes to keep staff motivated, which of the following techniques should NOT be used?

73. Which of the following is NOT a form of viral marketing?

74. Which type of organisation is owned by its customers, strictly speaking is a not-for-profit organisation and is in the private sector?

75. Which THREE of the following features are likely to indicate that an organisation is following the marketing concept as a business philosophy?

76. Human Resource Management (HRM) and Personnel are different.

Which of the following is NOT a characteristic of Human Resource Management (HRM)?

77. Which of the following is a reason why businesses need to prepare statutory reports?

78. Which of the following is important when considering the 'Promotion' element of the

marketing mix?

79. A Company is considering to outsource its accounts payable According to the transaction cost theory of Williamson and Coase, which of the following involve activities and costs associated with policing and enforcing the agreement with the service provider?

80. RT Company produces sub components for the vehicle industry Worldwide changes in government regulation and social attitudes mean that there is an increasing pace of demand for hybrid and electric vehicles B is the long serving finance manager of RT Company. Using various data and information provided by the finance function staff, and experience built up over many years. B is considering how new challenges might be overcome and how opportunities might be maximised by the company.

In the context of the information to impact framework, which of the following best describes B's overall contribution to the anticipated changes'?

81. DRAG DROP

In a new initiative, Company O has been putting a lot of emphasis on internal awareness of Corporate Social Responsibility and creating value for it's stakeholders. A huge part of this has been about focusing on recycling and making departments accountable.

In order to assist with the achievement of goals in this area, a process has been designed to give some structure to measuring value for each department. Each of the process elements are listed below. Place the steps against each of these to indicate the correct sequence.

82. When considering companies which focus on more than just commercial issues, which TWO of the following would be associated as a key element of a corporate social responsibility (CSR) strategy?

83. System changeover has four approaches, each of which vanes in terms of risk. cost and time.

Select the most suitable approach for when there is a need to minimise costs and time.

84. Company M has been dealing with Supplier Q for many years. The Procurement Department has a very professional relationship with the supplier and it has recently started using electronic data interchange to place orders directly and on a much more frequent basis to assist production. A large part of the interaction with the supplier is now around price negotiation.

According to Reck and Long's strategic positioning tool, which stage is Company Mat with Supplier Q?

85. Which of the following provides the best description of an intranet?

86. Which of the following statements is correct in relation to a tall organisation?

87. Which of the following does NOT help to bring about operational improvement in the manufacturing process of an organisation?

88. You need to select potential candidates for the role of an office manager in a very busy office. An assessment centre has been organised to overcome the shortcomings associated with other selection techniques.

Which of the following activities would be most suitable to assess candidates for the role of Office Manager?

89. The process of human resources planning would involve the following: strategic analysis, forecasting, job analysis and recruitment and training.

Which THREE of the following are issues relevant to forecasting?

90. Inventory control, which maintains a low level of inventory, is important to ensure which of the following?

91. Which of the following would be a useful KPI to highlight increasing recruitment costs?

92. DRAG DROP

DnD1_0151-R2-D: Match each of the ethical principles with the correct brief scenario.

93. Which of the following is associated with the control activity of the finance function?

94. More and more organisations are developing their supply chain networks by building closer links with suppliers.

Which THREE of the following are considered to be features of this trend?

95. Which of the following are types of primary research? Select ALL that apply.

96. Running shoe manufacturer Bo Joggs have a long established method to ensure their product is right first time. The aim is to reduce the amount of quality checking. Internal processes and procedures are closely monitored so that the running shoes are of the highest standard before going to market.

What are Bo joggs likely to do to ensure this quality is maintained? Select ALL that apply.

97. An electrical goods company produces colourful brochures for customers.

Which element of the marketing mix does this represent?

98. Lancaster and Withey (2003) identifies five steps in consumer decision making.

Which THREE are valid?

99. DTR is a publishing company specialising in the production of technical journals and product specifications Because of the volumes of information required to run the business effectively, the finance function of the company is considering migrating to cloud based technologies.

Which of the following is most likely to be a benefit of such a move for the company?

100. Which of the following is an advantage of a functional organisational structure?