← Back to exam page

BA4 – Fundamentals of Ethics, Corporate Governance and Business Law

Loading demo links...

Showing 13–15 of 20 questions

Question 13

You work for a publishing company. Which of the following corporate issues is NOT related to ethics or social responsibility?

Select an option, then click Submit answer.

  • ○

    Whether advertisers are given more favorable editorial coverage than other companies that do not advertise in your company's magazines
  • ○

    Whether the paper used for the magazines comes from sustainably managed forests or can be recycled
  • ○

    Whether your company's magazines are more popular than competitor titles

  • ○

    Whether sales targets are so high that they implicitly encourage salespeople to ignore corporate values and principles
Question 14

Which of the following is INCORRECT in relation to the UK Corporate Governance Code?

Select an option, then click Submit answer.

  • ○

    The board should be made up of a majority of non-executive directors.

  • ○

    All UK companies quoted on the London Stock Exchange have to include a statement of how the company has complied with the main principles set out in the Code.

  • ○

    There should be a clear division of responsibilities between the Chairman and the Chief Executive.
  • ○

    No director should be involved in deciding his or her own remuneration.

Question 15

Zed plc contracted to build an apartment block for Exe Ltd. Which of the following would provide Zed with a valid excuse not to proceed with the contract?

(i) A key employee who was to manage the project has resigned.

(ii) The price of the materials to be used by Zed plc have increased to such an extent that the building can only be completed at a loss to Zed plc.

(iii) Planning permission has been refused.

Select an option, then click Submit answer.

  • ○

    (i) only
  • ○

    (i) and (ii) only
  • ○

    (i) and (iii) only
  • ○

    (iii) only