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CIMA Managing Finance in a Digital World Sample Questions:

1. YKF is a manufacturer of candles with world-wide operations.
The finance department within YKF has recently adopted the use of accounting systems that are hosted and operated by an external provider, instead of being in-house.
The technology allows different users to access elements of the accounting software, regardless of location, through either an internet browser or an app on their mobile device What technology has YKF adopted to make its accounting software more flexible?

A) Data Analytics
B) Cloud computing
C) Blockchain
D) Internet of things

2. There are four types of quality cost - prevention, appraisal, internal and external failure. Which of the following provides the best description for an external failure cost?

A) The cost of repairing products returned by customers
B) The cost of inspecting finished goods
C) The cost of training staff
D) The cost to repair a machine that has broken down

3. Which THREE of the following refer to information sourced externally?

A) Tax deducted
B) Inflation rate
C) Volume of pales
D) Production capacity
E) Taxation policy
F) Share price

4. Clear career progression is an advantage of which type of organisational structure?

A) Project based
B) Multi-divisional
C) Matrix
D) Functional

5. GBX has been receiving adverse customer feedback regarding late deliveries. As a result, it has decided to review its delivery logistics systems and related performance indicators.
The management team are discussing the introduction of a Key Performance Indicator (KPI) which allows a maximum of three hours to deliver a customer order Which of the following SMART criteria is unlikely to apply to this KPI?

A) Measurable
B) Specific
C) Relevant
D) Time-bound

Solutions: