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BA4 Questions and Answers

Question # 1

S is management accountant for a small construction company. The company's financial year is due to end in a few weeks. The company has a number of large construction projects, one of which is behind schedule. One of the directors of the company has asked S to raise an invoice for a progress payment that is due on completion of the next phase of the contract. S knows that this phase will not be complete until after the year end, but the director says that the client needs the invoice now, to allow them to process it in time for payment when the phase is complete.

 

Which THREE of the following would it be appropriate for S to do?

A.

Do as requested

B.

Challenge the request

C.

Ask for confirmation in writing from the director

D.

Refuse

E.

Bring the matter to the attention of the managing director

F.

Ask for advice from the company's external auditors

Question # 2

The board of Zed Ltd wishes to borrow money from Exe Bank plc. What authority will the board require to enable it to proceed?

A.

A special resolution

B.

A board resolution

C.

An ordinary resolution

D.

A written resolution

Question # 3

Which of the following statements correctly defines the ethics of utilitarianism?

A.

The guiding principle of conduct should be the greatest happiness for the greatest number

B.

The guiding principle of conduct should be the consideration of the duty to respect other rational beings

C.

The guiding principle of conduct should be to do no harm

D.

The guiding principle of conduct should be to act with justice and courage

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