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CIMA Managing Finance in a Digital World Sample Questions:

1. A boiler repair business uses an expert system in the form of a fault diagnostic system. What benefits does this give to the business?
Select ALL that apply.

A) The system generates customer invoices quickly.
B) The business is less reliant on the senior technician for solving problems.
C) Junior technicians are able to identify faults without a detailed knowledge.
D) The system can be used for other purposes such as staff rotas.
E) The business saves money by needing less senior mechanics and repairing boilers quicker.
F) Faults are diagnosed quicker so customer service is improved.

2. Different types of organisation exist for different purposes. Match the types of organisation to the appropriate purpose.

3. 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?

A) A speech
B) A presentation
C) In-tray exercises
D) Self-appraisal

4. 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.

A) To reduce the number of complaints from 754 to 450 as soon as possible
B) To reduce the current level of defects from Oper 1,000 to 35 per 1,000 by the end of the month.
C) To increase output from 2,500 units per hour to 3,500 units per hour within a year.
D) To reduce quality issues significantly within eight weeks.
E) To reduce defects from 53 per 1000 to 35 per 10,000 within 10 months.
F) To reduce the number of complaints due to quality issues by 28% by the end of the year.

5. The secondary objectives of a not-for-profit organisation are economy, efficiency and effectiveness.
Which of the following gives the correct description of each of these?

A) Economy: Controlling costs.
Efficiency: Achieving objectives at minimum cost
Effectiveness A measure of achievement by reference to objectives
B) Economy: Controlling costs.
Efficiency: A measure of achievement by reference to objectives.
Effectiveness: Achieving objectives at minimum cost.
C) Economy Achieving objectives at minimum cost
Efficiency: A measure of achievement by reference to objectives
Effectiveness Controlling costs.
D) Economy: Achieving objectives at minimum cost.
Efficiency: Controlling costs.
Effectiveness A measure of achievement by reference to objectives

Solutions: