CIMAPRA19-E01-1-ENG E1 Managing Finance in a Digital World Exam Dumps

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The CIMAPRA19-E01-1-ENG E1 Managing Finance in a Digital World exam is an essential component of the CIMA certification, focusing on the role of finance in the evolving digital landscape. CIMAPRA19-E01-1-ENG exam dumps provide collections of past questions and answers to enhance study efficiency. While these dumps may offer a helpful overview of exam content, it’s crucial to pair them with official study materials, such as textbooks and practice tests from CIMA, to ensure a comprehensive understanding of key topics like digital finance transformation, data management, and the impact of technology on business finance. Free E1 Managing Finance in a Digital World CIMAPRA19-E01-1-ENG exam dumps are available below.

Page 1 of 8

1. Company X is a manufacturing company. It is implementing a new IT system within the accounts department.

Which of the following is the most appropriate organisational structure for this project?

Geographical

Matrix

Divisional

Functional

2. 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?

Ethical

Community

Share price

Sales volume

Profitability

3. A facilities management company sells to local councils.

Which THREE of the following are appropriate methods of marketing?

Personal selling

Exhibitions

Technical seminars

Celebrity endorsements

Newspaper adverts

Social media

4. Which TWO of the following are examples of a knowledge work system?

Computer Aided Design (CAD)

Transaction Processing System (TPS)

Computer Aided Manufacturing (CAM)

Materials Resource Planning (MRP)

5. Which of the following is a primary objective of a not-for-profit organisation?

Maximise benefit to beneficiaries

Economy - controlling costs

Maximise owner wealth

Effectiveness in achieving objectives

6. An internal audit department is set up to help prevent fraud.

Which of the following are possible

implications if fraud is allowed to take place?

Select ALL that apply.

Loss of new investors

Theft of goods

Criminal charges

Inadequate segregation of duties

7. Which of the following can facilitate innovation within an organisation? Select ALL that apply.

The communications system

The leadership style

A blame culture

A formal structure

8. Which TWO of the following are activities associated with setting up a new IT system?

Service support

Database management

Design and development

Testing

9. Which of the following is NOT an advantage of remote working for an organisation?

Increased employee motivation

Increased employee commitment

Increased co-ordination of employees

Reduced absenteeism of employees

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

High capital intensity

High labour pay rates

High labour flexibility

High cost inputs

Page 2 of 8

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

The costs of a central office are not needed.

New members can be brought in and out of the team easily.

Members do not feel isolated.

It is easier to establish decision making processes.

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

Low holding costs

Uninterupted production

Continual customer satisfaction

High level of redundant stock

13. Which of the following is NOT a key feature of total quality management (TQM)?

A staff appraisal system is used

Management is committed to improvement

All value chain participants are involved

Costs for failure are reduced

14. Which of the following is an example of sustainability impacting operations management?

A company only buys printer paper that has been recycled

A company has a whistle-blowing policy

A company keeps profits within the business for future investment

A company sells goods to developing nations

15. Which one of the following structures primarily suits a nationwide business with three product lines; for example, soup, condiments and baby food?

Functional

Divisional

Matrix

Geographical

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

Having pencils made with the name of the charity on them

Selling pencils to make a profit for the charity

Only buying pencils made from sustainable materials

Giving pencils out to children in developing countries

17. Which of the following is important when considering the 'Promotion' element of the marketing mix?

Public relations

Distribution channels

After sales service

Packaging

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

Which element of the marketing mix does this represent?

Physical evidence

Product

Price

Packaging

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

It has many levels of management and therefore a narrow span of control.

It has many levels of management and therefore a wide span of control.

It has only a few levels of management and therefore a narrow span of control.

It has only a few levels of management and therefore a wide span of control.

20. The finance function of an organisation supports the organisation's strategies and operations.

Which THREE of the following activities are fundamental to the role of the finance function?

Recruitment and selection of a new financial controller

Preparation of statutory reports

Preparation of plans, forecasts and budgets

Working capital reporting and control

Supplier selection for a new raw material supplier

Customer management and after-sales support

Page 3 of 8

21. A company sells double glazed windows. It has traditionally adopted a sales orientation and used aggressive direct selling techniques. As part of a new initiative, it is exploring its options to update its business philosophy.

Which of the following would be the most effective orientation for this business?

Production orientation

Product orientation

Marketing orientation

Selling orientation

22. 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?

Staff approaching retirement age

Absence and sickness rates

Changes to the minimum wage legislation

Employee turnover

23. Which of the following are measures a business might introduce specifically as part of its Corporate Social Responsibility (CSR) strategy? Select ALL that apply.

Using different waste bins for recycling and non-recycling

Commissioning a report on carbon dioxide (CO2) emissions from its factories

Negotiating with a supplier to keep costs to a minimum

Reducing the range of different products it makes

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

Finality of decision

Reduced capital expenditure

Reduced transaction costs

Reduced core competencies

25. There are four stages of development of supply chain management, according to Reck and Long's strategic positioning tool.

Which stage of this model does the following description identify? Emphasis is on better co-ordination between departments and suppliers involving timely communication about changes in price and availability of materials.

The passive stage

The independent stage

The supportive stage

The integrative stage

26. An organisation has grown in size over the last 6 months and it wishes to improve communication with its employees. Examples of information to share include company policies, human resource information and notices to employees.

Which type of system should the company adopt?

Internet

Intranet

Extranet

Video conferencing

27. N works in the Finance Department of a frozen food distribution company. His role includes analysing how long it takes for customers to settle their accounts and, in turn, when the company's payables are cleared.

Which of the following is described above?

Performance reporting

Preparation of forecasts

Working capital control

Cost reporting

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

There is a clear career path for employees to work their way up through.

The owner has a greater level of control over the workforce and all decisions.

The structure is easily adapted for further diversification.

It encourages teamwork and the exchange of opinions and expertise.

29. Which TWO of the following key business areas can a standard cost record assist with?

Pricing decisions

Break-even analysis

Inventory level

Receivables collection

30. SSS has adopted some outsourcing practices in order to improve efficiency of its operations. One of the managers has been made aware that the supplier is now also working for a competitor.

Which TWO of the following should SSS be concerned with regarding the supplier's and ompetitor's new relationship?

Risk of loss of confidential information

Risk of continuity of supply

Risk of increased transaction costs

Risk of losing core competence

Page 4 of 8

31. 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?

Questionnaires

Focus groups

Experimentation

Interviews

32. 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.

Key staff may leave

Staff skill levels may reduce

There may be a loss of competitive advantage

Profit will increase

Recruitment may be more difficult

Staff motivation may reduce

33. TTT plc has recently been responsible for a major environmental accident. As a result the management of the company wishes to set up a large fund to compensate stakeholders affected. The company has a significant number of institutional shareholders which own a large share of the company, as well as many individual investors.

The management is considering Mendelow's Matrix to determine the likely movement of the institutional shareholders during the change in strategy.

What is the institutional shareholders' likely movement according to Mendelow?

From 'Keep informed' to 'Keep satisfied'

From 'Minimal effort' to 'Keep informed'

From 'Keep satisfied' to 'Key players'

From 'Keep satisfied' to 'Keep informed'

34. A company manufactures electrical goods and has several product lines, all at different stages in the product life-cycle. As each item works through the life-cycle, the emphasis on marketing and price focus changes. Item X currently has an increased emphasis on investment in the product quality and design, with consideration also being given to reducing the sale price. Item X is in which stage of the product life-cycle?

Maturity

Introduction

Decline

Growth

35. With the use of increasingly sophisticated systems and improved communications, the focus of the accountant's role has changed in recent years to which of the following?

Business support

Variance reporting

Treasury management

Statutory reporting

36. Which of the following is a cost of information?

Improving system design

Improving marketing strategies

Improving pricing strategies

Improving product design

37. When testing an information system before it goes live, using contrived testing will present the system with which type of data and transactions?

Unusual and unexpected data and transactions

Realistic data and transactions

Large volumes of data and transactions

Routine mix of data and transactions

38. Which of the following best describes the 'passive stage' of purchasing?

Purchasing has no strategic direction

Purchasing is concentrated on price negotiation

Purchasing integrates latest practices and technology

Purchasing is independent of corporate strategy

39. AB Company operates a capital intensive production process and cannot quickly add capacity.

Which of the following best describes this production strategy?

Maintaining a level capacity plan

Matching production capacity to demand

Influencing demand to match production capacity

Forecasting demand and matching this to production capacity

40. Which of the following organisations would best describe a 'professional bureaucracy'?

A hospital

A newsagent

A manufacturing company

A project based company

Page 5 of 8

41. Which of the following is a possible disadvantage associated with a matrix structure?

Dilution of functional authority

Flexibility is encouraged

Customer orientation is emphasised

Exchange of opinions is facilitated

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

Payroll details

Inventory values

Sales analysis

Productivity measures

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

Review

Planning

Analysis

Implementation

44. Which of the following is NOT an element of the EOQ (Economic Order Quantity) equation?

Total purchases per year

Total ordering cost per order

Total inventory cost per year

The reorder quantity

45. Which of the following is a feature of an organisation that has adopted a sales orientation?

Persuasive promotional policies

Producing the right product

Selling in the right place

Selling at the right price.

46. AB Company has recently produced a very successful brand of washing powder which has achieved high market growth and a high market share.

According to the Boston Consulting Group (BCG) matrix what is the product's next stage of development?

Cash cow

Star

Question mark

Dog

47. Which of the following is the main reason for the growing demand for Big Data by organisations?

Gaining a competitive advantage

Allowing remote working

Improving supplier relationships

Improving privacy and security

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

Systems design

Feasibility

Implementation

System review

49. The psychological contract is by nature:

unwritten and not legally binding.

legally enforceable due to custom and practice.

written as part of a worker's terms and conditions.

renegotiated annually between management and unions.

50. 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.

The business is less reliant on the senior technician for solving problems.

Junior technicians are able to identify faults without a detailed knowledge.

Faults are diagnosed quicker so customer service is improved.

The business saves money by needing less senior mechanics and repairing boilers quicker.

The system generates customer invoices quickly.

The system can be used for other purposes such as staff rotas.

Page 6 of 8

51. Clear career promotion and progression ladders are most obvious under which type of organisational structure?

Horizontal

Vertical

Networked

Virtual

52. A duplication of support functions would exist under which of the following organisational structures?

Divisional

Functional

Matrix

Project based

53. Unclear cost and profit responsibilities can be a feature of which type of organisational structure?

Matrix

Functional

Divisional

Geographical

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

Functional

Matrix

Project based

Multi-divisional

55. Which THREE of the following suggest an independent approach to organisational purchasing according to Reck and Long?

Growing awareness of the financial importance of purchasing.

Skills in negotiating the best price with suppliers.

A move away from reactive to more professional approaches.

Involvement in strategic planning.

Treating suppliers as partners.

Efficient responses to requests for supplies from departments.

56. Which THREE operations management issues are associated with the primary activity of inbound logistics?

Economic storage of raw materials

Effective systems for inventory record keeping

Efficient distribution of raw materials from warehouses to factory floor

Production engineering capacity

Effective quality control procedures

Efficiency of facilities, plant and machinery

57. Which THREE of the following describe the role process maps can play in an organisation?

Providing an overview of product flows across supply chains and networks

Acting as a trigger for process redesign and simplification

Providing an understanding of how particular jobs and functions fit into an entire process

Offering a framework to analyse cause and effect in problem solving

Providing a plan-do-check-act operating sequence

Providing an understanding of how the physical and thinking environment can be improved

58. A company offers life coaching and self-improvement training. As part of its promotion strategy, the company sends out free, heavily branded, daily motivational emails to all of its subscribers. It actively encourages its subscribers to forward its emails on to other contacts, provided the emails are not changed in any way.

Which of the following marketing strategies is described above?

Experiential marketing

Guerilla marketing

Viral marketing

E-marketing

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

Maximise shareholder wealth

Maximise trading performance

Ensure going concern status

Protect the environment

Ensure continued employment for staff

Ensure compliance with tax legislation

60. The Statement of Financial Position is NOT normally used to make decisions concerning which of the following?

Material purchases

Buildings

Trade payables

Reserves

Page 7 of 8

61. Which of the following are the tasks associated with the effective management of the treasury function? Select ALL that apply.

Legally avoid paying as much tax as possible

Minimise foreign exchange losses

Effectively manage the cash position

Effectively manage the trading position

Ensure compliance with statutory reporting

Ensure effective product pricing

62. 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?

Strategic apex

Techno-structure

Middle line

Operating core

63. The growth and success of virtual teams have been a result of which THREE developments becoming available to organisations?

Computer-aided design processes

Accurate systems of inventory management

Safe transfer of funds electronically

Remote on-line meetings

Electronic information sharing

Efficient broadband connections

64. Which of the following is NOT a feature of a strategic level information system?

It has a long term focus.

It helps middle managers to monitor and control.

It has high levels of uncertainty and subjectivity.

It handles information which is valid for the whole organisation.

65. Which of the following is NOT one of the "three V's" of Big Data?

Volume

Variety

Variability

Velocity

66. 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?

Early supplier involvement

In-house resolution of design problems

Computer systems linked to customers

Price and inventory co-ordination

Supplier representative on site

67. C Company is a manufacturer of components for the electronics industry. Although enjoying healthy returns in the past, results for the last two years have shown a decline in profit. G has been brought in as the new Operations Manager. In her previous role, she was responsible for turning around a struggling organisation by using process mapping tools and she feels that this approach could also benefit her new company.

Which of the following is NOT a feature of process mapping?

Establish what is currently happening and why

Measure how efficiently the process is working

Identify the most suitable supplier of raw materials

Develop new improved processes to reduce or eliminate inefficiency

68. Company T needs to update its forecast for the remaining 9 months of the financial year to comply with its bank financing convenants. There is a debate between the manufacturing department, which wants to replace some large equipment within the next six months, and the finance function, which wants to ensure that sufficient reserves have built up to fund the purchase outright rather than exploring further financing options.

Which conflicting factors are the two departments debating? Select ALL that apply.

Revenue expenditure

Short term

Capital expenditure

Long term

Independence

69. Shortly after starting his new role within R, Q begins to suspect that the training opportunities he was offered at interview are unlikely to materialise. Upon discussing his concerns with his manager, Q is made to feel as though his expectations regarding training opportunities were unrealistic as everything included within his employment contract had been honoured.

Which of the following applies to the above situation?

Breach of employment contract

Misunderstanding of the job description

Breach of psychological contract

Recruitment into the wrong role

70. An entity has several subsidiaries including F, which has an urgent staffing issue. The Financial Controller of F is due to start her maternity leave in 3 weeks time and there is currently a recruitment freeze in place to curtail employment costs. Human Resources needs to resolve the issue of covering the Financial Controller's position on a temporary basis.

Which TWO of the options below will be suitable in these circumstances?

Internal promotion

Secondment

Job enlargement

Job rotation

Early retirement

Page 8 of 8

71. A is developing a new mission statement.

Which TWO of the following should NOT be included?

The main business A is concerned with.

The main purpose of

A brief summary of A's values and beliefs.

What will be achieved in 20 years' time.

Detailed values such as respect, integrity, diversity, teamwork and innovation.

CIMAPRA19-E01-1-ENG E1 Managing Finance in a Digital World Exam Dumps

CIMAPRA19-E01-1-ENG E1 Managing Finance in a Digital World Exam Dumps

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