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Free CIMA E3 Sample Questions
Question 1
HHH is a teachingOrganization. HHH has begun to employ virtual reality to train the customers on its courses in how to perform complex manual tasks such as repairing machineryWhich activity in Porter's Value Chain has been impacted by HHH's use of virtual reality?
A. Operations
B. Service
C. Procurement
D. Human resources management
Answer: A
Question 2
Which of the following distinguishes a learning curve effect from a learningOrganization?
A. Learning curve effects depend on repetition of the same behaviour.
LearningOrganizations seek to modify behaviour.
B. Learning curve effects apply to the factory. LearningOrganizations are always service
industries.
C. Learning curve effects increase with time. LearningOrganizations cease to learn after a
time.
D. Learning curve effects always reduce costs. LearningOrganizations always increase
costs
Answer: A
Question 3
MM is a business which sells entertainment products. MM now wants to move to a positionwhere it uses e-business as a fundamental part of its business strategy.Which of the following benefits would result from MM's use of e-business?Select ALL thatapply
A. Cost reductions because of lower overheads and cheaper procurement.
B. Increased online revenues.
C. Better control information through monitoring website activity.
D. An increased use of tacit knowledge.
E. A reduction in labour turnover and higher morale.
F. Better control of information.
Answer: A,B,C
Question 4
Which of the following is an example of a value adding activity within the outbound logistics aspect of anOrganization's value chain?
A. Refunds offered to customers if they are dissatisfied with a purchase.
B. Promotions and discounts offered to loyal customers.
C. Delivery of customers' purchases directly to their homes.
D. Regular training provided to staff in customer care.
Answer: C
Question 5
CIMA has described the two roles of enterprise governance as 'preventing failure' and'ensuring success'. CIMA sees 'preventing failure' as being related to having proper riskmanagement and corporate governance procedures in place. CIMA sees 'ensuringsuccess' as being concerned with the practise of strategic management.Which THREE of the following responsibilities of senior management are essential to'ensuring success' for theOrganization?
A. Providing leadership and direction to theOrganization.
B. Maintaining awareness and responsiveness to abrupt change in theOrganization's environment.
C. Demonstrating competence in the execution of new initiatives.
D. Avoiding the dominance of the executive team by particular personalities.
E. Ensuring conformance with the codes of corporate governance.
Answer: A,B,C
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