Free CIMA CIMAPRA17-BA1-1-ENG Exam Questions

Become CIMA Certified with updated CIMAPRA17-BA1-1-ENG exam questions and correct answers

Page: 1 / 95

Total 471 Questions | Updated On: Jan 07, 2025

Add To Cart

Question 1

ToyTown, a soft toy manufacturer, produces what it claims to be the cheapest teddy bears on the market. The graph shows the current price of a ToyTown teddy bear and its relationship to the demand for ToyTown teddy

bears.

If the price of ToyTown teddy bears were to increase, what would happen to the demand?

A : mand would fall as consumers would look for alternative teddy bears to buy

B : mand would increase because the teddy bears would be seen as more prestigious by consumers due to their higher prices

C : mand would fall as the relationship between price and demand as shown in the graph is inelastic

D : mand would increase as the relationship between price and demand as shown in the graph is elastic

Answer: A

Question 2

A research business compiles the following data for Country D over 8 years:

* Household expenditure, y (in millions of constant 20X6 dollars);

* The number of fixed broadband internet subscribers, x (in thousands).

Based on this information the following regression model is developed:

y = 332668 * 45.8x - 0 003x2

Which of the following statements is correct?

A : model is based on historical data, so it is of little use in making forecasts

B : 1 percent increase in the number of fixed broadband internet subscribers will lead to 0 3 percent increase in household final consumption expenditure.

C : non-linear relationship is suggested by the model between household final consumption expenditure and the number of fixed broadband internet subscribers.

D : model makes accurate forecasts on household final consumption expenditure in Country and therefore it should be widely applied to most countries and regions.

Answer: D

Question 3

If the government imposed a legal minimum wage that was above the market equilibrium wage, the resulting unemployment would be the greatest when:

A : demand for labor and the supply of labor are both price inelastic

B : demand for labor and the supply of labor are both price elastic

C : demand for labor is price inelastic and the supply of labor is price elastic

D : demand for labor is price elastic and the supply of labor is price inelastic

Answer: B

Question 4

Mrjohnson, the managing director of Brilliant Buys, wants to plot the cumulative sales figures for each store nationwide over the course of a year on a graph. The sales by store are shown below:

Other-Image-2baa79d8d-7b5c-4c64-99f7-87168e42b707

If these figures were plotted on an ogive, what would the line of cumulative frequency look like?

A : es until it reaches sales of 900,000 or less on the x axis, then declines

B : es until it reaches halfway between sales of 700,000 and 900,000 on the x axis, then declines

C : es until it reaches 43 stores on they axis, then declines

D : es until it reaches 43 stores on the x axis, then declines

Answer: A

Question 5

A good has a price elasticity of supply of 0.8. Which of the following best describes the effects of a rise in demand for this good?

1. More will be spent on the good

2. More of the good will be made and sold

3. Producer incomes will rise

4. Price rises more than proportionately to the rise in quantity produced

A : 1 & 2 only

B : 1 & 3 only

C : 1 & 4 only

D : 1, 2, 3 & 4

Answer: D

Page: 1 / 95

Total 471 Questions | Updated On: Jan 07, 2025

Add To Cart