Series: NOV 2015

Search 500 + past questions and counting.

CSME – Nov 2015 – L2 – Q7 – Corporate Strategy Formulation

Analyzes reasons for slow growth in DAB phone sales, uses the S-shaped growth curve to evaluate market stages, and suggests sales improvement strategies.

Question

Ade John is a graduate of XYZ University. For his final project work in the Department of
Electronics and Electrical Engineering, he designed a cell-phone that is rugged, cheap,
handy and not sophisticated.
During his national service year, he kept toying with the idea of manufacturing the cellphone. To ascertain that there is a market for the phone, he carried out a series of market surveys among rural farmers, artisans, market women, etc. Each time, he was convinced that a market actually exists for his design. He also made contact with some manufacturers of cell-phone components. He entered
into an agreement with CKT Japan to import cell-phone accessories to enable him
assemble them in Nigeria. DAB phone is the first of its kind in the Nigerian market and
production and assembly commenced in a small room in his uncle‟s house at Ikare.
The first batch of phones manufactured by DAB Company was supplied to cell-phone
vendors in cities on „sale or return‟ basis. To encourage distributors to accept the
phones, a 15% margin was allowed. In addition, independent sales persons (hawkers)
were given between 10 -12% margin to sell the product. In spite of the low price of DAB
phones, demand was disappointing at the end of the first year. Nevertheless, Ade John is
still optimistic about the commercial viability of the phone if only he could develop an
effective strategy to market the DAB phones

Required:
a. Identify and explain TWO reasons for the slow growth of sales of DAB phones. (4 Marks)
b. With the aid of an S-shaped growth curve, evaluate market development of DAB phones. (6 Marks)
c. Recommend the strategies that Ade John can use to improve sales. (5 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Market Entry, Product Development, S-shaped Growth Curve, Sales Strategy
Level: Level 2

Topic: Corporate Strategy Formulation
Series: NOV 2015

CSME – Nov 2015 – L2 – Q6 – Corporate Governance

Evaluates how specific corporate governance issues impact the effectiveness of a company's governance.

Question

Explain briefly how the following key issues in corporate governance establish how well or badly a company is governed:

a. The role and responsibilities of the board of directors
b. The composition and balance of the board of directors
c. Financial reporting, narrative reporting, and auditing
d. Directors’ remuneration
e. Risk management and internal control

Answer

Find Related Questions by Tags, levels, etc.

Tags: Board Composition, Corporate Governance, Directors’ Remuneration, Financial Reporting, Risk Management
Level: Level 2

Topic: Corporate Governance
Series: NOV 2015

CSME – Nov 2015 – L2 – Q5 – Corporate Governance

Outlines key responsibilities and duties of the board in corporate governance, relevant for improving corporate structure and performance.

Question

The owner of ABC Company learned from a conference and a professional magazine that weak corporate governance accounted for recent corporate failures in Nigeria. Many board members were found lacking a clear understanding of board responsibilities and duties.

Required:
The Managing Director will soon address the board and has requested a paper detailing the board’s responsibilities and duties.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Accountability, Board Duties, Board Structure, Corporate Governance, Strategic Oversight
Level: Level 2

Topic: Corporate Governance
Series: NOV 2015

CSME – Nov 2015 – L2 – Q4 – Risk Management and Corporate Strategy

Analyzes strengths and weaknesses of Toyin Trust Insurance Plc pre- and post-2000 ownership changes, and suggests strategies for sustaining the company.

Question

Toyin Trust Insurance Company is one of the duly registered insurance companies in Nigeria. Ten years after it started operations in 1990, the company had become a household name in the market. Its strengths included timely payment of claims and introduction of quality products that captured changing customers’ needs.

At inception, the company was 100% foreign-owned, with five of the seven directors being experienced expatriate insurance practitioners. However, by 2000, over 90% of the equity had been transferred to Nigerian investors. In 2009, following reorganization, many experienced senior managers resigned, and inexperienced staff took over key positions, leading to a decline in service quality and a 40% drop in premium collection.

Required:

a. Analyze the strengths of Toyin Trust Insurance Plc before 2000. (5 Marks)
b. Analyze the strengths and weaknesses of Toyin Trust Insurance Plc after 2000. (5 Marks)
c. Suggest essential strategies to sustain Toyin Trust Insurance Plc. (10 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Business Growth, Organizational Challenges, Risk Mitigation, Strategic Management
Level: Level 2

Topic: Corporate Governance, Risk Management and Corporate Strategy
Series: NOV 2015

CSME – Nov 2015 – L2 – Q3 – Ethics in Business

Describes the nature of business and professional ethics, Kohlberg’s theory of moral development, and criticisms of the theory.

Question

Kalu, a competent consultant and accountant, works in Bosun and Company Limited. The company realized that almost all of its newly employed entry-level staff are deficient in business and professional ethics. Consequently, the Human Resources Manager recommended to the CEO that a training program on business and professional ethics should be organized. Kalu is nominated as a resource person to speak at the training program.

Required:
a. How should Kalu explain the nature and importance of business ethics and professional ethics? (6 Marks)
b. Advise Kalu on how he should analyze Kohlberg’s theory of moral development in an attempt to explain to the trainee participants how people generally develop a sense of morality both in personal and professional life. (10 Marks)
c. Discuss any TWO of the criticisms of Kohlberg’s theory. (4 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Business Ethics, Ethical Training, Kohlberg’s Theory, Moral Development, Professional Ethics
Level: Level 2

Topic: Ethics in Business
Series: NOV 2015

CSME – Nov 2015 – L2 – Q2 – Risk Management and Corporate Strategy

Develops a risk management program for theft, diversion, and safety issues; includes risk reduction and financing techniques.

Question

Dolly Homes Plc is a real estate firm based in Abuja. The firm builds residential apartments and office blocks in five states of the federation. The objective of Dolly Homes Plc is to deliver high-quality, aesthetically designed, and professionally built homes/offices to its customers at competitive prices. It employs several skilled and casual workers, construction supervisors, construction engineers, architects, and quantity surveyors.

The company maintains a store at each of its building sites, each manned by a storekeeper and an assistant. Building materials are purchased centrally and delivered to sites per material schedules prepared by the quantity surveyor.

Patronage from middle and high-income brackets has been impressive; however, recently, the company has been receiving complaints about poor quality. The most alarming complaint involved a legal threat for injuries sustained when a kitchen cabinet collapsed in a client’s home.

Management’s investigation revealed theft of materials, diversion, and re-work waste due to poor finishing. There were also job site accidents, leading to employee injuries, lost hours, and increased medical claims.

Management decided to establish a risk management program to address theft, diversion, and health/safety issues.

Required:
a. As an Accountant, develop a risk management program to address Dolly Homes Plc’s problems. (8 Marks)
b. Advise management on techniques to reduce the frequency of risk exposures in the future. (6 Marks)
c. Suggest risk financing techniques to protect the company’s staff from injuries and accidents. (6 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Construction Industry Risks, Risk Financing, Risk Management, Safety Measures, Theft Prevention
Level: Level 2

Topic: Risk Management and Corporate Strategy
Series: NOV 2015

CSME – Nov 2015 – L2 – Q1c – Corporate Governance

Discusses the difference between rules-based and principles-based professional ethics in accountancy.

Question

What is the main difference between a rules-based and a principles-based code of professional ethics for accountants?

Answer

Find Related Questions by Tags, levels, etc.

Tags: Accountancy Ethics, Principles-Based Ethics, Professional Conduct, Rules-Based Ethics
Level: Level 2

Topic: Corporate Governance
Series: NOV 2015

CSME – Nov 2015 – L2 – Q1b – Risk Management and Corporate Strategy

Discusses various methods for managing and controlling risks in an organization, illustrating different risk management techniques.

Question

There are different methods of managing and controlling risks. Explain and illustrate any THREE of the following approaches to risk management:
i. Risk Diversification
ii. Risk Transfer
iii. Risk Sharing
iv. Risk Hedging (15 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Credit risk, Risk Diversification, Risk Hedging, Risk Sharing, Risk Transfer
Level: Level 2

Topic: Risk Management and Corporate Strategy
Series: NOV 2015

CSME – Nov 2015 – L2 – Q1a – Risk Management and Corporate Strategy

Explains credit risk management concepts, including exposure, losses, residual risk, and appetite.

Question

The finance director of Basket Company is preparing a proposal to present to the board of directors. He believes that the company is much too cautious in its policy of giving credit to customers. At the moment all customers are given 30 days’ credit. He believes that by increasing its exposure to credit risk, and increasing credit terms to 60 days, the company will achieve an increase in annual sales of up to 20%. He also thinks that some improvements in debt collection procedures will reduce the level of bad debts, although some bad debts cannot be avoided. He thinks that the value of sales where there is a default will fall each year from 2% of sales to 1.8% of sales. He proposes that in order to increase annual sales and profits, the company should be willing to increase its risk appetite and accept the risk of higher bad debts.

Required:

Using this example of managing credit risk, explain and illustrate the meaning of:
i. Exposure to risk
ii. Risk of losses
iii. Residual risk
iv. Risk appetite

Answer

Find Related Questions by Tags, levels, etc.

Tags: Credit Period, Credit risk, Exposure to Risk, Residual Risk, Risk Appetite, Risk of Losses
Level: Level 2

Topic: Risk Management and Corporate Strategy
Series: NOV 2015

PSAF – Nov 2015 – L2 – Q7 – Public Sector Reforms

Distinguish between basic infrastructure and development projects with examples and identify funding sources and characteristics.

Question

In order to achieve some development objectives, nations place emphasis on priority programmes like the provision of basic infrastructure and development projects, all of which require appropriate funding.

Required:

a. By means of specific relevant examples, distinguish between “basic infrastructure” and “development projects”. (3 Marks)

b. Discuss TWO development objectives which the priority programmes you refer to in (a) above are planned to achieve. (4 Marks)

c. Identify TWO sources of funding for these priority projects stating TWO distinct characteristics of each source identified and TWO factors that facilitate the commercial viability of the projects. (8 Marks)

Answer

Find Related Questions by Tags, levels, etc.

Tags: Basic Infrastructure, Development Projects, Funding, Public Finance, Viability
Level: Level 2

Topic: Public Sector Reforms
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q19 – Company Law

Definition of insurable interest in insurance law.

Question

A person is said to have insurable interest in an insured person, thing, or event when
A. He is related by affinity to the insured
B. The insured is the property of the person
C. The insured is a chattel
D. He stands to gain or profit in his/its preservation and to suffer loss or damage in his/its destruction
E. The insured could go into extinction by usage

Answer

Find Related Questions by Tags, levels, etc.

Tags: Insurable Interest, Insurance Law, Legal Definition, Multiple Choice
Level: Level 1

Topic: Company Law
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q18 – Hire Purchase and Consumer Credit Transactions

Identifying duties not required of a hirer in a Hire Purchase contract.

Question

In Hire Purchase contract, the duties of the hirer include the following EXCEPT
A. Acceptance of delivery
B. Duty of care of the goods
C. Payment of instalment
D. Duty to buy the goods
E. Duty not to sell the goods

Answer

Find Related Questions by Tags, levels, etc.

Tags: Consumer Credit, Hire Purchase, Legal Duties, Multiple Choice
Level: Level 1

Topic: Hire Purchase and Consumer Credit Transactions
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q17 – Sale of Goods

Identifying non-implied conditions in Sales of Goods transactions.

Question

Which of the following is NOT an implied condition or warranty in Sales of Goods transactions?
A. Title
B. Time
C. Sale by sample
D. Customs and traditional usage
E. Fitness of purpose

Answer

Find Related Questions by Tags, levels, etc.

Tags: Implied Conditions, Legal Warranties, Multiple Choice, Sale of Goods
Level: Level 1

Topic: Sale of Goods
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q16 – Law of Tort

Essential elements that establish vicarious liability.

Question

Which of the following is NOT an essential element of vicarious liability?
A. A master and servant relationship
B. The servant may be under a contract of service or contract for service
C. The act must be a tortuous act and not an offence
D. The servant must have committed the tort in furtherance of the interest of the master
E. The servant must have committed the tort in the course of performing an official duty

Answer

Find Related Questions by Tags, levels, etc.

Tags: Legal Elements, Multiple Choice, Tort Law, Vicarious Liability
Level: Level 1

Topic: Law of Tort
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q15 – Agency Law

Breach of duty when an agent makes secret profits.

Question

An agent that makes secret profits has breached his duty of
A. Secrecy
B. Good faith
C. Obedience
D. Assignment
E. Performance

Answer

Find Related Questions by Tags, levels, etc.

Tags: Agency Law, Duty Breach, Multiple Choice, Secret Profits
Level: Level 1

Topic: Agency Law
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q14 – Law of Contract

Legal remedy requiring a party to fulfill a contractual promise.

Question

The remedy for a breach of contract which requires the defendant to perform a promise he made under the agreement is
A. Damages
B. Quantum Meruit
C. Injunction
D. Specific performance
E. Recision

Answer

Find Related Questions by Tags, levels, etc.

Tags: Breach of Contract, Contract Law, Legal Remedies, Multiple Choice
Level: Level 1

Topic: Law of Contract
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q13 – The Nigerian Legal System

Law allowing transfer of legal title to negotiable instruments by delivery.

Question

The law that allows the transfer of legal title to cheques, promissory notes etc by mere handing over or mere delivery is
A. Bills of Exchange Act
B. Banks and other Financial Institutions Act
C. Bills of Lading Act
D. Companies Income Tax Act
E. Central Bank of Nigeria Act

Answer

Find Related Questions by Tags, levels, etc.

Tags: Legal Title, Multiple Choice, Negotiable Instruments, Transfer
Level: Level 1

Topic: The Nigerian Legal System
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q12 – Law Relating to Banking

Court jurisdiction for trying offences under the Money Laundering Act.

Question

The court that has the exclusive jurisdiction to try offences under the Money Laundering (Prohibition) Act is the
A. State High Court
B. Magistrate Court
C. Federal High Court
D. Sharia Court of Appeal
E. Criminal Court

Answer

Find Related Questions by Tags, levels, etc.

Tags: Legal Title, Multiple Choice, Negotiable Instruments, Transfer
Level: Level 1

Topic: Law Relating to Banking
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q11 – Law of Tort

Essential elements required for the offence of bribery in law.

Question

The offence of bribery in law requires ONE of the following
A. Intention
B. Intention and fact of bribery
C. Intention and subject matter
D. Act of bribery and place of bribery
E. Subject matter and place of bribery

Answer

Find Related Questions by Tags, levels, etc.

Tags: Bribery, Criminal Law, Legal Elements, Multiple Choice
Level: Level 1

Topic: Law of Tort
Series: NOV 2015

BL – Nov 2015 – L1 – SA – Q10 – Law of Tort

Identifying the law that deals with theft in Nigeria.

Question

The law that deals with theft in Nigeria is
A. Law of tort
B. Law of contracts
C. Law of stealing
D. Criminal law
E. Sale of Goods Act

Answer

Find Related Questions by Tags, levels, etc.

Tags: Criminal Law, Legal Provisions, Multiple Choice, Theft
Level: Level 1

Topic: Law of Tort
Series: NOV 2015

Series: NOV 2015

Filter by Professional Bodies

Filter by Subject

Filter by Series

Filter by Topics

Filter by Levels

CSME – Nov 2015 – L2 – Q7 – Corporate Strategy Formulation

Analyzes reasons for slow growth in DAB phone sales, uses the S-shaped growth curve to evaluate market stages, and suggests sales improvement strategies.

You're reporting an error for "CSME – Nov 2015 – L2 – Q7 – Corporate Strategy Formulation"

CSME – Nov 2015 – L2 – Q6 – Corporate Governance

Evaluates how specific corporate governance issues impact the effectiveness of a company's governance.

You're reporting an error for "CSME – Nov 2015 – L2 – Q6 – Corporate Governance"

CSME – Nov 2015 – L2 – Q5 – Corporate Governance

Outlines key responsibilities and duties of the board in corporate governance, relevant for improving corporate structure and performance.

You're reporting an error for "CSME – Nov 2015 – L2 – Q5 – Corporate Governance"

CSME – Nov 2015 – L2 – Q4 – Risk Management and Corporate Strategy

Analyzes strengths and weaknesses of Toyin Trust Insurance Plc pre- and post-2000 ownership changes, and suggests strategies for sustaining the company.

You're reporting an error for "CSME – Nov 2015 – L2 – Q4 – Risk Management and Corporate Strategy"

CSME – Nov 2015 – L2 – Q3 – Ethics in Business

Describes the nature of business and professional ethics, Kohlberg’s theory of moral development, and criticisms of the theory.

You're reporting an error for "CSME – Nov 2015 – L2 – Q3 – Ethics in Business"

CSME – Nov 2015 – L2 – Q2 – Risk Management and Corporate Strategy

Develops a risk management program for theft, diversion, and safety issues; includes risk reduction and financing techniques.

You're reporting an error for "CSME – Nov 2015 – L2 – Q2 – Risk Management and Corporate Strategy"

CSME – Nov 2015 – L2 – Q1c – Corporate Governance

Discusses the difference between rules-based and principles-based professional ethics in accountancy.

You're reporting an error for "CSME – Nov 2015 – L2 – Q1c – Corporate Governance"

CSME – Nov 2015 – L2 – Q1b – Risk Management and Corporate Strategy

Discusses various methods for managing and controlling risks in an organization, illustrating different risk management techniques.

You're reporting an error for "CSME – Nov 2015 – L2 – Q1b – Risk Management and Corporate Strategy"

CSME – Nov 2015 – L2 – Q1a – Risk Management and Corporate Strategy

Explains credit risk management concepts, including exposure, losses, residual risk, and appetite.

You're reporting an error for "CSME – Nov 2015 – L2 – Q1a – Risk Management and Corporate Strategy"

PSAF – Nov 2015 – L2 – Q7 – Public Sector Reforms

Distinguish between basic infrastructure and development projects with examples and identify funding sources and characteristics.

You're reporting an error for "PSAF – Nov 2015 – L2 – Q7 – Public Sector Reforms"

BL – Nov 2015 – L1 – SA – Q19 – Company Law

Definition of insurable interest in insurance law.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q19 – Company Law"

BL – Nov 2015 – L1 – SA – Q18 – Hire Purchase and Consumer Credit Transactions

Identifying duties not required of a hirer in a Hire Purchase contract.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q18 – Hire Purchase and Consumer Credit Transactions"

BL – Nov 2015 – L1 – SA – Q17 – Sale of Goods

Identifying non-implied conditions in Sales of Goods transactions.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q17 – Sale of Goods"

BL – Nov 2015 – L1 – SA – Q16 – Law of Tort

Essential elements that establish vicarious liability.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q16 – Law of Tort"

BL – Nov 2015 – L1 – SA – Q15 – Agency Law

Breach of duty when an agent makes secret profits.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q15 – Agency Law"

BL – Nov 2015 – L1 – SA – Q14 – Law of Contract

Legal remedy requiring a party to fulfill a contractual promise.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q14 – Law of Contract"

BL – Nov 2015 – L1 – SA – Q13 – The Nigerian Legal System

Law allowing transfer of legal title to negotiable instruments by delivery.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q13 – The Nigerian Legal System"

BL – Nov 2015 – L1 – SA – Q12 – Law Relating to Banking

Court jurisdiction for trying offences under the Money Laundering Act.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q12 – Law Relating to Banking"

BL – Nov 2015 – L1 – SA – Q11 – Law of Tort

Essential elements required for the offence of bribery in law.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q11 – Law of Tort"

BL – Nov 2015 – L1 – SA – Q10 – Law of Tort

Identifying the law that deals with theft in Nigeria.

You're reporting an error for "BL – Nov 2015 – L1 – SA – Q10 – Law of Tort"

Our offerings

Contact Info

Customer

Get In Touch

admin