Free CIMA CIMAPRA17-BA1-1-ENG Exam Questions

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

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Total 471 Questions | Updated On: Jun 17, 2026

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Question 1

Company A is looking to protect itself from transaction exchange rate risk.

Company A does not require 100% of the value of transaction to be protected, and it would like the method it uses to have the following characteristics

* An agreed exchange rate for a specified period where both parties have a legal obligation

* A separation of the contract guaranteeing the pnce of the currency from the underlying transaction.

Which of the following would best provide the type of protection from exchange rate risk company A wants?

A : ture

B : tion

C : rward contract

D : oating exchange rate

Answer: C

Question 2

When central banks adopt a policy of 'quantitative easing' this means that they:

A : ft quantitative restrictions on bank lending

B : wer the capital adequacy requirements for banks

C : y government bonds from the banks

D : the liquidity ratios banks need to hold

Answer: C

Question 3

Which of the following would result from a depreciation in the exchange rate for a country's currency?

i. A fall in the foreign exchange price of that country's exports.

ii. A rise in the foreign exchange price of that country's imports.

iii. A rise in production costs for businesses using imported inputs.

iv. A worsening in that country's terms of trade.

v. A fall in the domestic prices of that country's imports.

vi. A rise in the domestic price of that country's exports.

A : (i), (ii) and (iv) only

B : (i), (iii) and (iv) only

C : (ii), (v) and (vi) only

D : (iv), (v) and (vi) only

Answer: B

Question 4

If a central bank wished to increase the supply of money and credit in the economy it would:

A : ll bonds and raise interest rates

B : y bonds and reduce interest rates

C : ll bonds and reduce interest rates

D : y bonds and raise interest rates

Answer: B

Question 5

All of the following are examples of not-for-profit organizations except one. Which ONE is the exception?

A : tual savings societies

B : arities

C : rtnerships

D : ade Unions

Answer: C

Page: 1 / 95

Total 471 Questions | Updated On: Jun 17, 2026

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