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CIMA BA1 Exam With Confidence Using Practice Dumps

Exam Code:
BA1
Exam Name:
Fundamentals of Business Economics
Certification:
CIMA Certificate
Vendor:
CIMA
Questions:
468
Last Updated:
Apr 13, 2026
Exam Status:
Stable
CIMA BA1

BA1: CIMA Certificate Exam 2025 Study Guide Pdf and Test Engine

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Fundamentals of Business Economics Questions and Answers

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Question 1

Inflation is undesirable for all of the following reasons except which one?

Options:

A.

Inflation decreases the international competitiveness of the business sector.

B.

Inflation distorts the price system and the process of resource allocation.

C.

Inflation shifts wealth from debtors to creditors in an arbitrary fashion.

D.

Inflation makes business forecasting and planning more difficult.

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Question 2

The stock market fulfils all of the following functions except which one?

Options:

A.

A market for government bonds.

B.

A market for foreign exchange.

C.

A market for company shares.

D.

A market for short term loans.

Question 3

Quantitative easing, the purchase of government or private securities by the central banks from investors, is an example of

Options:

A.

contractionary monetary policy.

B.

contractionary fiscal policy.

C.

expansionary fiscal policy.

D.

expansionary monetary policy.

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