CIMAPRA17-BA4-1 Exam - Topic 6 Question 97 Discussion

Actual exam question for CIMA's CIMAPRA17-BA4-1 exam

Question #: 97
Topic #: 6

[All CIMAPRA17-BA4-1 Questions]

Which of the following are correct in relation to supervisory and management boards of directors?

1 A supervisory board reports to the mangament board in respect of business policy and future strategy

2 A management board is usually made up entirely of executive directors

3 A supervisory board includes employee representatives.

A2 only

B1 and 2 only

C2 and 3 only

D1 only

Show Suggested Answer

Suggested Answer: C

by Nikita at Sep 14, 2024, 04:37 PM

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Renay

8 months ago

Yup, management boards are usually all execs, that's correct!

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Rozella

8 months ago

I thought management boards could have non-executive directors too?

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Rory

8 months ago

Wait, do supervisory boards really have employee reps?

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Fredric

8 months ago

Totally agree, it's the other way around!

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Adelina

9 months ago

A supervisory board doesn't report to the management board.

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Trina

9 months ago

I believe statement 3 is correct, as many supervisory boards do include employee representatives. But I’m not confident about the specifics of statement 1.

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Nina

9 months ago

I’m a bit confused about employee representatives on the supervisory board. I feel like I’ve seen that in some examples, but I’m not completely sure if it’s always the case.

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Malcom

9 months ago

I remember practicing a question about the composition of management boards, and I think they are indeed made up of executive directors. So, statement 2 seems correct.

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Teddy

9 months ago

I think the supervisory board actually oversees the management board, not the other way around. So, I'm unsure about statement 1.

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Jovita

9 months ago

The wording of the statements is tricky, I'll need to read them carefully to identify which ones are correct.

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Ines

9 months ago

Okay, let me think this through step-by-step. The key is understanding the relationship and composition of the two boards.

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Remedios

9 months ago

Hmm, I'm a bit unsure about the differences between the supervisory and management boards. I'll need to review that part of the material again.

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Krissy

9 months ago

This question seems straightforward, I'm pretty confident I can get this one right.

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Willow

10 months ago

I remember learning about this in class, but I'm drawing a blank on the specifics. Guess I'll have to make an educated guess.

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Ming

2 years ago

Haha, I bet the person who wrote this question is a total corporate nerd. But I guess even us regular folks need to know this stuff. I'll go with C, it sounds the most plausible.

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Dewitt

2 years ago

I'm not sure about that. I think I'll stick with B for now.

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Chi

2 years ago

Yeah, that makes sense. So maybe it's B and C together.

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Reena

2 years ago

I agree, but I also think C could be correct because a supervisory board includes employee representatives.

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Fernanda

2 years ago

I think it's B, because a management board is usually made up entirely of executive directors.

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Margart

2 years ago

Option A, definitely. The management board being all executives is a classic corporate structure. Why would they include the employees on the supervisory board? That's just asking for trouble!

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Maile

2 years ago

Hmm, this is tricky. I'm leaning towards D, but I'm not completely sure. Maybe I should have paid more attention in my corporate governance class.

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Justine

2 years ago

So, D is incorrect because it doesn't include the management board being made up of executive directors.

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Felicidad

2 years ago

I agree, the management board is usually made up entirely of executive directors.

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Thaddeus

2 years ago

I think it's actually B) 1 and 2 only.

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Kenneth

2 years ago

I'm going with B. The first two points about the supervisory board reporting to the management board and the management board being made up of executive directors make sense.

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Johana

2 years ago

Yes, B is the best option based on the information provided.

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Buck

2 years ago

I think you're right, B covers both points about the supervisory and management boards.

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Lemuel

2 years ago

I agree, B seems like the correct choice.

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Nan

2 years ago

I'm not sure about including employee representatives in the supervisory board. I think the correct answer might be D) 1 only.

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Cristy

2 years ago

I think option C is the correct answer. Both the management board being made up of executive directors and the supervisory board including employee representatives seem logical to me.

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Teddy

2 years ago

It's important to have a balance of perspectives on both boards.

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Dorthy

2 years ago

Employee representatives on the supervisory board provide a different perspective.

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Iesha

2 years ago

I agree, having executive directors on the management board makes sense.

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Goldie

2 years ago

I think option C is the correct answer.

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Felix

2 years ago

I agree with Arthur. A management board is usually made up entirely of executive directors, and a supervisory board reports to the management board in respect of business policy and future strategy.

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Arthur

2 years ago

I think the correct answer is B) 1 and 2 only.

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