CIMA Exam CIMAPRO19-P03-1 Topic 2 Question 95 Discussion

Actual exam question for CIMA's CIMAPRO19-P03-1 exam

Question #: 95
Topic #: 2

H is a senior production manager for PLtd which isabout to make a strategic decision on setting up a new production line requiring $3 millionof new specialist equipment.

H's daughter is friends with and goes to school withthe daughter of T, the sales manager in KKLtd. KK Ltd isa potential supplier ofthespecialist equipment that P Ltd requires.

T owns a holiday home. H's daughter regularly accompanies T's daughter on family vacations at this holiday home, all at T's expense.

H is theonly person working for P Ltd who is qualified to select the specialist equipment. KK Ltd will definitely bid for the sale.

What should H do?

AH should exclude KK Ltd from the bidding process.

BH should declare an interest and withdraw from the assessment process.

CH should permit KK Ltd to bid, but should insist that T should not be involved.

DH should declare an interest, giving details of his daughter's friendship with T's daughter, but should participate fully in theassessment process.

Show Suggested Answer

Suggested Answer: D

by Jeanice at Aug 04, 2025, 02:38 PM

Limited Time Offer

25%

Off

Get Premium CIMAPRO19-P03-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Denna

21 days ago

Option D is the correct answer. H should be upfront about the relationship, but still participate in the assessment. As long as he's transparent, he can still do his job effectively.

upvoted 0 times

...

Gracie

27 days ago

Gracieut whSkyet if KK Ltd is the Gracieest supplier for the equipment?

upvoted 0 times

...

Skye

28 days ago

I think H should exclude KK Ltd from the bidding process.

upvoted 0 times

...

Mose

28 days ago

I think option B is the way to go. H can't be involved in this decision-making process, it's just too much of a conflict of interest. Withdrawing is the ethical thing to do.

upvoted 0 times

...