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Business & Technology Flashcards

6 cards from real ACCA AK practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

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  1. Which of the following is NOT one of the five fundamental principles in the ACCA Code of Ethics?

    Answer: Loyalty

    The five fundamental principles are: Integrity, Objectivity, Professional Competence and Due Care, Confidentiality, and Professional Behaviour. Loyalty is not listed.

  2. A 'scalar chain' in an organisation refers to:

    Answer: The formal line of authority from top to bottom of the hierarchy

    The scalar chain (Fayol) is the unbroken line of authority running from the top of the organisation to the lowest level, defining the chain of command.

  3. Which of the following describes a 'shamrock organisation' (Handy)?

    Answer: An organisation with a core of permanent staff, a contractual fringe and flexible workers

    Charles Handy's shamrock organisation has three leaves: a professional core (permanent staff), contractual fringe (outsourced specialists) and flexible labour (part-time/temporary).

  4. Which of the following best describes 'whistle-blowing'?

    Answer: Reporting suspected wrongdoing within an organisation to an appropriate authority

    Whistle-blowing is the disclosure by an employee of illegal, unethical or improper activity within an organisation to an internal or external authority.

  5. The 'principal-agent' problem arises when:

    Answer: The interests of agents (managers) diverge from those of principals (shareholders)

    The principal-agent problem occurs because managers (agents) may pursue their own interests rather than those of shareholders (principals), leading to agency costs.

  6. Which of the following is most likely to improve employee motivation according to Herzberg?

    Answer: Giving employees greater responsibility and autonomy

    Herzberg classified greater responsibility and autonomy as motivators (intrinsic factors that genuinely motivate), whereas salary and working conditions are merely hygiene factors.