F.m Study guides, Class notes & Summaries

ICAEW - ACA - F.M. - Managing financial risk: Overseas trade Foreign exchange risk - correct answer transaction risk Transaction risk - correct answer the risk that an exchange rate will change between the transaction date and the subsequent settlement date i.e. it is the gain or loss arising on conversion. What does transaction risk occur on - correct answer Imports and exports? Give an example of transaction risk on imports part 1 - correct answer for example, a firm enters into ...

ICAEW - ACA - F.M. - Investment - Overview (chapter 1)Strategy - correct answer the long term direction of the business and how the objectives of the business are achieved Business strategy - correct answer Focuses on ensuring objectives are achieved taking account of. fit with the environment. resources available. stakeholder concerns. Financial strategy - correct answer Focuses on the financial decisions required to achieve the business strategy. investment decisions. financing decis...

The rate of return a company achieves on its projects must be - Answer sufficient for it to satisfy the required returns of its investors Who are the investors to satisfy - Answer Equity shareholders. Preference share holders. Debt holders Equity shareholders Return - Answer is in the form of a constant or growing dividend stream. K.E. the cost of equity - Answer The return the company needs to achieve to pay sufficient dividends Preference shareholders Return - Answer is i...

ICAEW - ACA - F.M. - Financing - cost of capital questions with correct answers

ICAEW - ACA - F.M. - Financing options - Equity sources and dividend policy (chapter 7)What are the 3 main methods of raising the equity finance If a firm is looking to finance a project through equity - correct answer retained profits in which case dividends may be cut. rights issues. new issues. What must you remember - correct answer that the cost of servicing the equity i.e. k.e will be the same regardless of the historic source of the funds. Why is this - correct answer because the...

ICAEW - ACA - F.M. - Managing financial risk Overseas trade Question and answers already passed 2024 Foreign exchange risk - correct answer transaction risk Transaction risk - correct answer the risk that an exchange rate will change between the transaction date and the subsequent settlement date i.e. it is the gain or loss arising on conversion. What does transaction risk occur on - correct answer Imports and exports? Give an example of transaction risk on imports part 1 - correc...

ICAEW - ACA - F.M. - Investment - Overview (chapter 1) Question and answers 2024 verified to pass Strategy - correct answer the long term direction of the business and how the objectives of the business are achieved Business strategy - correct answer Focuses on ensuring objectives are achieved taking account of. fit with the environment. resources available. stakeholder concerns. Financial strategy - correct answer Focuses on the financial decisions required to achieve the business str...

ICAEW - ACA - F.M. - Financing options - Equity sources and dividend policy (chapter 7) Question and answers correctly solved 2024 What are the 3 main methods of raising the equity finance If a firm is looking to finance a project through equity - correct answer retained profits in which case dividends may be cut. rights issues. new issues. What must you remember - correct answer that the cost of servicing the equity i.e. k.e will be the same regardless of the historic source of the funds. ...

ICAEW - ACA - F.M Assessing financial risk and foreign trade Hedging Exam Questions and Answers 2023/2024 Foreign exchange risk - correct answer transaction risk Transaction risk - correct answer the risk that an exchange rate will change between the transaction date and the subsequent settlement date i.e. It is the gain or loss arising on conversion. What does transaction risk occur on - correct answer Imports and exports? Give an example of transaction risk on imports part 1 - correc...