AFP Certified Treasury Professional - CTP Exam Practice Test
All of the following items may be found on an income statement EXCEPT:
Correct Answer: D
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XYZ Company has a well established commercial paper (CP) program that they use to fund operations. The company is expanding by purchasing a new factory. The CFO is worried about the time and expense needed to issue long-term debt and decides to use the funds they raise in the CP market to pay for the purchase of the factory. This strategy will be successful if:
Correct Answer: C
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A company is looking for a technology solution to best link the different functional areas of its company.
Which of the following solutions will BEST suit the company?
Which of the following solutions will BEST suit the company?
Correct Answer: C
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Which of the following global cash concentration methods would be MOST appropriate for a company with operations in the United States, Germany, Mexico, and Japan?
Correct Answer: A
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The controller is developing a financial plan that includes an operating budget and a financial budget. Which of the following statements is true?
Correct Answer: D
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A company agrees to pay ¥10,000,000 for a shipment from Japan. At the time the purchase order is placed the exchange rate is ¥168/US$. At the time of payment the exchange rate is ¥163/US$. What is the net effect on the dollar cost of the shipment if the transaction has NOT been hedged?
Correct Answer: A
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MCA, Inc. upgraded the Treasury workstation that had been in place for two years and used data from that 24- month period to develop a new short-term forecast. A trend factor was applied to controlled disbursements of
97% on a month-by-month basis and the variance to actual disbursements is less than 1%. Which of the following model validation techniques was utilized?
97% on a month-by-month basis and the variance to actual disbursements is less than 1%. Which of the following model validation techniques was utilized?
Correct Answer: D
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A company invests in a bond and then later agrees to sell the bond to a bank with the understanding that the company will buy the bond back at a later time. This is known as:
Correct Answer: B
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A measure of the incremental impact of a company's investments on market capitalization is known as:
Correct Answer: A
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