Pass the AFP Certification CTP Questions and answers with ExamsMirror

Establishing the authority to open bank accounts is the responsibility of:

Which of the following is NOT a method multinational companies (MNC) use to repatriate capital?

A large U.S. company is planning to fund its Canadian subsidiary. Currently, the Canadian dollar is trading at CAD 1.25 per U.S. dollar, and the U.S. dollar is expected to depreciate in the near term. To manage this FX exposure, what technique should the company implement?

To arrive at today’s projected closing cash position, a cash manager starts with:

Underfunded pension obligations can be reduced by:

Which of the following is a source of short-term financing?

The exchange of a fixed interest rate cash flow for a floating interest rate cash flow with both interest rates in the same currency is an example of:

A treasury manager expects the price of a commodity to be highly volatile between the time of option purchase and exercise. Which option style would provide the greatest flexibility?

Banks often control information flow, records and assets, therefore it is critical that banks have:

What does a company with a restrictive current asset investment strategy typically have?

Treasury policies should be approved by the:

Which function involves evaluating alternative projects in relation to one another and in relation to the company's cost structure?

A treasurer is monitoring the yield curve through a service provider (like Reuters) and notices that it is moving from downward sloping to upward sloping. Based on this information, the treasurer should consider:

Company X has a rating that is below investment grade. The treasurer would prefer to use commercial paper for its short-term financing needs and has a commitment from its bank to provide a standby letter of credit. What costs would be associated with this process?

The rate of interest commercial banks charge their best credit rated customers is called the:

An airline wants to lock in the price of the jet fuel it needs to purchase to satisfy the peak in-season demand for travel. The airline wants to manage its exposure to fluctuations in fuel prices. What type of exposure is this?

A large, nation-wide, retailer of plumbing fixtures is considering implementing ACH technology to improve its accounts receivable processing. Which of the following pre-authorized ACH transactions can the company use for this application?

In order to increase liquidity, ABC Motor Company bundled its customers’ installment payments and resold them to other investors. This is known as:

The CFO of a growing company has decided that it would be prudent to insure the company against potential loss from dishonest acts of employees. The treasurer has been given the responsibility of selecting and negotiating the type and amount of protection required. After analyzing the overall risk to the company, the treasurer decides that the greatest exposure to this type of risk is within the cash management function of the company. The MOST appropriate type of protection would be:

Which of the following payment types is at the greatest risk for fraud?