CIMA CIMAPRA19-F03-1 : F3 Financial Strategy

Pass CIMAPRA19-F03-1 Exam Cram

Exam Code: CIMAPRA19-F03-1

Exam Name: F3 Financial Strategy

Updated: Aug 09, 2026

Q & A: 435 Questions and Answers

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Reference: https://planner.cimaglobal.com/proqual/2019/strategic/F3

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CIMA CIMAPRA19-F03-1 Exam Syllabus Topics:
SectionWeightObjectives
Topic 1: Investment Appraisal and Decisions25%- Risk analysis in investment decisions
  • 1. Cost of capital estimation and adjustment
    • 2. Sensitivity, scenario, and simulation analysis
      - Advanced investment appraisal techniques
      • 1. Adjusted present value and real options
        • 2. Discounted cash flow, NPV, IRR, MIRR
          Topic 2: Business Valuation20%- Valuation methods
          • 1. Asset-based, earnings-based, cash flow-based
            • 2. Relative valuation and market multiples
              - Pricing and negotiation
              • 1. Determining offer price and terms
                • 2. Post-transaction value creation
                  - Valuation concepts and purposes
                  • 1. Valuation for mergers, acquisitions, and disposals
                    • 2. Valuation for listing or equity issuance
                      Topic 3: Financial Risk Management15%- Types and sources of financial risk
                      • 1. Credit and liquidity risk
                        • 2. Interest rate, foreign exchange, commodity risk
                          - Risk measurement and assessment
                          • 1. Value-at-Risk, duration, gap analysis
                            - Risk mitigation and hedging strategies
                            • 1. Use of derivatives: forwards, futures, swaps, options
                              • 2. Internal controls and risk policy frameworks
                                Topic 4: Financial Policy Decisions15%- Dividend and distribution policy
                                • 1. Theories of dividend relevance
                                  • 2. Practical considerations and constraints
                                    - Strategic financial objectives and governance
                                    • 1. Role of financial strategy in overall corporate strategy
                                      • 2. Agency theory and stakeholder interests
                                        Topic 5: Sources of Long-Term Finance25%- Equity finance
                                        • 1. Types of equity and issue methods
                                          • 2. Cost of equity and capital structure theories
                                            - Optimal capital structure
                                            • 1. Impact of gearing on risk and return
                                              • 2. Practical determinants of capital structure
                                                - Debt and hybrid finance
                                                • 1. Types of debt, terms, and covenants
                                                  • 2. Leasing, convertibles, and warrants
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