Free IMANET CMA-Strategic-Financial-Management Exam Questions

Become IMANET Certified with updated CMA-Strategic-Financial-Management exam questions and correct answers

Page: 1 / 26

Total 126 Questions | Updated On: Jul 29, 2025

Add To Cart

Question 1

Southwest Supplies Inc. (SSI) is considering the following two projects with cash-flows discounted at SSI's weighted average cost of capital.

CMA-Strategic-Financial-Management-page49-image10

SSI can only afford to invest in one of the projects. Which statement would most likely explain why SSI would choose Project B over project A?

A : oject B results in a higher cumulative accounting income

B : oject B generates significantly more non-cash expenses

C : oject B cash-flows are relatively more certain

D : oject B cash-flows are to be received sooner

Answer: D

Question 2

Which one of the following situations describes a secondary offering of stock by a company?

A : company has an initial public offering of its stock and its investment bank needs to add mote shares to the initial public offering to meet excess demand by investors

B : ter the lockup period of the initial public offering ends, the company 3 founders sell some of their shares to the public

C : company repurchases shares of its stock in the open market, but it then later sells these shares in the open market

D : ter completing its initial public offering, the company sells more new shares of its stock

Answer: B

Question 3

IF a company does not have a code of conduct, the company most likely

A : missing important guidance on ethical decision making

B : ll lack an expressed statement of values regarding ethical behavior

C : n use its statement of values instead to implement ethics in daily decision making

D : t find another way to express its ethical principles

Answer: A

Question 4

Below is the income statement and balance sheet for a retail corporation.

CMA-Strategic-Financial-Management-page49-image5

What is the corporation’s return on equity in Year 2?

A : 23%

B : 26%

C : 39%

D : 48%

Answer: D

Question 5

Studler’s Restaurant is considering a contract to supply the weal senior citizen center with 10,000 meals. Regular sales at regular prices would be unaffected. The food cost for each meal s S3 Additional costs incurred as a result of the contract would De variable overhead of S 50 and variable selling general and administrative costs of S SO per meal sold. The selling price per meal would be $5, A total of $20,000 in fixed costs would be allocated at $2 per meal. The fixed costs are part of an overall total of $500,000 in annual fixed costs incurred regardless of the contract. What will be the effect on pretax income if Studiers takes the special order?

A : $10, 000 increase

B : $10.000 decrease

C : $20, 000 increase

D : $20.000 decrease

Answer: A

Page: 1 / 26

Total 126 Questions | Updated On: Jul 29, 2025

Add To Cart