Higher Test Marks with Free Online CMA-Strategic-Financial-Management Exam Practice

Assess the CertsIQ’s updated CMA-Strategic-Financial-Management exam questions for free online practice of your CMA Part 2 Strategic Financial Management test. Our CMA Strategic Financial Management dumps questions will enhance your chances of passing the CMA certification exam with higher marks.

Question 1

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

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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?

Options :

A : Project B results in a higher cumulative accounting income

B : Project B generates significantly more non-cash expenses

C : Project B cash-flows are relatively more certain

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

Answer: D

Question 2

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

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

Options :

A : 23%

B : 26%

C : 39%

D : 48%

Answer: D

Question 3

Custom Ceramics produces two hand-painted items a large bowl and a large platter. Relevant information for each of these items is shown below

Options :

A : The company should produce only bowls because the contribution margin per bowl is higher.

B : The company should produce only platters because the variable cost per platter is lower

C : The company should produce only bowls because the sales price per Bowl is higher

D : The company should produce only platters because the contribution margin per painting hour is higher

Answer: D

Question 4

A co league claims that morality is usually perceived and interpreted differently by different people so there is no method to judge whether one decision is better than another. This is commonly referred to as

Options :

A : ethical relativity

B : moral philosophy

C : comparative ethics

D : moral relativism

Answer: D

Question 5

The best discount rate to the use for evaluate of investment opportunities is the

Options :

A : opportunity cost of capital

B : risk-free interest rate

C : average market interest rate

D : cost of the company-s debt

Answer: A