Month End Sale Limited Time 65% Discount Offer - Ends in 0d 00h 00m 00s - Coupon code: get65

Page: 1 / 12

CIMA Strategic level Risk Management

Risk Management

Last Update Apr 25, 2025
Total Questions : 339

To help you prepare for the P3 CIMA exam, we are offering free P3 CIMA exam questions. All you need to do is sign up, provide your details, and prepare with the free P3 practice questions. Once you have done that, you will have access to the entire pool of Risk Management P3 test questions which will help you better prepare for the exam. Additionally, you can also find a range of Risk Management resources online to help you better understand the topics covered on the exam, such as Risk Management P3 video tutorials, blogs, study guides, and more. Additionally, you can also practice with realistic CIMA P3 exam simulations and get feedback on your progress. Finally, you can also share your progress with friends and family and get encouragement and support from them.

Questions 2

C Ltd is a private, family-owned company which is hoping to become listed on a recognised Stock Exchange within the next two years. At the moment, the Board of Directors comprises five directors; four of whom are from the founding family and all of whom are involved in the day-to-day running of the business. The remaining director obtained a seat on the Board three years ago as a condition of an investment by a venture capital fund.

The Board meets in half-day sessions once a fortnight and the Board meetings are reasonably well run. All decisions are taken by the Board as a whole. There are no sub-committees.

Which of the following steps would it be appropriate for C Ltd to take in the light of the proposed listing?

Options:

A.  

Appoint enough independent non-executive directors (NEDs) that they make up at least 50% of the Board.

B.  

Appoint one of the NEDs as Chair of the Board.

C.  

Insist that the venture capital company director be removed as he is not necessarily motivated to act in the best interests of C Ltd.

D.  

Set up at least three sub-committees namely remuneration, nomination, and audit committees.

E.  

Ensure that the current executive directors are given 10 year contracts starting on the day the company is floated, to ensure consistency and continuity in the management of the company.

F.  

Set up an "agenda setting" sub-committee consisting of the current executive directors to decide the agenda for each Board meeting.

Discussion 0
Questions 3

The management of U is reviewing internal controls throughout the company. It has noted the following:-

   1. In the trade receivables section, journal adjustments are made by the clerks, without any reference to their supervisor. Journal adjustments may relate to sales returns, discounts allowed, or transfers between accounts.

   2. In the purchasing department, the purchasing manager selects and approves all suppliers, as they are the only person with sufficient experience to do so. They use a very limited number of suppliers because they can rely on these suppliers to provide goods of the quality required at a competitive price. They do not keep any documents in relation to negotiations with other potential suppliers or other quotes obtained.

In relation to the above, which of the following statements are valid?

Options:

A.  

The fact that the purchasing manager uses a very small number of suppliers is, in itself, a sign of poor internal controls.

B.  

It is acceptable for clerks in the trade receivables section to make journal adjustments without authorisation provided the amounts involved are not material to U's financial statements.

C.  

It is acceptable for clerks in the trade receivable section to make journal adjustments without authorisation, provided they have no access to cash receipts.

D.  

The fact that the purchasing manager does not keep documentation relating to negotiations with suppliers, or potential suppliers, is evidence that they are involved in fraudulent activity.

E.  

Clerks making journal adjustments without reference to their supervisor is evidence of inadequate separation of duties.

F.  

The way the role of purchasing manager is carried out in U increases the chance that the company will fall victim to fraudulent activity.

Discussion 0
Questions 4

As part of risk assessment exercise for a low-cost airline you are requested to match the risks listed below with the most approriate method of minimising or dealing with each risk.

Questions 4

Options:

Discussion 0
Questions 5

The managers of a company are agents for the shareholders tasked with increasing shareholders' wealth. Which of the following will usually increase shareholders' wealth?

Options:

A.  

Investing in projects with the shortest payback period.

B.  

Investing in projects with positive net present value.

C.  

Investing in projects with the greatest level of risk.

D.  

Not paying a dividend for several years in order to invest in new projects.

Discussion 0
Sarah
Yeah, I was so relieved when I saw that the question appeared in the exam were similar to their exam dumps. It made the exam a lot easier and I felt confident going into it.
Aaliyah Aug 27, 2024
Same here. I've heard mixed reviews about using exam dumps, but for us, it definitely paid off.
Ayesha
They are study materials that are designed to help students prepare for exams and certification tests. They are basically a collection of questions and answers that are likely to appear on the test.
Ayden Oct 16, 2024
That sounds interesting. Why are they useful? Planning this week, hopefully help me. Can you give me PDF if you have ?
Wyatt
Passed my exam… Thank you so much for your excellent Exam Dumps.
Arjun Sep 18, 2024
That sounds really useful. I'll definitely check it out.
Lennox
Something Special that they provide a comprehensive overview of the exam content. They cover all the important topics and concepts, so you can be confident that you are well-prepared for the test.
Aiza Oct 25, 2024
That makes sense. What makes Cramkey Dumps different from other study materials?
Conor
I recently used these dumps for my exam and I must say, I was impressed with their authentic material.
Yunus Sep 13, 2024
Exactly…….The information in the dumps is so authentic and up-to-date. Plus, the questions are very similar to what you'll see on the actual exam. I felt confident going into the exam because I had studied using Cramkey Dumps.

P3
PDF

$69.65  $199

P3 Testing Engine

$78.75  $225

P3 PDF + Testing Engine

$87.15  $249