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CIMA P3 Exam With Confidence Using Practice Dumps

Exam Code:
P3
Exam Name:
Risk Management
Certification:
Vendor:
Questions:
339
Last Updated:
Mar 31, 2026
Exam Status:
Stable
CIMA P3

P3: CIMA Strategic Exam 2025 Study Guide Pdf and Test Engine

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Risk Management Questions and Answers

Question 1

Which of the following is the major advantage of Cloud storage for an enterprise?

Options:

A.

It provides unlimited free use for the enterprise

B.

The enterprise has complete control over it

C.

in-house staff are not required to maintain the infrastructure

D.

Sharing storage space with others

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Question 2

N, a large company in the food production industry, has grown over the years by the acquisition of several smaller rivals. The company has ten branches located in its home country and has just opened a foreign branch for the first time. It has recently made some changes to the structure and implementation of its control system.

 Which TWO of these would be most likely to improve the overall control system?

Options:

A.

Establishing an Internal Audit department.

B.

Purchase invoices are now approved for payment at branches and a list of approved invoices are sent to head office for payment. The invoices, supporting documentation and suppliers' statements are retained at the branches.

C.

Excess funds are now invested, by the Finance Director, in short-term securities. The Finance Director initiates buy and sell transactions and she also receives and retains all correspondence relating to the investments.

D.

A policy has been initiated to complete a physical inventory of all non-current assets at least annually. This is then reconciled with the non-current asset register.

E.

N has just opened a bank account in the currency in which the newly opened branch is now operating.

Question 3

A UK based company is considering an investment of GB£1,000,000 in a project in the USA. It is anticipated that the following cash flows will arise from this project.

The cash flows will be either US$400,000 with a probability of 40% or US$700,000 with a probability of 60% for each of the next three years; remitted to the UK at the end of each year.

Currently GB£1.00 is worth US$1.30.

The expected inflation rates in the two countries over the next four years are 2% in the UK and 4% in the US.

Applying the Purchasing Power Parity Theory, which of the following represents the expected net present value of the project in GP£ (to the nearest whole pound)?

Options:

A.

GB£287,639

B.

GB£391,640

C.

GB£(111,973)

D.

GB£554,047