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CIMAPRA19-F01-1 Exam - Topic 1 Question 56 Discussion

An entity's policy is to finance the investment in working capital using short-term financing to fund all of its investment in fluctuating net current assets as well as some of its investment in permanent net current assets.What is this working capital financing policy known as?
C) Aggressive
A) Conservative
B) Moderate
D) Short term

CIMAPRA19-F01-1 Exam - Topic 1 Question 56 Discussion

Actual exam question for CIMA's CIMAPRA19-F01-1 exam
Question #: 56
Topic #: 1
[All CIMAPRA19-F01-1 Questions]

An entity's policy is to finance the investment in working capital using short-term financing to fund all of its investment in fluctuating net current assets as well as some of its investment in permanent net current assets.

What is this working capital financing policy known as?

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Suggested Answer: C

by Irma at Jul 30, 2022, 03:46 PM

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Lou
8 months ago
I think it's more of a Moderate approach, honestly.
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Shannan
9 months ago
Wait, are we sure about that? Sounds a bit off.
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Shenika
9 months ago
Totally agree, it's Aggressive for sure!
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Gail
9 months ago
I thought it was Conservative at first.
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Chanel
9 months ago
That's definitely the Aggressive policy!
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Theresia
9 months ago
I thought short-term financing was just a part of the conservative approach, but now I'm confused. Maybe it's moderate?
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Gaynell
9 months ago
I practiced a similar question where short-term financing was linked to aggressive policies. I feel like that's the right answer here.
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Trina
9 months ago
I'm not entirely sure, but I remember something about conservative policies being more cautious with financing. This seems more risky.
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Belen
10 months ago
I think this might be the aggressive financing policy since it mentions using short-term financing for both fluctuating and some permanent assets.
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Judy
10 months ago
This looks like a straightforward question. I'll start by considering the typical responsibilities of a service agent and eliminate any functions that don't align with that.
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Stephaine
10 months ago
I've got a good strategy for this. I'll eliminate the options that don't sound right, then focus in on the key details about RMAN and BACKUP mode to determine the correct answer.
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Marsha
10 months ago
Okay, I think I've got this. The question is asking about the style that controls the basic text formatting, but doesn't include things like alignment and spacing. That sounds like it's referring to the character style, so I'll go with option D.
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Gerald
10 months ago
FTP over HTTP? That doesn't sound right. I'm leaning towards option A or D, but I'll double-check my notes to be sure.
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