New Year Sale 2026! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

CIMAPRA19-F03-1 Exam - Topic 1 Question 26 Discussion

Actual exam question for CIMA's CIMAPRA19-F03-1 exam
Question #: 26
Topic #: 1
[All CIMAPRA19-F03-1 Questions]

A listed company is financed by debt and equity.

If it increases the proportion of debt in its capital structureit would be in danger of breaching a debt covenant imposed by one of its lenders.

The following data is relevant:

The company now requires $800 million additional funding for a major expansion programme.

Which of the following is the most appropriate as a source of finance for this expansion programme?

Show Suggested Answer Hide Answer
Suggested Answer: C

Contribute your Thoughts:

0/2000 characters
Alecia
4 months ago
Surprised they need $800 million, that's a huge amount!
upvoted 0 times
...
Haydee
4 months ago
Totally agree, rights issue is the way to go!
upvoted 0 times
...
Kattie
4 months ago
Isn't increasing debt risky with covenants in play?
upvoted 0 times
...
Alfred
4 months ago
I think a private placement of a bond makes more sense.
upvoted 0 times
...
Xochitl
5 months ago
A rights issue could be a good option here.
upvoted 0 times
...
Barb
5 months ago
This looks like a question about implementing the AutoCloseable interface. I think the key is to make the Folder class implement that interface and provide a close() method that prints "Close".
upvoted 0 times
...
Lili
5 months ago
Ah, I remember learning about this in class. I'm pretty confident the answer is "D. all of the above" since business services, service registries, and service contracts are all common parts of a service-oriented enterprise.
upvoted 0 times
...
Tricia
5 months ago
Okay, let's see. ISO27017 sounds like it could be the right answer, as it's specifically about cloud security. I'll mark that one for now, but I'll keep the other options in mind in case I'm missing something.
upvoted 0 times
...
Clarinda
5 months ago
Diversification can reduce unsystematic risk, but systematic risk remains. I'll make sure I have that right in my answer.
upvoted 0 times
...
Jamika
5 months ago
I think the metric for replacing a bank account number has to do with integrity, but I'm not entirely sure if that's the only aspect to consider.
upvoted 0 times
...

Save Cancel