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ICMA Exam FMFQ Topic 1 Question 69 Discussion

Actual exam question for ICMA's FMFQ exam
Question #: 69
Topic #: 1
[All FMFQ Questions]

Which of the following methods of raising funds will not be used by governments?

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Suggested Answer: D

by Olive at Sep 14, 2024, 06:33 PM

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Daniel
8 months ago
I agree with Carin. Governments don't usually sell stocks or equity to the public.
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Deja
7 months ago
D) Issuing equity
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Tracey
7 months ago
C) Issuing short-term debt
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Alline
7 months ago
B) Issuing bonds
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Daniela
8 months ago
A) Direct borrowing from banks
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Melissa
8 months ago
I believe option A) Direct borrowing from banks is also not commonly used by governments as they have other methods like issuing bonds.
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Walton
8 months ago
Option B seems like the most common way for governments to raise funds. Bonds are a classic choice.
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Dana
7 months ago
Issuing equity is not typically used by governments to raise funds.
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Fatima
7 months ago
Issuing short-term debt can also be a viable option for governments.
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Chery
7 months ago
Direct borrowing from banks is also a common method used by governments.
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Florinda
7 months ago
Bonds are indeed a popular choice for governments to raise funds.
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Edgar
7 months ago
D) Issuing equity
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Melodie
7 months ago
C) Issuing short-term debt
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Ligia
7 months ago
B) Issuing bonds
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Carmela
8 months ago
A) Direct borrowing from banks
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Vicki
8 months ago
Haha, imagine a government trying to sell shares like a company. That would be a sight to see!
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Valentin
7 months ago
C) Issuing short-term debt
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Lorrine
8 months ago
B) Issuing bonds
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Tamala
8 months ago
A) Direct borrowing from banks
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Macy
8 months ago
I agree with Val. Governments usually don't issue equity because they are not profit-driven entities.
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Val
8 months ago
I think governments won't use option D) Issuing equity.
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Carin
9 months ago
I think option D is the correct answer. Governments typically don't issue equity to raise funds.
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Milly
8 months ago
C) Issuing short-term debt
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Stefania
8 months ago
B) Issuing bonds
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Charlene
9 months ago
A) Direct borrowing from banks
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