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The CIMA F3 exam is divided into two sections, each of which is designed to test different aspects of financial strategy. The first section focuses on financial analysis and risk management, while the second section focuses on investment analysis and financial planning. Both sections of the exam are equally important, and candidates must pass both sections to be certified.

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CIMAPRA19-F03-1 exam is a computer-based assessment that consists of objective test questions. F3 exam is divided into two sections, each containing 60 objective test questions. Candidates have three hours to complete the exam, and the pass mark is set at 60%. Candidates who successfully pass the CIMAPRA19-F03-1 exam will be awarded the CIMA Advanced Diploma in Financial Management.

The CIMA F3 exam is conducted by the Chartered Institute of Management Accountants (CIMA), which is a leading professional body for management accountants. F3 Financial Strategy certification is open to individuals who have completed the CIMA Certificate in Business Accounting or an equivalent qualification. Candidates can take the exam at any of the CIMA exam centers located worldwide.

Reference: https://planner.cimaglobal.com/proqual/2019/strategic/F3

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The Chartered Institute of Management Accountants (CIMA) F3 exam is focused on financial strategy. It is one of the core exams in the CIMA professional qualification and is essential for anyone who wants to pursue a career in management accounting or financial management. F3 exam assesses the candidate's understanding of the key principles of financial strategy, their ability to analyze financial information, and their skills in developing and implementing financial plans.

CIMA F3 Exam Syllabus Topics:

SectionWeightObjectives
Business Valuation40%- Investment appraisal
  • 1. NPV, IRR, payback, discounted payback
  • 2. Adjusted present value (APV)
- Impairment testing and value management
- Valuation methods
  • 1. Discounted cash flow (DCF)
  • 2. Asset-based valuation
  • 3. Relative valuation: P/E, EV/EBITDA
- Mergers, acquisitions and divestments
  • 1. Valuation of target companies
  • 2. Financing and post-deal integration
Sources of Long-term Funds25%- Equity finance
  • 1. Ordinary shares, preference shares, rights issues
  • 2. Flotation and listing methods
- Debt finance
  • 1. Bonds, loans, convertible instruments
  • 2. Leasing and sale-and-leaseback
- Dividend policy and distribution strategies
- Capital structure theories and WACC
  • 1. Modigliani-Miller propositions
  • 2. Cost of capital calculation
Financial Risks20%- Risk reporting and governance
- Risk management techniques
  • 1. Derivatives: futures, forwards, swaps, options
  • 2. Hedging strategies
- Risk measurement and assessment
  • 1. Value-at-Risk, sensitivity analysis
- Types of financial risk
  • 1. Foreign exchange risk
  • 2. Interest rate risk
  • 3. Credit and liquidity risk
Financial Policy Decisions15%- Strategic financial objectives and stakeholder impact
  • 1. Financial objective setting
  • 2. ESG and ethical influences
  • 3. Taxation and regulatory framework
- Interaction between investment, financing and dividend decisions

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