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Every answer in the CIMA F3 Financial Strategy set from ITCertMagic is expert-verified — 435 practice questions for the F3 exam you can trust in 2026.

CIMA F3 Exam Overview:

Certification Vendor:CIMA (Chartered Institute of Management Accountants)
Exam Name:F3 Financial Strategy
Exam Number:CIMAPRA19-F03-1
Available Languages:English
Passing Score:100 (scaled from 0–150, approx. 67%)
Exam Duration:90 minutes
Related Certifications:CGMA Designation
CIMA Strategic Case Study
CIMA E3 Strategic Management
CIMA P3 Risk Management
Real Exam Qty:60
Exam Format:Objective test, Calculation questions, Scenario-based, Multiple choice
Certificate Validity Period:No expiry; valid with active CIMA membership & CPD
Exam Price:£185 – £275 / $230 – $340 (varies by region)
Recommended Training:CIMA Approved Tuition Providers
CIMA Official Study Text
Exam Registration:CIMA Official Registration
Pearson VUE Scheduling
Sample Questions: DOWNLOAD DEMO
Exam Way:Computer-based; available at Pearson VUE test centres or online remote proctoring
Pre Condition:Completion of CIMA Operational and Management levels; or relevant exemptions
Official Syllabus URL:https://planner.cimaglobal.com/proqual/2019/strategic/F3

CIMA F3 Exam Syllabus Topics:

SectionWeightObjectives
Topic 1: Sources of Long-Term Finance25%- Debt and hybrid finance
  • 1. Types of debt, terms, and covenants
    • 2. Leasing, convertibles, and warrants
      - Optimal capital structure
      • 1. Impact of gearing on risk and return
        • 2. Practical determinants of capital structure
          - Equity finance
          • 1. Types of equity and issue methods
            • 2. Cost of equity and capital structure theories
              Topic 2: Investment Appraisal and Decisions25%- Advanced investment appraisal techniques
              • 1. Adjusted present value and real options
                • 2. Discounted cash flow, NPV, IRR, MIRR
                  - Risk analysis in investment decisions
                  • 1. Cost of capital estimation and adjustment
                    • 2. Sensitivity, scenario, and simulation analysis
                      Topic 3: Business Valuation20%- Valuation methods
                      • 1. Asset-based, earnings-based, cash flow-based
                        • 2. Relative valuation and market multiples
                          - Pricing and negotiation
                          • 1. Post-transaction value creation
                            • 2. Determining offer price and terms
                              - Valuation concepts and purposes
                              • 1. Valuation for mergers, acquisitions, and disposals
                                • 2. Valuation for listing or equity issuance
                                  Topic 4: Financial Risk Management15%- Types and sources of financial risk
                                  • 1. Credit and liquidity risk
                                    • 2. Interest rate, foreign exchange, commodity risk
                                      - Risk mitigation and hedging strategies
                                      • 1. Use of derivatives: forwards, futures, swaps, options
                                        • 2. Internal controls and risk policy frameworks
                                          - Risk measurement and assessment
                                          • 1. Value-at-Risk, duration, gap analysis
                                            Topic 5: Financial Policy Decisions15%- Strategic financial objectives and governance
                                            • 1. Role of financial strategy in overall corporate strategy
                                              • 2. Agency theory and stakeholder interests
                                                - Dividend and distribution policy
                                                • 1. Theories of dividend relevance
                                                  • 2. Practical considerations and constraints

                                                    CIMA F3 Financial Strategy Exam FAQ — Smart Answers

                                                    Yes:

                                                    Courses build the foundation; then practice smartly with the 435 practice questions for the CIMA F3 Financial Strategy — every answer expert-verified.

                                                    The CIMA F3 Financial Strategy is CIMA's certification exam for CIMA Professional Qualification - Strategic Level, at the Strategic / Professional level. It validates skills employers hire for, which is why it can affect your career and future. Related credentials include CIMA E3 Strategic Management, CIMA P3 Risk Management, CIMA Strategic Case Study, CGMA Designation.

                                                    Files arrive by automatic email within a minute of payment — unlimited installations, and 24/7 customer assisting for any login or downloading issues if nothing shows up within 2 hours. If you fail the corresponding F3 exam within 60 days of purchase, you have options: a full refund (send a scanned enrollment slip plus the official Score Report PDF within 2 days of the exam; processed within 7 days), waiting for the next updated version free, or changing to two other equal-value dumps free. Excluded: exams within 3 days of purchase, candidate names that don't match the payer, and free or expired products.

                                                    Completion of CIMA Operational and Management levels; or relevant exemptions Vendors revise eligibility rules from time to time, so verify the current requirements on the official page (official F3 exam page) before booking.

                                                    The CIMA F3 Financial Strategy blueprint covers 5 domains — including Financial Policy Decisions (15%), Financial Risk Management (15%), Business Valuation (20%). The weightings tell you where to spend your hours; the complete outline above lists every subtopic.

                                                    Through the vendor's official registration channels:

                                                    The CIMA F3 Financial Strategy is delivered Computer-based; available at Pearson VUE test centres or online remote proctoring — choose the arrangement that fits you when booking.

                                                    £185 – £275 / $230 – $340 (varies by region) per attempt, 100 (scaled from 0–150, approx. 67%) to pass. A retake bills the full fee again, so prepare smartly: work through the 435 practice questions for the F3 exam at ITCertMagic before you book.

                                                    90 minutes for 60 questions. Efficient preparation includes pacing: rehearse timed sets until the clock feels manageable, not menacing.

                                                    Yes — download the free CIMA F3 Financial Strategy demo and judge the quality before paying. Purchases include 365 days of free updates, with each latest version emailed to you immediately; renew afterward at 50% off.

                                                    CIMA F3 Financial Strategy Sample Questions:

                                                    Company H is considering the valuation of an unlisted company which it hopes to acquire.
                                                    It has obtained the target company's financial statements.
                                                    Company H has been advised that the book value of net assets as shown in the financial statements of the target company does not provide a reliable indicator of their true value.
                                                    Advise the Board of Directors which of the following THREE statements are disadvantages of the net asset basis of valuation?

                                                    • A. The net realisable value is usually different from the net book value shown in the financial statements.
                                                    • B. The net book value of assets is merely a record of past transactions which complies with accounting conventions.
                                                    • C. The net book value of assets can be obtained from the financial statements.
                                                    • D. The net book value of current assets is normally a reliable indicator of their realisable value.
                                                    • E. Intangible assets are often not shown in the company's financial statements.
                                                    Reveal Solution  Discussion  0

                                                    Correct Answer: A,B,E  🗳️

                                                    A project requires an initial outlay of $2 million which can be financed with either a bank loan or finance lease.
                                                    The company will be responsible for annual maintenance under either option.
                                                    The tax regime is:
                                                    * Tax depreciation allowances can be claimed on purchased assets.
                                                    * If leased using a finance lease, tax relief can be claimed on the interest element of the lease payments and also on the accounting depreciation charge.
                                                    The trainee management accountant has begun evaluating the lease versus buy decision and has produced the following data. He is not confident that all this information is relevant to this decision.

                                                    Using only the relevant data, which of the following is correct?

                                                    • A. The bank loan is $70,000 LESS expensive than the finance lease.
                                                    • B. The bank loan is $20,000 LESS expensive than the finance lease.
                                                    • C. The bank loan is $120,000 LESS expensive than the finance lease.
                                                    • D. The bank loan is $30,000 MORE expensive than the finance lease.
                                                    Reveal Solution  Discussion  0

                                                    Correct Answer: A  🗳️

                                                    A listed company is planning a share repurchase.
                                                    The following data applies
                                                    * There are 20 million shares in issue
                                                    * The share repurchase will involve buying back 10% of the shares at a price of $1.20
                                                    * The company is holding $4.8 million cash
                                                    * Earnings for the current year ended are $3.6 million
                                                    The Directors are concerned about the impact that this repurchase programme will have on the company's cash balance and current year earnings per share (EPS) ratio.
                                                    Advise the directors which of the following statements is correct?

                                                    • A. The cash balance will decrease by 50% and EPS will increase by 11%
                                                    • B. The cash balance will decrease by 10% and the EPS will decrease by 11%.
                                                    • C. The cash balance will decrease by 50% and EPS will decrease by11%
                                                    • D. The cash balance will decrease by 10% and the EPS will increase by 11%.
                                                    Reveal Solution  Discussion  0

                                                    Correct Answer: C  🗳️

                                                    Which of the following would be a reason for a company to adopt a low dividend pay-out policy?

                                                    • A. High profitability
                                                    • B. Using dividends to give a signal to the stock market
                                                    • C. A lack of alternative sources of finance
                                                    • D. A lack of investment opportunities
                                                    Reveal Solution  Discussion  0

                                                    Correct Answer: B  🗳️

                                                    Which THREE of the following statements are true of a money market hedge?

                                                    • A. They leave the company exposed to currency risks.
                                                    • B. They offer roughly the same outcome as a forward contract.
                                                    • C. They are easy to set up.
                                                    • D. They are more complex than forward contracts.
                                                    • E. They may be a little more flexible in comparison to a forward contract.
                                                    Reveal Solution  Discussion  0

                                                    Correct Answer: A,B,D  🗳️

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