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ACCA Financial Management FM Exam Practice Questions 2023 - Part 5

Mary Smith

Thu, 16 Apr 2026

ACCA Financial Management FM Exam Practice Questions 2023 - Part 5

1. Basic objective of Financial Management is ________________.

A) Maximization of profit
B) Maximization of share holder's wealth
C) Ensuring Financial discipline in the firm.
D) All of these.



2. Financial structure refers to ________________.

A) Short-term resources
B) All the financial resources
C) Long-term resources
D) All of these



3. Quick asset does not include ____________.

A) Government bonds.
B) Book debts.
C) Advance for supply of raw materials
D) Inventories



4. _____________ is a specific risk factor

A) Market risk.
B) Inflation risk.
C) Interest rate risk.
D) Financial risk.



5. The risk free rate of return is 8% the expected rate of return on market portfolio is15% the beta of eco boards equity stock is 1.4.the required rate on eco boards equity is__________________.

A) 15.4%.
B) 16.8%.
C) 17.2%.
D) 17.8%.



1. Right Answer: B
Explanation:

2. Right Answer: B
Explanation:

3. Right Answer: D
Explanation:

4. Right Answer: D
Explanation:

5. Right Answer: D
Explanation:

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