CIMA F3

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CIMA F3 Exam Overview:

CIMA F3 Exam Syllabus Topics:

Your F3 Exam Questions, Answered

What is the F3 exam all about?

The CIMA F3 Financial Strategy exam (code: F3) is the official CIMA exam that leads to the CIMA Strategic Level, CGMA (Chartered Global Management Accountant) certification. It sits at the Strategic / Expert level of the CIMA certification track. It is also connected with related credentials such as E3 Strategic Management, P3 Risk Management, Strategic Case Study Exam. Passing it proves to employers that your skills have been validated by CIMA itself, which is why the F3 credential keeps showing up in job postings.

How many questions are in the F3 exam, and how long does it take?

The CIMA F3 Financial Strategy exam gives you 90 minutes to work through 60. Pacing matters more than most candidates expect, so before exam day, run at least one full timed session in the Dumpkiller test engine to learn how long you can afford per question. If an item stalls you, flag it and move on — coming back later beats burning five minutes on a single question.

What score do I need to pass the F3 exam, and how much does it cost?

The passing score for the CIMA F3 Financial Strategy exam is 100 out of 150 scaled score (~67%), and the official registration fee is £165 / $215 USD (varies by region). Remember that a failed attempt means paying that fee in full again, so a timed self-assessment with Dumpkiller practice questions about a week before your exam date is a cheap way to confirm you are scoring comfortably above 100 out of 150 scaled score (~67%).

Are there any prerequisites for the F3 exam?

According to CIMA, the following applies: Completion of CIMA Management Level or relevant exemptions; must pass before Strategic Case Study. Certification policies do change from time to time, so confirm the latest requirements on the official exam page at https://www.cimaglobalhub.org/qualifications/professional-qualification/strategic-level/f3-financial-strategy before you register.

How do I register for the F3 exam?

You can book your CIMA F3 Financial Strategy exam through the official channels below:

• CIMA Official Registration
• Pearson VUE Booking

Depending on availability in your region, the exam is delivered as Onsite at Pearson VUE centres or online remote proctored.

What official training does CIMA recommend for the F3 exam?

CIMA lists the following training options for CIMA F3 Financial Strategy candidates:

• CIMA Official Study Resources

Official courses build a solid foundation, and pairing them with the 435 practice questions from Dumpkiller shows you how ready you really are before you spend money on the exam itself.

Can I try the F3 practice questions before buying?

Yes. Dumpkiller offers a free F3 PDF demo so you can review the question style, difficulty, and explanations before committing to anything. After purchase, your CIMA F3 Financial Strategy material includes 365 days of free updates, and if your product expires after that, you can extend the update service at a 50% discount from your member zone.

What happens if I do not pass the F3 exam, and how is my order delivered?

If you take the corresponding F3 exam within 60 days of your purchase and do not pass, you can apply for a full refund under our 100% Money Back Guarantee, subject to a few conditions: the failed exam must be the one matching your purchase; sitting the exam within 3 days of purchase does not qualify, since that leaves too little preparation time; downloading the material without actually taking the exam does not qualify; free materials and expired orders are excluded; and the candidate name must match the payer name. To apply, send a scanned copy of your enrollment slip together with your official Score Report (PDF) within 2 days after the exam, and claims are processed within 7 days. If you would rather not take a refund, you can exchange your purchase for two free products of equal value while keeping the update service on the product you originally bought. As for delivery, everything is an instant download: your products are sent to your email within one minute of payment — contact customer service if nothing arrives within 2 hours — and there is no limit on the number of computers you can install the software on.

What topics are covered in the F3 exam?

The official CIMA F3 Financial Strategy syllabus is organized into 4 main domains. The first three are Financial Risks (20%), Business Valuation (40%), and Sources of Long-term Funds (25%). For the full domain-by-domain breakdown, see the complete Exam Topics outline above.

CIMA F3 Financial Strategy Sample Questions:

Question 1

A listed company is planning a share repurchase.
The following data applies:
* There are 10 million shares in issue
* The share repurchase will involve buying back 20% of the shares at a price of $0.75
* The company is holding $2 million cash
* Earnings for the current year ended are $2 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 75% and EPS will increase by 25%.
B. The cash balance will decrease by 75% and EPS will decrease by 25%.
C. The cash balance will decrease by 20% and the EPS will decrease by 25%.
D. The cash balance will decrease by 20% and the EPS will increase by 25%.

Question 2

A listed company is considering either a one-off special divided or a share repurchase scheme to reduce its surplus cash level.
Identify TWO advantages that a one-off special payment has over a share repurchase scheme.

A. It is easier to arrange than a share repurchase
B. It allows shareholder a choice of option in or out of the payment.
C. It would result in a transfer of wealth back to the shareholder
D. It will reduce the possibility of a hostile takeholder
E. It will change balance of share owners.

Question 3

Under traditional theory, an increase in a company's WACC would cause the value of the company to:

A. Either increase or decrease
B. Stay the same
C. Decrease
D. Increase

Question 4

Which THREE of the following methods of business valuation would give a valuation of the equity of an entity, rather than the value of the whole entity?

A. Expected dividend in one year's time / (cost of equity - growth rate).
B. Forecast future cash flows to all Investors, discounted at the weighted average cost of capital.
C. Total earnings x appropriate price-earnings ratio.
D. Non-current assets, plus current assets, minus current liabilities
E. Forecast future cash flows to equity, discounted at the cost of equity.

Question 5

A company is considering the issue of a convertible bond compared to a straight bond issue (non-convertible bond).
Director A is concerned that issuing a convertible bond will upset the shareholders for the following reasons:
* it will dilute their control
* the interest payments will be higher therefore reducing liquidity
* it will increase the gearing ratio therefore increasing financial risk Director B disagrees, and is preparing a board paper to promote the issue of the convertible bond rather than a non-convertible.
Advise the Director B which THREE of the following statements should be included in his board paper to promote the issue of the convertible bond?

A. Issuing a convertible bond will have a more favourable impact on the gearing ratio than a non-convertible bond.
B. The convertible bond may not dilute control as the bond holder has an option to choose conversion.
C. When converted into shares, the company will receive a cash inflow which can be used for future investments.
D. Over the life of the bond, a convertible will be more expensive than a non-convertible.
E. The coupon rate on the convertible bond will be lower than that on a non-convertible bond.

Solutions: