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Certified Treasury Professional

Last Update Dec 22, 2024
Total Questions : 932

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Certified Treasury Professional Questions and Answers

Questions 1

A newly hired Treasurer must establish the organizational structure of the treasury department for ABC Corporation which is a publicly traded multinational organization with sales offices in over 50 countries. There are limited opportunities for trading and hedging activity. The first challenge is to identify the most appropriate structure for the treasury group that will provide control, visibility, economies of scale, and lower operating expenses. What structure should be chosen?

Options:

A.

Centralized Cost Center

B.

Outsourced Cost Center

C.

Regionalized Profit Center

D.

Decentralized Profit Center

Questions 2

PTC Corporation has determined that the threshold amount for initiating a wire transfer vs. an ACH payment for concentrating funds is $60,225. Wires cost $9.00 and save one day of float. If the opportunity cost is 5%, what is the cost of the ACH payment?

Options:

A.

$0.75

B.

$0.80

C.

$0.90

D.

$1.00

Questions 3

XYZ Company has incurred a financially devastating event because of a hurricane at its offshore manufacturing plant. Due to the impact on liquidity, the company may not be able to survive. What should the Treasurer have done in order to assess the risk associated with this type of event?

Options:

A.

Purchase sufficient insurance

B.

Negotiate back-up lines of credit

C.

Develop a contingency funding plan

D.

Evaluate financial derivatives contract