CIMA Exam CIMAPRA17-BA1-1 Topic 1 Question 91 Discussion

Actual exam question for CIMA's CIMAPRA17-BA1-1 exam

Question #: 91
Topic #: 1

[All CIMAPRA17-BA1-1 Questions]

In the short term, if an organisation's income is lower than its expenditure, it is an example of:

Afinancial intermediation

Black of financial synchronisation

Cwhy equity capital is needed

Dfinancial surplus

Show Suggested Answer

Suggested Answer: B

by Elsa at Jul 03, 2024, 03:49 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRA17-BA1-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Kimbery

4 months ago

D, hands down. Financial surplus? Sounds like a dream come true for any organization. Maybe they can use that extra cash to buy a pool filled with gold coins, like Scrooge McDuck!

upvoted 0 times

...

Ronald

4 months ago

Hmm, I'd have to go with A. Financial intermediation is the key to managing these kinds of imbalances. Gotta get those bankers involved, am I right? *wink wink*

upvoted 0 times

Yoko

3 months ago

Agreed, it's all about managing those imbalances with the help of financial intermediation.

upvoted 0 times

...

Tiffiny

3 months ago

Definitely, getting those bankers involved can help balance things out.

upvoted 0 times

...

Billye

3 months ago

I think A is the right choice. Financial intermediation is crucial in this situation.

upvoted 0 times

...

Chau

4 months ago

B seems like the most logical choice here. The organization is experiencing a lack of financial synchronization between their income and expenditure. Simple stuff, really.

upvoted 0 times

Grover

4 months ago

Absolutely. It's all about managing finances effectively to ensure stability and growth.

upvoted 0 times

...

Sylvie

4 months ago

So true. It's important for organizations to balance their income and expenditure to avoid financial troubles.

upvoted 0 times

...

Melvin

4 months ago

Yeah, definitely. When income is lower than expenditure, there's definitely a lack of financial synchronization.

upvoted 0 times

...

Ozell

4 months ago

I agree, B does seem like the most logical choice. It's all about that financial synchronization.

upvoted 0 times

...

Valentin

5 months ago

Clearly, the answer is C. Without equity capital, the organization would be in deep trouble with more outflow than inflow. Gotta have that cash cushion, am I right?

upvoted 0 times