This quiz works best with JavaScript enabled. Home > Treasury Management > Treasury Management – Quiz 7 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Treasury Management Quiz 7 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Systems procured from a third party but operations managed in-house, which among the solutions is? A) Outsourced solutions. B) In-house solutions. C) Hybrid solutions. D) Immediate solutions. Show Answer Correct Answer: C) Hybrid solutions. 2. What is the primary objective of cash transfer procedures? A) To maximize profits. B) To ensure transparency. C) To minimize taxes. D) To reduce employee turnover. Show Answer Correct Answer: B) To ensure transparency. 3. Strategic or business cash is the short-term cash that is being kept for a specific purpose, such as an acquisition or capital payment. Here we assume that the cash that is going to be required for an identified purpose or incident will be returned to the shareholders from the strategic or business cash. A) True. B) False. C) Maybe. D) Sometimes. Show Answer Correct Answer: B) False. 4. Cash payments are often preferred by businesses due to their convenience and low transaction costs. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 5. What are the major components of a cash management system? A) Account management, budgeting and forecasting. B) Cash flow planning, short-term investing and risk management. C) Payment systems, reporting and internal controls. D) All of the above. Show Answer Correct Answer: D) All of the above. 6. Among the following statements are true about treasury design, except A) Lower turnaround times for decision making and resolution. B) Increase cost. C) Lower cost of capital and increased availability and diversity of capital. D) Growth and increase in business and geographies. Show Answer Correct Answer: B) Increase cost. 7. Call Money refers to a placement of Fund ..... A) Overnight. B) Same day. C) Two days. D) None of above. Show Answer Correct Answer: B) Same day. 8. Treasury management is management system that aims to abridge a company's liquidity while also mitigating its financial, operational and reputational risk. A) True. B) False. Show Answer Correct Answer: B) False. 9. Financial risk management, is aimed at significantly reducing financial risks which includes currency risk management, commodity price risk management, interest rate risk management and other market risks management. A) TRUE. B) FALSE. Show Answer Correct Answer: A) TRUE. 10. The actual balance maintained in the Nostro account abroad is better reflected in ..... A) Cash position. B) Exchange position. C) Difference between Cash and Exchange position. D) None of above. Show Answer Correct Answer: A) Cash position. 11. Treasury Management aims to ensure that adequate cash is available with the organisation, during the outflow of funds. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 12. . Smooth and reliable processes contribute to fast turnaround and service levels, which increase operational and financial costs and improve employee engagement. A) False. B) True. C) Maybe. D) Sometimes. Show Answer Correct Answer: A) False. 13. Treasury team members need strong interpersonal skills and given the different interfaces that Treasury has with external and internal organizations, their interpersonal capacity is crucial, especially in relationship management A) Relationship building. B) Relationship bonding. C) Relationship engagement. D) Relationship wortiness. Show Answer Correct Answer: A) Relationship building. 14. The time between when the check is deposited and when it is charged to the payer's account is the presentation float A) True. B) False. Show Answer Correct Answer: A) True. 15. Letters of credit benefit the importer by providing a payment guarantee from the exporter's bank. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 16. The time between when the check is deposited and when it is charged to the payer's account is the A) Mail float. B) Processing float. C) Availability float. D) Presentation float. Show Answer Correct Answer: D) Presentation float. 17. ..... are often issued by organizations to the shareholders free of charge as a gift in proportion to their existing shares with the organization. A) Founder Shares. B) Bonus Shares. Show Answer Correct Answer: B) Bonus Shares. 18. The different relationships and collaborations that Treasury needs to build to add value to the organization. Thus, without the necessary amount of coordination, the treasury would not be able to add value. A) Teamforce. B) Teamwork. C) Teambuilding. D) Teamplayers. Show Answer Correct Answer: B) Teamwork. 19. Sends funds to the recipient's bank account more rapidly than any other form of payment, and is the standard form of international payment. A) Check deposit. B) ATM. C) Money Remittance. D) Wire transfers. Show Answer Correct Answer: D) Wire transfers. 20. Which among the statements is Step 12 of foreign currency payment? A) Paying bank sends cover payment instruction to Correspondent Bank. B) Beneficiary bank debits correspondent Nostro account, credits customer account. C) Seller reconcile Accounts Receivable. D) Correspondent bank debits paying bank Vostro, credit Nostro account with the central bank. Show Answer Correct Answer: C) Seller reconcile Accounts Receivable. ← PreviousNext →Related QuizzesTreasury Management Quiz 1Treasury Management Quiz 2Treasury Management Quiz 3Treasury Management Quiz 4Treasury Management Quiz 5Treasury Management Quiz 6Treasury Management Quiz 8Treasury Management Quiz 9Treasury Management Quiz 10Treasury Management Quiz 11 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books