Questions for the CTP were updated on : Nov 21 ,2025
Which is more likely to be a short-term investment objective than a long-term investment objective?
B
The treasury department of a company uses a hosted treasury management system (TMS) to manage
cash, debt, and investments. Because the system is hosted, the company must monitor the financial
service provider (FSP) to ensure there are appropriate controls in place to mitigate any operational
risk. How can the FSP assure the treasury department that they have effective controls in place to
mitigate operational risk?
C
A disbursement check was intercepted in the mail, fraudulently altered, and subsequently cashed for
$1,000 more than it had been written. The fraud was not detected until two months later, when the
vendor phoned about late payment. Which of the following could have detected the fraud sooner?
B
Use the information in the data set to calculate the earnings credit.
A
A company stores vendor banking data on its ERP system for the purpose of making ACH payments.
A vendor emails a notice of account closure and provides updated banking information, which an
employee updates and a payment is made. A few weeks later, the vendor calls asking for payment,
and when told which bank account the money was sent to, informs the employee that is not their
account. Which of the following controls could have prevented this fraud from occurring?
D
A company is evaluating its long-range plan and determined free cash flow is tight in years one and
two, while more favorable in years three through five. Its financial institution has offered an
attractive interest rate on a term loan with a maturity option for both two and five years. What is a
good financing option for this company?
A
The treasurer at a U.S.-based manufacturing plant is developing a cash flow forecast for the next four
weeks. The treasurer has set a minimum cash balance target for the plant of $75,000 and the cash
position in the beginning of week 1 is $28,000. Using the cash receipts and disbursements
projections provided in the data set, what is the plant's net investable balance at the end of week 4?
A
In order to maintain internal control best practices, how often should an organization reconcile their
investment statements?
C
The treasury objectives of Company ABC are to ensure liquidity and produce a profit. The board of
directors is allowing the treasury department to actively take a position on the direction of the
market to make a profit. Which strategy is the company employing?
A
Merchant XYZ has $200,000 in sales for the month of December, 60% in cash and the remaining is
divided equally between checks and credit cards. One percent of the credit cards were charged back
during the month of January. What is the value of sales received by the merchant?
D
A company decided to lease a car 4 years ago for its daily driving business. The company maintained
the car as per the lease agreement. Last year, the company decided to expand into event hosting and
experienced an increase in business, especially when hosting overnight events. The company
decided to purchase a minivan and return the car at lease expiration. When returning the car, the
company had to pay $1,500 to the lessor. What was the MOST LIKELY cause of the additional
expense?
A
In order to control increased vulnerability to financial risk, a treasury analyst has been tasked with
completing a policy statement on hedging foreign currency. Within this policy, a PRIMARY exposure
that needs to be addressed is:
D
A variable cost to ABC Company's treasury management system would BEST be identified as:
B
A company receives a $5,000 invoice with terms of 1/15, net 45. What is the annualized cost of not
taking the 1% discount on day 15 and instead paying the invoice on day 45?
D
The treasury department has received budget approval to purchase and implement a treasury
management system that would help them with operational activities. The project team has defined
the system requirements. They want a solution that will integrate with other systems. The system
needs to be configurable but not customizable, and it will only be used by the treasury department.
The treasury team does not have designated IT support, so they do not want to have to worry about
future upgrades. After researching many options, what type of technology solution should be
recommended by the project team for a TMS?
C