Welcome to your Treasury Management Module
1. Which of the following is a key function of Liquidity Risk Management in Treasury?
2. What is the primary purpose of "Repurchase Agreements" (Repos) in Treasury Management?
3. Which risk management technique involves reducing risk exposure by entering offsetting positions in the financial markets?
4. Which of the following is a characteristic of a "Primary Market" in Treasury Management?
5. The process of transferring funds between different bank accounts to optimize cash utilization is known as:
6. What does "Netting" refer to in Treasury Management?
7. What does "Economic Order Quantity (EOQ)" represent in Treasury Management?
8. Which of the following is an example of a money market instrument used in Treasury Management?
9. The concept of "Internal Rate of Return" (IRR) is commonly used in Treasury Management to evaluate:
10. Which financial instrument represents a short-term, unsecured promissory note issued by corporations to finance their working capital needs?
11. The process of monitoring and managing the maturity profile of assets and liabilities in a financial institution is known as:
12. Which financial instrument represents a short-term borrowing by the government to finance its budget deficits?
13. What does the term "Duration" represent in the context of fixed-income investments?
14. The process of converting accounts receivable into cash by selling them to a third party is known as:
15. What is the main purpose of a Treasury Management System (TMS)?
16. In Treasury Management, what does "ALM" stand for?
17. What does "MTM" stand for in Treasury Management?
18. The process of estimating future cash flows to determine the present value of an investment is known as:
19. Which risk management technique involves spreading investments across different asset classes to reduce risk?
20. What does "VaR" stand for in Treasury Management?
21. Which risk management technique involves transferring the risk to a third party for a fee?
22. The process of analyzing historical financial data to make future financial projections is known as:
23. The process of converting variable interest rate cash flows into fixed-rate cash flows is known as:
24. In Treasury Management, "Interest Rate Risk" refers to the potential impact of:
25. Which financial instrument represents a short-term negotiable certificate issued by a bank on behalf of a depositor, guaranteeing that funds will be available upon demand?
26. What is the primary purpose of "Securities Lending" in Treasury Management?
27. The process of analyzing an organization's creditworthiness to determine the risk of default is known as:
28. Which risk management technique involves diversifying investments across different countries to reduce risk exposure?
29. Which of the following is a primary objective of "Foreign Exchange Risk Management" in Treasury?
30. The process of comparing actual financial performance against projected financial performance is known as:
31. The process of converting foreign currency-denominated cash flows into the domestic currency is known as:
32. What does "Liquidity Management" refer to in Treasury Management?
33. What is the main goal of "Working Capital Management" in Treasury Management?
34. Which of the following is NOT a primary objective of Cash Forecasting in Treasury Management?
35. The process of identifying, assessing, and prioritizing risks in Treasury Management is known as:
36. Which department within an organization is typically responsible for Treasury Management functions?
37. Which financial statement is used to assess the liquidity position of a company in Treasury Management?
38. What is the primary purpose of a Money Market Fund in Treasury Management?
39. In Treasury Management, what does "APR" stand for?
40. Which of the following is a key objective of "Interest Rate Risk Management" in Treasury?
41. What is the main purpose of "Working Capital Financing" in Treasury Management?
42. The process of identifying, measuring, and managing potential losses due to credit risk is known as:
43. In Treasury Management, what is the primary function of a "Bank Guarantee"?
44. What is the primary objective of Cash Management in Treasury?
45. In Treasury Management, what does "LIBOR" stand for?
46. In Treasury Management, what is the primary function of a "Letter of Credit" (LC)?
47. What does the term "Hedging" mean in the context of Treasury Management?
48. Which of the following is a common tool used in "Cash Pooling" for effective liquidity management?
49. What does "Sweep Account" refer to in Treasury Management?
50. Which of the following is a long-term financing option used in Treasury Management?
