CFI FMVA EXAM A+ GRADE ASSURED COMPLETE SOLUTIONS AND VERIFIED ANSWERS

EXAM

Exam Solution
ms




FMVA 2026 A+ GRADE ASSURED COMPLETE SOLUTION
ms ms ms ms ms ms




S AND VERIFIED ANSWERS (11563)
ms ms ms ms




QUESTION 1 ms




Using the financial statements attached, what is the company's return on equity in yea
ms ms ms ms ms ms ms ms ms ms ms ms ms



r 5?
ms




ANSWER

27.15%



QUESTION 2 ms




When analyzing the income statement, which line item do you typically use as the den
ms ms ms ms ms ms ms ms ms ms ms ms ms ms



ominator in the ratio? ms ms ms




ANSWER

Sales



QUESTION 3 ms




What is typically NOT included in a checklist used to identify appropriate peer group
ms ms ms ms ms ms ms ms ms ms ms ms ms ms



companies?
ANSWER

Same type of management team
ms ms ms ms




QUESTION 4 ms




What is the correct formula for calculating NOPAT?
ms ms ms ms ms ms ms




ANSWER

EBIT x (1 - Tax Rate)
ms ms ms ms ms

,QUESTION 5 ms




When conducting financial analysis, what is the recommended best practice for minim
ms ms ms ms ms ms ms ms ms ms ms



um number of years of financial statements?
ms ms ms ms ms ms




ANSWER

5 years
ms




QUESTION 6 ms




What are the three ROE levers of the DuPont pyramid?
ms ms ms ms ms ms ms ms ms




ANSWER

Net Profit Margin x Total Asset Turnover x Financial Leverage
ms ms ms ms ms ms ms ms ms




QUESTION 7 ms




Which of the following is NOT a characteristic of horizontal analysis?
ms ms ms ms ms ms ms ms ms ms




ANSWER

It is most effective when comparing one period with each other.
ms ms ms ms ms ms ms ms ms ms




QUESTION 8 ms




Which current asset or liability is omitted from this ratio?
ms ms ms ms ms ms ms ms ms




ANSWER

Inventory



QUESTION 9 ms




Which of the following retailers is most likely to have the lowest inventory days?
ms ms ms ms ms ms ms ms ms ms ms ms ms




ANSWER

A grocery store / supermarket
ms ms ms ms




QUESTION 10 ms




The proper structure of a 3-
ms ms ms ms ms



statement model should contain which of the following modules?
ms ms ms ms ms ms ms ms




ANSWER

,Inputs, Calculations, Outputs
ms ms




QUESTION 11 ms




Which of the following is a best practice for financial model inputs?
ms ms ms ms ms ms ms ms ms ms ms




ANSWER

Data should only be entered once
ms ms ms ms ms




QUESTION 12 ms




What is the formula for the Capital Asset Turnover Ratio?
ms ms ms ms ms ms ms ms ms




ANSWER

Sales/Property, Plant & Equipment ms ms ms




QUESTION 13 ms




According to the course, a 3- ms ms ms ms ms



statement financial model can be used for which of the following purposes? Select ALL
ms ms ms ms ms ms ms ms ms ms ms ms ms



that apply.
ms ms




ANSWER

Strategic planning, Corporate transactions, and Investment decisions
ms ms ms ms ms ms




QUESTION 14 ms




Complex financial models are all of the following EXCEPT:
ms ms ms ms ms ms ms ms




ANSWER

They are easy to audit
ms ms ms ms




QUESTION 15 ms




Which of the following items are considered "operating activities" on the cash flow sta
ms ms ms ms ms ms ms ms ms ms ms ms ms



tement? Select ALL correct answers.
ms ms ms ms




ANSWER

Changes in operating assets and liabilities, Net income, and Depreciation
ms ms ms ms ms ms ms ms ms




QUESTION 16 ms

, According to the course, which is the best method for calculating interest expense?
ms ms ms ms ms ms ms ms ms ms ms ms




ANSWER

Interest Rate x Average Debt Balance
ms ms ms ms ms




QUESTION 17 ms




Forecast the Year 1 gross profit on the previous year's number and the assumptions.
ms ms ms ms ms ms ms ms ms ms ms ms ms




ANSWER

47,742



QUESTION 18 ms




Calculate EBITDA and EBIT, respectively, given the information in the Excel file.
ms ms ms ms ms ms ms ms ms ms ms




ANSWER

3,631; 1,356 ms




QUESTION 19 ms




Calculate the number of accounts receivable days, given the information in the Excel fi
ms ms ms ms ms ms ms ms ms ms ms ms ms



le. Assume 365 days in the year.
ms ms ms ms ms ms




ANSWER

45.4 days
ms




QUESTION 20 ms




Forecast the company's inventory, given the information in the Excel file. Assume 365
ms ms ms ms ms ms ms ms ms ms ms ms ms



days in the year.
ms ms ms




ANSWER

237,904



QUESTION 21 ms




What is the cash impact from working capital in Year 2?
ms ms ms ms ms ms ms ms ms ms




ANSWER

125,766