lOMoAR cPSD| 51777283
, lOMoAR cPSD| 51777283
UNIVERSITY EXAMINATIONS
May/Jun 2025
FIN3702
WORKING CAPITAL MANAGEMENT
70 Marks
2 Hours
This paper consists of 20 pages including an invigilator QR code on page 2 and one rough work page on
page 20. Please scan the QR code before you start your examination. If you encounter difficulty with
scanning the QR code, you can also enter the QR access code as indicated at the top of the QR code to
activate your online invigilation. PLEASE NOTE THAT THE USE OF THE INVIGILATOR
APPLICATION IS MANDATORY FOR THIS EXAMINATION.
Instructions:
Use of a non-programmable calculator is permissible.
This is a closed book examination, and you are advised not to consult your study material.
This exam is an online assessment, and all output should be your own work. Please remember to tick the
honesty declaration before you commence with the examination paper.
The exam paper remains the property of the university and may not be distributed.
Please note that you submit your answers the same way you submit a written assignment on myUNISA
(myExams platform). It is necessary that you submit your exam file in PDF format and obtain and/or
keep a screenshot of successful upload. Further instructions have been provided on myUNISA.
Additionally, you will all need to use the invigilator application during the exam and details of this are
provided on page 2 of this examination paper.
PLEASE NOTE that you have 2 hours within which to complete this exam. You have 15 additional
minutes for downloading the exam paper and ONLY 30 additional minutes for uploading your answers.
Please use your time wisely.
Adequate space for answering the questions has been provided on this exam paper but you are welcome
to use your own answer sheets if your work is legible.
Answer SECTION A and SECTION B.
Open Rubric
, lOMoAR cPSD| 51777283
SECTION A consists of 30 multiple-choice questions worth 30 marks (answer table provided
on page 10) and SECTION B consists of 3 essay questions totalling 40 marks. Your final mark
out of 70 will be expressed as a percentage.
YOUR EXAM QR CODE & EXAM
ACCESS CODE
Exam Access Code: a2a0798c
INSTRUCTIONS ON THE DAY OF ASSESSMENT:
Ensure you are connected to the internet to log into the Invigilator App and scan this QR code. If you encounter
difficulty in scanning the QR code, you can alternatively enter the Exam Access Code below the QR code to start
the invigilation. You can only scan this QR code once. You can only finish the invigilator app when your entire
assessment is completed. Only scan the QR code when the assessment formally commences.
The QR code is only scannable for a limited time, and it should therefore be scanned as soon as possible to
start the invigilation.
Once the QR code is scanned, ensure your media volume Is turned up and place your smartphone next to you. The
Invigilator App will notify you with a notification beep when you are required to action a request, which you
should then perform. We recommend that you keep your smartphone on charge for the duration of the assessment.
If you only have one device, you may access your assessment in the application by pressing the ‘Access Exam’
button in the top right corner of your app. Keep the Invigilator App open on your cell phone for the full
duration of the assessment. You are not allowed to minimise or leave the app. Ensure you are connected to
the internet to commence the invigilation as well as at the end of the assessment. No internet connection is required
during the assessment. You must adhere to the assessment time limit communicated to you as the time
displayed in the Invigilator App could differ from the time allocated to complete your assessment.
You can click the "Finish Assessment" button in the app if you finish your assessment early. If you are
performing a written or Scan-and-Upload assessment: The Invigilator App may request, you to take a picture
of every page of your answer sheet at the end of the assessment. This does NOT replace the normal upload of
your script to your institution’s online portal. After completing invigilation and following all app instructions,
you must upload your Invigilation App data. If, however, there is a delay in the upload of the app data at the end
of the assessment, you should prioritise the upload of your script to your university portal, and you can temporarily
minimise the app to do so. Uploading of app data is not time sensitive and you can come back and do it after you
have successfully uploaded your script to the exam portal.
Should you encounter any technical difficulty, please WhatsApp the Invigilator Helpdesk on 073 505 8273.
, lOMoAR cPSD| 51777283
SECTION A: MULTIPLE-CHOICE QUESTIONS [30 MARKS]
1. Thyme Bank Ltd has offered Pizza Parlour Ltd the following in response to a R250 000
one-year loan application which was made to the bank. The stated rate was 9% and a
13% compensating balance. What will the effective annual rate be...
1. 7.00%.
2. 8.75%.
3. 10.34%.
4. 13.00%.
2. Three important line items on the statement of cash flows that must be obtained from
the income statement include all the following EXCEPT …
1. interest expenses.
2. net profit after taxes.
3. depreciation and any non-cash charges.
4. cash dividends paid on both preference and ordinary shares.
3. The key inputs for preparing pro forma income statements using the simplified
approaches are the …
1. sales forecast for the coming year and the cash budget for the preceding year.
2. cash budget for the coming year and sales forecast for the preceding year.
3. sales forecast for the preceding year and financial statements for the coming
year.
4. sales forecast for the coming year and financial statements for the preceding
year.
4. A firm’s credit policy consists of which of the following items?
1. Credit period, cash discounts, credit standards, receivables monitoring.
2. Credit period, cash discounts, credit standards, collection policy.
3. Credit period, cash discounts, receivables monitoring, collection policy.
4. Cash discounts, credit standards, receivables monitoring, collection policy.
5. Credit period, receivables monitoring, credit standards, collection policy.
5. Namo Ltd. has a receivables turnover rate of 19.5, a payables turnover of 11.8 and an
inventory turnover rate of 18.6. What is the approximate length of the firms operating
cycle? (Assume a 365 day-year)
1. 15 days.
2. 22 days.
3. 38 days.
, lOMoAR cPSD| 51777283
UNIVERSITY EXAMINATIONS
May/Jun 2025
FIN3702
WORKING CAPITAL MANAGEMENT
70 Marks
2 Hours
This paper consists of 20 pages including an invigilator QR code on page 2 and one rough work page on
page 20. Please scan the QR code before you start your examination. If you encounter difficulty with
scanning the QR code, you can also enter the QR access code as indicated at the top of the QR code to
activate your online invigilation. PLEASE NOTE THAT THE USE OF THE INVIGILATOR
APPLICATION IS MANDATORY FOR THIS EXAMINATION.
Instructions:
Use of a non-programmable calculator is permissible.
This is a closed book examination, and you are advised not to consult your study material.
This exam is an online assessment, and all output should be your own work. Please remember to tick the
honesty declaration before you commence with the examination paper.
The exam paper remains the property of the university and may not be distributed.
Please note that you submit your answers the same way you submit a written assignment on myUNISA
(myExams platform). It is necessary that you submit your exam file in PDF format and obtain and/or
keep a screenshot of successful upload. Further instructions have been provided on myUNISA.
Additionally, you will all need to use the invigilator application during the exam and details of this are
provided on page 2 of this examination paper.
PLEASE NOTE that you have 2 hours within which to complete this exam. You have 15 additional
minutes for downloading the exam paper and ONLY 30 additional minutes for uploading your answers.
Please use your time wisely.
Adequate space for answering the questions has been provided on this exam paper but you are welcome
to use your own answer sheets if your work is legible.
Answer SECTION A and SECTION B.
Open Rubric
, lOMoAR cPSD| 51777283
SECTION A consists of 30 multiple-choice questions worth 30 marks (answer table provided
on page 10) and SECTION B consists of 3 essay questions totalling 40 marks. Your final mark
out of 70 will be expressed as a percentage.
YOUR EXAM QR CODE & EXAM
ACCESS CODE
Exam Access Code: a2a0798c
INSTRUCTIONS ON THE DAY OF ASSESSMENT:
Ensure you are connected to the internet to log into the Invigilator App and scan this QR code. If you encounter
difficulty in scanning the QR code, you can alternatively enter the Exam Access Code below the QR code to start
the invigilation. You can only scan this QR code once. You can only finish the invigilator app when your entire
assessment is completed. Only scan the QR code when the assessment formally commences.
The QR code is only scannable for a limited time, and it should therefore be scanned as soon as possible to
start the invigilation.
Once the QR code is scanned, ensure your media volume Is turned up and place your smartphone next to you. The
Invigilator App will notify you with a notification beep when you are required to action a request, which you
should then perform. We recommend that you keep your smartphone on charge for the duration of the assessment.
If you only have one device, you may access your assessment in the application by pressing the ‘Access Exam’
button in the top right corner of your app. Keep the Invigilator App open on your cell phone for the full
duration of the assessment. You are not allowed to minimise or leave the app. Ensure you are connected to
the internet to commence the invigilation as well as at the end of the assessment. No internet connection is required
during the assessment. You must adhere to the assessment time limit communicated to you as the time
displayed in the Invigilator App could differ from the time allocated to complete your assessment.
You can click the "Finish Assessment" button in the app if you finish your assessment early. If you are
performing a written or Scan-and-Upload assessment: The Invigilator App may request, you to take a picture
of every page of your answer sheet at the end of the assessment. This does NOT replace the normal upload of
your script to your institution’s online portal. After completing invigilation and following all app instructions,
you must upload your Invigilation App data. If, however, there is a delay in the upload of the app data at the end
of the assessment, you should prioritise the upload of your script to your university portal, and you can temporarily
minimise the app to do so. Uploading of app data is not time sensitive and you can come back and do it after you
have successfully uploaded your script to the exam portal.
Should you encounter any technical difficulty, please WhatsApp the Invigilator Helpdesk on 073 505 8273.
, lOMoAR cPSD| 51777283
SECTION A: MULTIPLE-CHOICE QUESTIONS [30 MARKS]
1. Thyme Bank Ltd has offered Pizza Parlour Ltd the following in response to a R250 000
one-year loan application which was made to the bank. The stated rate was 9% and a
13% compensating balance. What will the effective annual rate be...
1. 7.00%.
2. 8.75%.
3. 10.34%.
4. 13.00%.
2. Three important line items on the statement of cash flows that must be obtained from
the income statement include all the following EXCEPT …
1. interest expenses.
2. net profit after taxes.
3. depreciation and any non-cash charges.
4. cash dividends paid on both preference and ordinary shares.
3. The key inputs for preparing pro forma income statements using the simplified
approaches are the …
1. sales forecast for the coming year and the cash budget for the preceding year.
2. cash budget for the coming year and sales forecast for the preceding year.
3. sales forecast for the preceding year and financial statements for the coming
year.
4. sales forecast for the coming year and financial statements for the preceding
year.
4. A firm’s credit policy consists of which of the following items?
1. Credit period, cash discounts, credit standards, receivables monitoring.
2. Credit period, cash discounts, credit standards, collection policy.
3. Credit period, cash discounts, receivables monitoring, collection policy.
4. Cash discounts, credit standards, receivables monitoring, collection policy.
5. Credit period, receivables monitoring, credit standards, collection policy.
5. Namo Ltd. has a receivables turnover rate of 19.5, a payables turnover of 11.8 and an
inventory turnover rate of 18.6. What is the approximate length of the firms operating
cycle? (Assume a 365 day-year)
1. 15 days.
2. 22 days.
3. 38 days.
