AFP CTP Practice Exams
Last updated on Oct 23,2026- Exam Code: CTP
- Exam Name: Certified Treasury Professional
- Certification Provider: AFP
- Latest update: Oct 23,2026
Which of the following statements are true about collected balances?
I. They can be lower than ledger balances.
II. They are influenced by the bank’s availability schedule.
III. They exclude negative account balances.
IV. They may generate an earnings credit.
- A . II and III only
- B . I, II, and IV only
- C . I and IV only
- D . II, III, and IV only
Which of the following can be considered key responsibilities of daily cash management?
I. Overseeing compensation for bank services
II. Management of short-term borrowing and investing
III. Projecting future cash shortages and surpluses
- A . I only
- B . I and II only
- C . II and III only
- D . I, II, and III
Which statement is true about credit unions?
- A . They offer lending rates similar to other financial institutions.
- B . They are not-for-profit organizations.
- C . Their deposits are insured by the FDIC.
- D . They can only be chartered by state agencies.
Which of the following would MOST LIKELY cause a decrease in a company’s deposited checks availability?
- A . The depository bank institutes an earlier deposit deadline.
- B . The Federal Reserve implements same-day presentment.
- C . The company’s lockbox bank implements weekend processing.
- D . The company encodes its own checks prior to deposit.
For a retirement plan to be qualified under ERISA, employer and employee contributions must be:
- A . invested to maximize portfolio return.
- B . placed in a separate fund held by a third party.
- C . placed with a professional investment manager.
- D . invested to provide a defined benefit for plan participants.
ABC Company, a U.S. company, has an overseas customer, XYZ Inc., who wants to purchase $3.1 million of equipment from ABC Co. XYZ Inc. wants to structure payment by paying 10% at time of order, 40% at time of shipment and the remaining 50% at time of receipt of the equipment. The last time XYZ Inc. purchased equipment from ABC Co. they never paid the final 50%, claiming the equipment did not work properly.
Which of the following can ABC Co. use for this transaction to guarantee payment?
- A . Installment credit
- B . Documentary collection
- C . Performance guarantee
- D . Commercial letter of credit
A commercial paper issuer who repays investors earlier in the day than it receives funds from new investors often creates which of the following?
- A . Collected overdraft
- B . Daylight overdraft
- C . Disbursement float
- D . Dual balances
ACCOUNTS RECEIVABLE AT THE END OF MARCH
On the basis of the accounts receivable balance pattern above and April sales of $600, the cash flow forecast for April is:
- A . $440.
- B . $715.
- C . $875.
- D . $925.
On a daily basis, the cash manager is responsible for all of the following EXCEPT:
- A . initiating funds transfers.
- B . determining the cash position.
- C . reviewing bank service fees.
- D . executing investment and/or borrowing decisions.
Which of the following will directly increase a company’s cost in a fee-only bank relationship?
- A . A decrease in the reserve requirement
- B . A decrease in ledger balances
- C . An increase in the ECR
- D . An increase in transaction activity