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
I. Banker’s acceptances
II. Commercial paper
III. U.S. Treasury bills
IV. Federal agency securities
Which of the following is the MOST usual ranking, from lowest to highest risk, of the investments listed above?
- A . I, III, IV, II
- B . III, IV, I, II
- C . IV, II, III, I
- D . IV, III, II, I
U.S. dollar-denominated instruments issued by foreign banks through their domestic branches are known as:
- A . banker’s acceptances.
- B . Euro commercial paper.
- C . Eurodollar CDs.
- D . Yankee CDs.
When a company announces a significant and unexpected dividend increase, it signals to the market that management expects:
- A . earnings in future periods will be higher than in past periods.
- B . earnings in future periods will be lower than in past periods.
- C . earnings in future periods will not change.
- D . to split the stock in future periods.
Trade terms are renegotiated under e-commerce in order to:
- A . balance the payment.
- B . neutralize the float.
- C . quantify the savings.
- D . improve the seller’s availability.
When a paper check is converted to an electronic form:
- A . the payment becomes irrevocable and unconditional.
- B . it falls under the rules of Regulation E.
- C . the source document is always returned to the originator.
- D . it retains its status as a check.
The discount rate for a T-bill with a face value of $200,000, 182 days to maturity, and a selling price of $194,375 would be:
- A . 2.80%.
- B . 5.56%.
- C . 5.63%.
- D . 49.18%.
The company’s monthly credit sales are in Table 1 and its receivables collection pattern is in Table 2.
If this company wishes to achieve a second quarter (April-June) DSO of 60 days, what would its ending accounts receivable balance need to be?
Assume a 90-day quarter.
- A . $666,667
- B . $1,333,333
- C . $1,500,000
- D . $3,000,000
Which of the following would MOST directly affect a company’s dividend policy?
- A . Cost of capital
- B . The clientele effect
- C . A loan covenant
- D . Stock price
What should a company’s senior management consider in their payment policies to eliminate the co-mingling of funds for payables, receivables and foreign exchange transactions?
- A . Required control points
- B . Bank account structuring
- C . Payment laws and regulations
- D . Participants in the payment process
The assistant treasurer of a company uses variance analysis comparing actual cash flows with projected cash flows and finds actual is less than forecasted.
Which of the following would cause this variance?
- A . Pro forma income statement
- B . Weighted average cost of capital
- C . Capital budget forecast
- D . Delayed accounts receivable collection