成功通过ACCA

Contents

Chapter 1 ACCA Framework and How ACCA Helps Com-panies Significantly Enhance Business Perfor-mance 1

1.1 Framework of ACCA 1

1.1.1 ACCA...Dedicated to Cultivating and Developing Outstanding CFOs

and How ACCA Helps Companies Significantly Enhance Business

Performance 2

1.1.2 ACCA...Dedicated to Cultivating and Developing Exceptional Public

Auditors 7

1.2 Major Merits of This Book 7

1.3 Target Readers 7

1.4 Structure Layers of the Book for Better Reading 7

1.5 Non-Exam Supplements 8

Chapter 2 The Financial Management Function 9

2.1 Corporate Objectives 9

2.1.1 Mission & Corporate Objectives 9

2.1.2 Other Aspects about Establishment of Corporate Objectives 10

2.2 The Function of Financial Management 12

2.3 Macroeconomy and Financial Management 15

2.3.1 Overview 15

2.3.2 Monetary Policy 15

2.3.3 Fiscal Policy 17

2.3.4 Inflation 18

2.3.5 Government Intervention and Regulation 18

2.4 Financial Ratio Analysis and Financial Management 19

2.4.1 Overview 19

2.4.2 Liquidity Ratios 21

2.4.3 Debt and Gearing Ratios (Solvency Ratios) 22

2.4.4 Profitability and Return Ratios 26

2.4.5 Investor Ratios 29

Chapter 3 Financing 55

3.1 Fundamentals of Financing 55

3.1.1 Sources of Financing 55

3.1.2 Financing & Financial Risk Control 56

3.1.3 Maturity Match Financing Model 56

3.1.4 Capital Structure & Financial Structure 57

3.1.5 Financial Markets 59

3.1.6 Public Securities Issue versus Private Placement 61

3.1.7 Capital Market Efficiency 63

3.1.8 Interest Rate 66

3.1.9 Eurocurrency 76

3.1.10 Sources of Finance for Small and Medium Enterprises 77

3.1.11 Islamic Finance 77

3.1.12 Fintech 78

3.2 Equity Financing 81

3.2.1 Overview of Equity Financing 82

3.2.2 Go Public & Obtain Stock Market Listing 82

3.2.3 Ordinary Shares 83

3.2.4 Retained Earnings 85

3.2.5 Other Equity Source of Financing-Rights Issue 85

3.2.6 Valuation for Ordinary Shares 87

3.2.7 Dividends Payout 93

3.2.8 Stock Split & Reverse Stock Split 97

3.2.9 Share Repurchase 98

3.3 Long-Term Debt Financing 99

3.3.1 Bonds 99

3.3.2 Term Loan 105

3.3.3 Preference Shares 106

3.3.4 Lease 108

3.4 Short-Term Debt Financing 110

3.4.1 Secured Sources of Short-Term Financing 111

3.4.2 Unsecured Sources of Short-Term Financing 112

3.4.3 Other Special Types of Short-Term Financing Tools 114

3.4.4 Comparisons between Short-Term Debt Financing, Long-Term Debt

Financing, and Equity Financing 115

3.5 Cost of Financing 115

3.5.1 Cost of Short-Term Financing 115

3.5.2 Weighted Average Cost of Capital (WACC) 116

Chapter 4 Investing 171

4.1 Overview of Investing 171

4.2 Investment in Current Assets 171

4.2.1 Cash Management 172

4.2.2 Investment in Trade Receivables 191

4.2.3 Investment in Inventory 200

4.2.4 Working Capital Management 207

4.3 Investment in Long-Term Assets 213

4.3.1 Time Value of Money 213

4.3.2 Basic Terms in Decision Making 216

4.3.3 Capital Budgeting 217

Chapter 5 International Finance 321

5.1 Exchange Rate 321

5.1.1 Definition of Exchange Rate 321

5.1.2 Trading in Currencies 321

5.1.3 Exchange Rate Systems 323

5.1.4 Exchange Rate Risks and Mitigation for Exchange Rate Risks 325

5.1.5 Interest Rate Parity 331

5.1.6 Purchasing Power Parity (PPP) 334

5.1.7 Four-Way Equivalence 336

5.2 Settlements in International Trade 337

Chapter 6 Exam Instructions and Specimen Exams 353

Specimen Exam Questions-One 354

Specimen Exam Questions-Two 362

Specimen Exam Questions-Three 370

Specimen Exam Questions-Four 378

Specimen Exam Questions-Five 386

Analysis & Answer to Specimen Exam Questions-One 395

Analysis & Answer to Specimen Exam Questions-Two 402

Analysis & Answer to Specimen Exam Questions-Three 407

Analysis & Answer to Specimen Exam Questions-Four 414

Analysis & Answer to Specimen Exam Questions-Five 421

Appendix I Translations between English and Chinese for Finance & Accounting Terms 427

Appendix II Comprehensive Practices 457

Appendix III Present Value Tables 487

Appendix IV Classic Sentences by David Sun 489

Index 499