CA Final Advanced Financial Management PYQ May 2026: Question Paper and Solutions

How to Prepare for CA Final Advanced Financial Management

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Question directory and available solutions

23 indexed questions. Open a question to read its full statement and available answer.

1. The Government of India issues a 5-year Sovereign Gold Bond (SGB) at an issue price of 5,000 per gram. An investor, Mr. JK, has purchased 200 grams…
2. NewChem Ltd., a leading chemical manufacturing firm based in Telangana, is evaluating the installation of a new-generation solar power plant to meet…
3. XYZ Ltd. is professionally engaged in providing consultancy services related to corporate mergers and acquisitions. It is on an expansion mode and…
4. Mr. X a portfolio Manager invests - 25,00,000 in stock Alpha and Beta in ratio of 60 : 40. The daily standard deviation of stock Alpha is 1.20% and…
5. Green Agro Exports Ltd. entered a 3-month forward contract on January 1, 2026 to buy USD 2,00,000 (import payment due April 1, 2026). USD-INR Bank…
6. Bharat Infrastructure Ltd (BIL), a premier Indian Engineering firm, has been invited to establish and operate a high-speed data center…
7. XYZ Ltd. recently paid a dividend of 40. The company is entering a 5-year transition phase where its current 15% growth rate will decline linearly…
8. MT Ltd. has approached you for an additional loan of 20 crores to fund its aggressive expansion plans. The company's current sustainable growth rate…
9. Mr. RJ own two securities X and Y are priced according to a two-factor Arbitrage Pricing Model. The factor sensitivities and expected returns are as…
10. On 1 July, ALPS Company shares trade at 2,000. An investor enters the following option: (3-month maturity): Option Type Strike (₹) Premium (₹) A…
11. The technology start-up, Fincorp Pvt. Ltd., is in its early growth stage and is evaluating multiple sources of financing including Angel Investment,…
12. An Indian company is investing in a 2-year project in Europe (EURO). Initial Investment = €4,000,000 Annual after-tax operating cash flow =…
13. A mutual fund offers two plans: Dividend Plan and Bonus Plan. An investor invests - 12,00,000 on 1 April, 2025 in the ratio 60:40 respectively.…
14. "Transfer of NPAs through securitization improves balance sheet health but may involve regulatory and valuation challenges." Comment on the…
15. A portfolio manager is analysing four equity securities to construct an optimal risky portfolio using Sharpe's Single Index Model. The securities…
16. Consider the recent performance of the closed ended fund. Period NAV (₹) Premium/ Discount % 0 20 0 1 22.5 -5 2 19.5 2.3 3 21 -3.2 4 22.3 4…
17. Explain the Elliot Wave Theory of Technical Analysis.
18. ABC Ltd. has a 100 Crores floating-rate loan, reset annually for 4 years. It enters into a collar strategy to hedge against interest rate risk. Cap…
19. A "momentum-driven" investment consultant is pitching Lumina Cloud Systems (LCS) to your client. The consultant claims LCS is a bargain because its…
20. Zenith Commercial Bank's ALCO is evaluating the re-pricing risk for the 0-90 days' time bucket. The following quarterly data is available: Financial…
21. Briefly justify why transaction exposure is generally considered more critical than translation exposure from a financial risk management perspective.
22. Arotech Industries Ltd. (A), a listed engineering major, are evaluating the acquisition of MedGen Labs Pvt. Ltd. (M), an unlisted pharmaceutical…
23. The current price of F Ltd is 120and a European option with an exercise price of 115 will expire in 50 days. The annual continuously compounded risk…