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CIMA CS3 Exam Dumps - Actual Questions Answers

Strategic Case Study Exam 2021

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  • Last Update: Aug 9, 2022
  • Number of Questions: 45 questions
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CS3 Questions and Answers

Question # 1

You have received the following email from Marcus Svenson, Finance Director:

From: Marcus Svenson, Finance Director

To: Senior Finance Manager

Subject: Investment opportunity


The Board is considering an investment opportunity to buy a forest in Bravador, a country in South America. This will be a major expansion and will also enable us to diversify into new lines. For example, the forest contains lots of hardwood varieties that we could sell to companies in the double glazing industry or to furniture manufacturers. I downloaded the attached extract from an online encyclopaedia for your information.

The forest that we are planning to buy has not been used for commercial purposes until now. The land belonged to the Government for many years and it has been left to grow naturally. The Government is now keen to sell the land and has agreed that it may be used for commercial forestry purposes.

This investment will enable us to increase our output of softwoods by up to 20% per year, in addition to enabling us to enter the hardwood market.

I need two things from you. I need you to recommend a suitable approach to managing our relationship with the Bravadorian Government. I also need you to identify and explain the political risks that will remain even if we succeed in creating a sound relationship with the Government.


Reference Material:

Question # 2

Daily Gazette

Celebrities flock to release tax returns

Comedian Madd Wilkins is the latest celebrity to post his tax returns online. The comedian earned M$1,600,000 from his sell-out tour and from the sale of DVDs. He paid tax of M$608,000 on that income. The comedian quipped, "there’s nothing funny about paying tax, but then there’s nothing very funny about my act either so it’s only fair that I should pay the full whack".

Public concern about the tax benefits enjoyed by wealthy celebrities using artificial schemes such as investing in forestry to minimise their tax bills has led to closing tax loopholes topping the political agenda. Many wealthy individuals have volunteered their tax files in order to reassure the public that they are not benefitting from such schemes.

Question # 3

The following email has been forwarded to you by William Seaton, Director of Finance:

From: William Seaton, Director of Finance

To: Finance Manager

Subject: Email from CFO of Fouce Oil


This email arrived last night. I need you to help me to think through the various implications of doing what it suggests before I present it to the Board. I need you to focus on the following issues:

Would this proposal make sense from a strategic point of view?

If we did decide to go ahead, what would be the issues that we would have to consider with respect to informing the stock market?

Could you please email me your thoughts within the next hour? I have to brief the Board later today.



The email referred to can be found by clicking on the Reference Materials button.

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