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AFP CTP Question # 206 Topic 21 Discussion

CTP Exam Topic 21 Question 206 Discussion:
Question #: 206
Topic #: 21

XYZ Company has incurred a financially devastating event because of a hurricane at its offshore manufacturing plant. Due to the impact on liquidity, the company may not be able to survive. What should the Treasurer have done in order to assess the risk associated with this type of event?


A.

Purchase sufficient insurance


B.

Negotiate back-up lines of credit


C.

Develop a contingency funding plan


D.

Evaluate financial derivatives contract


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