Exam P3 Topic 1 Question 69 Discussion

Actual exam question for CIMA's P3 exam
Question #: 69
Topic #: 1
B is a horticultural retailer with limited funds available to acquire new retail property.
B's Finance Manager has analysed two potential property investments. Investing in property P shows an IRR of 21% while the IRR on property Q is 17%.
The Finance Manager has also advised that the NPV for property P is $750K, while the NPV of property Q is
$850K.
The Board needs to choose between the two properties as it has insufficient funds for both. Based purely on the Finance Manager's analysis, which of the following is true?

Suggested Answer: A Vote an answer

by Moore at Jul 05, 2026, 09:36 PM

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