ACCA

ACCA Financial Management (FM) Exam Structure Explained

The ACCA Financial Management (FM) exam is a 3-hour computer-based exam with three sections:

Section A (30%): 15 objective test questions worth 2 marks each.
Section B (30%): 3 multitask scenarios worth 10 marks each.
Section C (40%): 2 constructed response questions worth 20 marks each.

The pass mark is 50%. Sections A and B test broad knowledge across the syllabus, while Section C requires structured written and numerical answers. Time management and exam technique are key to success.

What is the format of the ACCA FM exam?

The FM exam is computer-based and lasts 3 hours. You will be given a formula sheet, but it only contains selected formulas, not everything you may need. The exam combines both words and numbers, so you must be confident in writing clear explanations as well as performing calculations.

Pass mark: 50%
Exam software: Word processing pages, spreadsheets, and sometimes templates.
Content balance: A roughly equal mix of written and numerical work.

What is tested in Section A of the FM exam?

Section A accounts for 30% of the marks:

15 objective test questions worth 2 marks each.

Not just multiple-choice – can include:

Fill-in-the-blank questions.
Multiple-response questions.
Selecting from a list or clicking a box.

Tips for Section A:

Spend about 54 minutes total(roughly 10 questions every 30 minutes).
Watch out for negatively worded questions(“Which of the following is not correct?”).
Follow instructions carefully (e.g. “Select two answers” means exactly two).
Look for distractors– tempting but wrong options designed to catch you out.
Use elimination and backward-solving if stuck.
Always attempt every question, even if guessing.

What is tested in Section B of the FM exam?

Section B also accounts for 30% of the marks:

3 multitask questions worth 10 marks each.
Each begins with a short scenario followed by five objective test questions.
Similar in style to Section A but linked to a single case.

Tips for Section B:

Spend about 54 minutes total, or 15–18 minutes per scenario.
Use the scenario details carefully – they often guide you to the correct answer.
Do not get stuck on one question. Move on and come back if needed.

What is tested in Section C of the FM exam?

Section C is the most important part, worth 40% of the marks:

2 constructed response questions worth 20 marks each.
Topics usually come from investment appraisal, cost of capital, working capital management, or business valuation.
Requires both calculations and written discussion.
You may use spreadsheets, word processing pages, or pre-formatted templates.

Tips for Section C:

Spend about 72 minutes total(36 minutes per question).
Always read the requirement firstbefore diving into the scenario.
Show clear workings and formulas– markers give credit for method.
Balance numbers with explanations. A perfect calculation without commentary may not score full marks.
Pay extra attention to narrative questions– examiners note that many students struggle here.

How should you manage your time across the exam?

A good time strategy is:

Section A: 54 minutes (≈ 10 questions every 30 minutes).
Section B: 54 minutes (≈ 15–18 minutes per scenario).
Section C: 72 minutes (≈ 36 minutes per question).

👉 Keep an eye on the clock. Many students run out of time in Section C and lose marks.

What are the best techniques for handling objective test questions?

Objective test questions (Sections A and B) can be tricky because of distractors. To maximize marks:

Read the question carefully. Pay attention to words like “not” or “incorrect”.
Check the required number of answers. Do not over- or under-select.
Eliminate obvious wrong answers. Narrow your choices quickly.
Focus on similar options. If two answers look alike, one is often correct.
Work backwards. Test options against the requirement if direct solving is difficult.
Flag and return. Move on if stuck and revisit later.
Guess if necessary. A wrong attempt is better than leaving it blank.

Final takeaway

The ACCA FM exam is not just about calculations – it tests your ability to apply financial management skills in both numbers and words. To succeed:

Understand the structure of Sections A, B, and C.
Manage your time carefully.
Avoid traps in objective test questions.
Focus on structured, professional answers in Section C.

With the right strategy, consistent practice, and exam technique, you can approach this paper with confidence.

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