ACCA FM Important Topics September 2026: Key Topics for Exam Preparation
The ACCA FM syllabus includes several concepts and chapters, making it difficult for students to identify which areas need more attention before the September 2026 exam. With topics covering investment decisions, cost of capital, risk, financing and working capital, students may find it challenging to organise their revision effectively.
The ACCA FM Important Topics September 2026 include key areas such as NPV, IRR, WACC, CAPM, gearing, capital structure theories and working capital management. Knowing these chapters can help students set clear revision priorities and cover the important concepts in a structured manner.
ACCA FM Important Topics September 2026 Overview
The ACCA FM Important Topics September 2026 include major areas of Financial Management such as Investment Appraisal, Cost of Capital and Working Capital Management. Students can use the following overview table to identify the key chapters and subtopics to focus on during their September 2026 revision.
|
Major Topic |
Important Chapters / Topics |
|
Investment Appraisal |
Relevant Costs, Payback Period, Discounted Cash Flow, NPV, IRR, Taxation, Inflation, Working Capital, Capital Rationing, Asset Replacement, Lease or Buy |
|
Risk and Uncertainty |
Risk and Uncertainty, Sensitivity Analysis, Simulation, Probability Analysis |
|
Cost of Capital |
Cost of Equity, Cost of Debt, WACC, Gearing, Capital Structure Theories |
|
Financing and Risk |
Traditional View, Modigliani and Miller's Theories, Pecking Order Theory, Systematic and Unsystematic Risk |
|
CAPM |
CAPM, Asset Beta, Equity Beta, Project-Specific Cost of Equity |
|
Islamic Finance |
Murabaha, Ijara, Mudaraba, Musharaka, Sukuk |
|
Working Capital Management |
Treasury Management, Working Capital Requirements, Working Capital Investment Policies |
|
Working Capital Funding |
Matching Policy, Aggressive Financing Strategy, Conservative Financing Strategy |
ACCA FM Important Topics September 2026 PDF
Students looking for a quick revision resource can refer to the ACCA FM Important Topics September 2026 PDF. It covers the key Financial Management chapters and concepts to help students revise important areas for the September 2026 exam.
Download ACCA FM Important Topics September 2026 PDF
ACCA FM September 2026 Exam Topics at a Glance
Investment appraisal helps businesses assess whether an investment is financially worthwhile. It focuses on evaluating the expected cash flows, costs, and returns associated with an investment decision.
Investment Appraisal is an important area for ACCA FM Important Questions September 2026. The key topics include:
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Investment Appraisal
Investment Appraisal is an important area for ACCA FM Important Questions September 2026. The key topics include:
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Relevant Costs: Relevant cash flows and opportunity costs used in investment decisions.
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Payback Period: Payback period, decision rules, advantages, disadvantages and discounted payback.
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Discounted Cash Flow Techniques: Net Present Value (NPV), Internal Rate of Return (IRR) and discounted payback.
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IRR: Interpolation, spreadsheet functions, annuity, perpetuity and unconventional cash flows.
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Taxation: Corporation tax, tax relief and the timing of tax cash flows.
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Inflation: Real and nominal interest rates, Fisher equation and conversion of cash flows.
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Working Capital: Working capital changes and their treatment in investment appraisal.
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Capital Rationing: Investment decisions when available funds are limited.
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Asset Replacement Decisions: Replacement cycles and Equivalent Annual Cost (EAC).
-
Lease or Buy: Comparison of leasing and buying using relevant discounted cash flows.
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Risk and Uncertainty: Meaning and difference between risk and uncertainty.
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Sensitivity Analysis: Analysis of changes in important project variables.
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Simulation: Monte Carlo simulation, its use, advantages and limitations.
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Probability Analysis: Possible investment outcomes and expected NPV.
-
Cost of Capital
The cost of capital helps a business understand the cost of raising funds through different sources of finance. It is important for evaluating financing decisions, capital structure, and the overall financial position of a company.
Cost of Capital covers several important ACCA FM Important Chapters September 2026, including:
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Cost of Equity: Dividend Valuation Model and related calculations.
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Cost of Debt: Irredeemable, redeemable and convertible debt.
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Weighted Average Cost of Capital (WACC): Calculation using market and book values.
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Gearing: Financial gearing, interest cover and cash flow cover.
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Problems of High Gearing: Earnings volatility, cost of equity, debt capacity and bankruptcy risk.
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Traditional View of Capital Structure: Relationship between gearing, cost of capital and company value.
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Modigliani and Miller's Theories: Theory without tax and theory with tax.
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Pecking Order Theory: Preference for internal finance, followed by debt and equity.
-
Systematic and Unsystematic Risk: Investment risk, portfolio risk and diversification.
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Capital Asset Pricing Model (CAPM): Purpose, assumptions, required return and CAPM formula.
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Uses of CAPM: Asset beta, equity beta and project-specific cost of equity.
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Islamic Finance: Murabaha, Ijara, Mudaraba, Musharaka and Sukuk.
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Working Capital Management
Working Capital Management is an important part of the ACCA FM September 2026 Revision Topics. It covers Treasury Management, working capital investment policies and different funding strategies.
Treasury Management
Treasury management focuses on managing an organisation’s cash, financial resources, and related risks effectively. The key areas of treasury management are given below:
|
Area |
Description |
|
Centralised Treasury Management |
Manages treasury activities from a centralised function. |
|
Specialised Management |
Uses specialised expertise to manage treasury operations. |
|
Foreign Exchange Risk Management |
Manages risks arising from changes in foreign exchange rates. |
|
Economies of Scale |
Reduces costs through centralised and larger-scale operations. |
|
Cash Pooling |
Combines cash balances to improve overall cash management. |
|
Increased Negotiating Power |
Provides greater bargaining power with banks and financial institutions. |
Working Capital Investment Policies
Working capital investment policies determine how much a business should invest in its current assets. The main approaches are outlined below:
|
Policy |
Description |
|
Conservative Approach |
Maintains higher levels of current assets with a focus on stability and safety. |
|
Aggressive Approach |
Keeps investment in current assets low to focus on profitability. |
|
Moderate Approach |
Maintains a balance between liquidity and profitability. |
Working Capital Funding Strategies
Working capital funding strategies determine how a business finances its current asset requirements. The main funding approaches are given below:
|
Strategy |
Description |
|
Matching Policy |
Uses long-term finance for permanent current assets and short-term finance for fluctuating current assets. |
|
Aggressive Financing Strategy |
Uses short-term finance for fluctuating and some permanent current assets. |
|
Conservative Financing Strategy |
Uses long-term finance for permanent and some or all fluctuating current assets. |
FAQs
What are the ACCA FM Important Topics September 2026?
Which Investment Appraisal topics should I revise for ACCA FM September 2026?
Which Cost of Capital topics are important for ACCA FM?
Is CAPM included in the ACCA FM Important Topics September 2026?
Which Working Capital topics should I revise?
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