ACCA AFM Practice Questions - ACCA Advanced Financial Management (AFM) Exam

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Which statement BEST describes the role of ethics and environmental, social and governance (ESG) considerations in a senior financial executive's decisions under the AFM syllabus?

They should be integrated into financial decisions because they affect long-term value and stakeholder relationships They are irrelevant to financial decisions and should be ignored to maximise profit They only matter for the marketing department, not finance They should be addressed only if legally compelled, never voluntarily

Correct Answer:

They should be integrated into financial decisions because they affect long-term value and stakeholder relationships

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