Financial Reasoning Tests

    • 19 tests |
    • 330 questions

Financial reasoning tests present financial information through graphs, tables and short passages, and ask you to interpret it and calculate under time pressure. They are close to numerical reasoning tests but use finance terminology and slightly longer scenarios. Practise below with worked solutions for every question.

Free test Buy tests

What is a financial reasoning test?

A financial reasoning test measures how well you read financial figures and draw the right conclusion from them. Employers use it to sift applicants for finance and commercial roles before interview. You interpret data from statements, budgets and reports, then calculate figures such as margins, growth and ratios, choosing the best answer from four options. Clear reading of the numbers matters as much as the arithmetic.

Financial reasoning test at a glance
Questions 10
Typical time limit 12 minutes
Format Multiple choice, four options per question
Skills tested Interpreting financial statements, margins, ratios, percentage change, budgeting
Used by Banking, accountancy, investment, insurance and commercial finance employers

The test below is a full-length example with worked solutions for every question. It is free, and there is no sign-up.

Written by Guy Thornton Updated

Free Financial Reasoning Test

Download this test as a PDF Same 10 questions and worked solutions, printable. No sign-up.

Question 1 of 10
01 / 10 Margins Medium

A product sells for £80 and costs £52 to make. What is its gross profit margin?

Show worked solution

Gross profit is £80 − £52 = £28. Gross profit margin expresses that profit as a percentage of the selling price, so 28 ÷ 80 = 0.35, which is 35%. Dividing the profit by the cost instead, 28 ÷ 52 = 53.8%, gives the mark-up, which uses the wrong base. Dividing the cost by the price, 52 ÷ 80 = 65%, gives the cost as a share of the price, the opposite of the margin. Reading the £28 cash profit itself as a percentage gives 28%, but a sum of money and the margin it represents are different quantities.

Question 2 of 10
02 / 10 Profit and loss Easy

What was the total profit across all three months?

Monthly revenue and costs for a small business
MonthRevenue (£)Costs (£)
January 120,000 95,000
February 138,000 102,000
March 145,000 118,000
Show worked solution

Profit each month is revenue minus costs. January: 120,000 − 95,000 = £25,000. February: 138,000 − 102,000 = £36,000. March: 145,000 − 118,000 = £27,000. Total profit = 25,000 + 36,000 + 27,000 = £88,000. Adding the revenue column alone gives £403,000, and adding the costs column alone gives £315,000; neither is profit, and in fact 403,000 − 315,000 = 88,000 confirms the answer. Adding only January and February profit gives £61,000 and drops March.

Question 3 of 10
03 / 10 Interest Medium

£12,000 is invested at 4% simple interest per year. How much interest is earned after 3 years?

Show worked solution

Simple interest is the same each year: 12,000 × 4% = £480 per year. Over 3 years that is 480 × 3 = £1,440. Answering £480 gives one year only and forgets to multiply by three. Using compound interest, 12,000 × 1.04³ − 12,000 = £1,498.37, adds interest on the interest, but the question specifies simple interest, where the base stays £12,000 every year. Answering £13,440 gives the final balance, principal plus interest, when the question asks only for the interest earned.

Question 4 of 10
04 / 10 Currency conversion Medium

A company pays a supplier $18,600. The exchange rate is £1 = $1.24, and the bank adds a 1.5% fee to the converted sterling amount. What is the total cost in pounds?

Show worked solution

Convert dollars to pounds by dividing by the rate: 18,600 ÷ 1.24 = £15,000. Then add the 1.5% fee: 15,000 × 0.015 = £225, so the total is 15,000 + 225 = £15,225. Stopping at £15,000 forgets the fee. Multiplying by 1.24 instead of dividing, then adding the fee, gives 23,064 × 1.015 = £23,410, which runs the conversion the wrong way: a dollar is worth less than a pound, so the sterling figure must be smaller. Deducting the fee rather than adding it gives 15,000 × 0.985 = £14,775, but a bank charge increases what is paid.

Question 5 of 10
05 / 10 Percentage change Medium

By what percentage did operating profit change from Year 1 to Year 2?

Revenue and operating profit over two years
YearRevenue (£)Operating profit (£)
Year 1 500,000 60,000
Year 2 560,000 75,000
Show worked solution

Percentage change uses the starting year as the base. Operating profit rose by 75,000 − 60,000 = £15,000, so 15,000 ÷ 60,000 = 0.25, a 25% increase. Dividing by the Year 2 figure, 15,000 ÷ 75,000 = 20%, uses the wrong base. Looking at revenue instead of profit, (560,000 − 500,000) ÷ 500,000 = 12%, answers about the wrong line of the table. Reading 0.25 as 0.025 gives 2.5% and misplaces the decimal point by one place.

Question 6 of 10
06 / 10 Cash discounts Easy

A £6,000 invoice offers a 2% discount for payment within ten days. How much is paid if the invoice is settled early?

Show worked solution

A 2% discount reduces the £6,000 by 6,000 × 0.02 = £120, so the amount paid is 6,000 − 120 = £5,880. Answering £120 gives only the size of the discount, not the amount payable. Adding the discount instead of subtracting it gives 6,000 + 120 = £6,120, but a discount lowers the bill. Taking 20% off rather than 2%, 6,000 × 0.80 = £4,800, misreads the rate by a factor of ten; 2% is 0.02, not 0.20.

Question 7 of 10
07 / 10 Margins Medium

Which product has the highest gross profit margin?

Selling price and unit cost by product
ProductSelling price (£)Unit cost (£)
Product A 25.00 15.00
Product B 40.00 22.00
Product C 80.00 50.00
Product D 100.00 80.00
Show worked solution

Margin is gross profit as a percentage of selling price, so divide each product’s profit by its price. Product A: (25 − 15) ÷ 25 = 40%. Product B: (40 − 22) ÷ 40 = 45%. Product C: (80 − 50) ÷ 80 = 37.5%. Product D: (100 − 80) ÷ 100 = 20%. Product B has the highest margin at 45%. Product C makes the most cash profit per unit at £30, but on an £80 price that is only 37.5%, so cash profit and margin are different measures. Product D has the highest selling price at £100, yet its £20 profit is just 20% of that price, the lowest margin here. Product A is the cheapest to make at £15, but a low cost does not guarantee the best margin: its 40% still trails Product B.

Question 8 of 10
08 / 10 Interest Medium

£8,000 is deposited in an account paying 5% interest compounded annually. What is the balance after 2 years?

Show worked solution

Compound interest applies each year to the growing balance. After year one: 8,000 × 1.05 = £8,400. After year two: 8,400 × 1.05 = £8,820. Using simple interest, two lots of 5% of the original £8,000 gives 8,000 + 400 + 400 = £8,800, which misses the interest earned on the first year’s interest. Answering £8,400 applies only one year of growth and stops early. Answering £820 gives the total interest earned but not the balance the question asks for.

Question 9 of 10
09 / 10 Cashflow Hard

A market stall began the week with £500 in its cash float. Using the receipts and payments below, what was the closing cash balance at the end of Wednesday?

Daily cash receipts and payments (opening float £500)
DayReceipts (£)Payments (£)
Monday 1,200 900
Tuesday 1,500 1,750
Wednesday 1,100 800
Show worked solution

Each day’s net change is receipts minus payments: Monday +300, Tuesday −250, Wednesday +300. The net movement is 300 − 250 + 300 = +£350. Add the £500 opening float: 500 + 350 = £850. Answering £350 gives the net movement but forgets the opening float. Answering £4,300 adds the float to total receipts (500 + 3,800) and ignores the payments entirely. Answering £1,350 treats Tuesday’s £250 shortfall as a gain rather than a loss, 500 + 300 + 250 + 300, when payments that week exceeded receipts on that day.

Question 10 of 10
10 / 10 Currency conversion Hard

What is the combined value of the three invoices in pounds?

Supplier invoices in three currencies and the rate applying to each
SupplierInvoice amountCurrencyExchange rate (units per £1)
Supplier P 6,900 EUR 1.15
Supplier Q 9,000 USD 1.25
Supplier R 4,200 CHF 1.05
Show worked solution

Each rate is quoted as foreign-currency units per £1, so convert by dividing. Supplier P: 6,900 ÷ 1.15 = £6,000. Supplier Q: 9,000 ÷ 1.25 = £7,200. Supplier R: 4,200 ÷ 1.05 = £4,000. Combined, 6,000 + 7,200 + 4,000 = £17,200. Adding the face values without converting gives 6,900 + 9,000 + 4,200 = £20,100, treating three currencies as interchangeable. Adding those face values and converting the lot at a single rate, 20,100 ÷ 1.15, gives £17,478; each invoice has its own rate. Multiplying by the rate instead of dividing, 7,935 + 11,250 + 4,410, gives £23,595, running every conversion backwards.

How to interpret your score

Typical benchmarks for a 10-question financial reasoning test
Score What it suggests
9 to 10 Comfortably above the bar for most graduate schemes
7 to 8 Around the typical pass mark. Worth practising for speed
5 to 6 Below most employer thresholds. Focus on method before speed
4 or fewer Work through the worked solutions above before retrying

Employers set their own thresholds and many sift on the top percentage of applicants rather than a fixed mark, so treat these as a guide.

Improve your hiring chances by 76%

Prepare for your Financial Reasoning Assessments

Immediate access. Cancel anytime.

Pro

Pay Annually
Pay Monthly
--- --- ---
  • 20 Aptitude packages
  • 59 Language packages
  • 110 Programming packages
  • 39 Admissions packages
  • 48 Personality packages
  • 313 Employer packages
  • 34 Publisher packages
  • 35 Industry packages
  • Dashboard performance tracking
  • Full solutions and explanations
  • Tips, tricks, guides and resources

Basic

---
  • Access to free tests
  • Basic performance tracking
  • Solutions & explanations
  • Tips and resources
Free

What is a financial reasoning test?

A financial reasoning test measures how well you interpret financial data and calculate from it under time pressure. It presents information through graphs, tables and short passages, much like a numerical reasoning test, but the context is finance and the language is drawn from the financial sector.

Employers use it to sift applicants for roles where reading financial figures matters, from accountancy and banking to consulting and financial management. The skill it checks is practical: can you pull the right numbers out of a business scenario and reach a correct conclusion quickly.

Most questions are multiple choice. The arithmetic itself rarely goes beyond percentages, ratios, averages and interest, so the challenge is speed, accuracy and knowing what the financial terms mean.

How is a financial reasoning test different from a numerical reasoning test?

A financial reasoning test is a numerical reasoning test with a finance wrapper: the same core arithmetic, applied to business data and described in financial language. The differences are in the packaging, and they matter.

  • More text. Each question often comes with a passage of 150 to 250 words setting up a scenario, so you must filter and extract the figures you need rather than read them straight off a table.
  • More time, more steps. Because there is more to read, you are usually given slightly longer per question, and the calculations can involve more stages than a standard numerical question.
  • Financial terminology. Terms such as profit margin, market capitalisation, gross and net, and compound interest appear in the wording, and misreading them leads straight to a wrong answer.

If you are comfortable with numerical reasoning, most of the work is learning the vocabulary and getting used to reading longer scenarios at speed.

What maths and knowledge do financial reasoning tests require?

Financial reasoning tests require confident basic arithmetic plus a working grasp of a few finance concepts. You do not need an accountancy qualification, but you do need to recognise the terms and know which calculation each one implies.

The maths to be fluent in:

  • The four operations on realistic, sometimes large, figures.
  • Percentages, including increase, decrease and percentage of a total.
  • Ratios and proportion, for comparing figures and splitting amounts.
  • Averages, most often the mean.
  • Interest, both simple and compound, and how it accumulates over periods.

The finance knowledge to have:

  • Reading business statements such as profit and loss accounts and balance sheets.
  • Understanding what profit, revenue, costs and margin mean and how they relate.

What financial terminology should you know?

Learn the core finance terms before you sit the test, because a question can be easy arithmetic wrapped in a word you do not recognise. The vocabulary is where candidates from a non-finance background lose the most marks.

The terms worth knowing cold:

  • Profit margin: profit as a percentage of revenue. Gross margin and net margin use different profit figures, so read which one is meant.
  • Market capitalisation: the total value of a company’s shares, found by multiplying share price by the number of shares.
  • Gross and net: before and after deductions such as tax or costs.
  • Interest rate, simple and compound: whether interest is charged on the original amount only, or on the running balance.
  • Revenue, costs and profit: revenue minus costs gives profit, and questions often give you two of the three and ask for the missing one.

How do you read the data passage quickly?

Read the question before the passage, so you know which figures you are hunting for. A financial scenario deliberately gives you more information than any single question needs, and reading it all first wastes the time the test is measuring.

A reliable order:

  1. Read the question stem and note the exact figure it wants and its unit.
  2. Scan the passage and any table for those figures only. Ignore the rest until a later question needs it.
  3. Check the units and the wording. A figure in thousands, a rate quoted per year, or a margin asked as a percentage are all easy to misread under pressure.
  4. Do the calculation, then sanity-check the size of your answer against the scenario before choosing an option.

Watch for a fee, a tax or an exchange rate tucked into the text below a table, as it often carries the piece that makes the calculation possible.

How are financial reasoning tests scored?

Financial reasoning tests are usually scored on the number of correct answers, and many employers compare that against other candidates rather than a fixed pass mark. A strong result is one that beats the field applying for the same role.

Be alert to negative marking. It is uncommon, but some financial tests deduct points for a wrong answer, which changes whether a rushed guess is worth taking. The instructions will tell you, so read them first.

As with numerical tests, speed counts alongside accuracy. These tests are built so that few candidates finish easily, so unanswered questions cost you position. Unless marks are deducted for errors, an educated guess beats leaving it blank.

Which employers use financial reasoning tests?

Financial reasoning tests are standard across banking, accountancy, professional services and consulting, and appear for any role that involves interpreting financial data. If you are applying into finance, expect one.

Employers known to use financial or finance-heavy reasoning tests include:

  • Banks and financial institutions: Barclays, Deutsche Bank, Royal Bank of Scotland, Citigroup and HSBC.
  • Accountancy and professional services: KPMG, PwC, Ernst & Young and BDO.
  • Public bodies and regulators: HM Revenue & Customs and the Financial Conduct Authority.

Most of these license their tests from a small number of publishers, so once you know who your employer uses, practise that specific format rather than testing at random.

What is the best way to prepare?

Practise the finance format specifically, under timed conditions, rather than relying on general numerical practice. The arithmetic will feel familiar, but the longer passages and the terminology need their own reps to become quick.

A preparation sequence that works:

  1. Learn the core terminology first, so no question stalls you on a word.
  2. Take one finance-style test untimed, reading every worked solution, to see how the scenarios are built.
  3. Then work under the clock, extracting figures from passages at speed. Expect your score to dip before it climbs.
  4. Review your errors, separating genuine calculation slips from terms you misread, because those need different fixes.

Practise in realistic conditions, and once you know your employer’s publisher, focus your final practice on that style.

Prepare yourself for leading employers

  • BBC
  • Deloitte
  • HSBC
  • Amazon
  • Google
  • NHS
  • Civil Service

The tests were well suited to the job that I’ve applied for. They are easy to do and loads of them.

Sophie used Practice Aptitude Tests to help pass her aptitude tests for Deloitte.

testimonial

Financial Reasoning Tests Tips

1Prepare your own toolkit

Whether you need to sharpen your maths skills or learn everything from scratch, taking some mock tests will help. It might not make you a brilliant mathematician but will definitely improve your performance. Practice will also save you sleepless nights before the real assessment day by improving accuracy, speed and confidence. And you will need a good night’s sleep.

2Watch your timing

Don’t get stuck on one question. Work out roughly how much time you have per question before you start each test (think of it as a good warm-up) and try to stick to those timings. If it feels tough, keep going anyway and remember the easiest questions might be to come.

3Practice in exam conditions

When you practice for your assessment, try to do so in the same conditions in which you will be sitting your real financial reasoning test. Try quiet surrounding with a minimal distraction at a table. This will not only keep you more focused but also make silence less daunting while sitting your real assessment.

4Ask the expert

Look at our explanations to see how we’ve come up with the solutions. Understanding the thought process, how the question is broken down and the steps involved is an excellent way to simplify difficult questions.

5Carry out post mortems

Sure, financial reasoning tests won’t kill you, but you should assess which areas you’re getting wrong. That way you can focus on practicing them which will improve your performance on the tests as a whole.

6Prepare your own toolkit

Pressing the old and trusted buttons of your own calculator is easier than staring at the limitless functions of a scientific calculator your friend lent you. We also suggest you have a pen and plenty of rough paper for workings.

7Answer the question

It might be obvious but the fact that we mention it means it is not. At least not always. Although there is only one correct answer, there may be decoys that could trick you. Stay calm and focused and be careful with your numbers.

8Do your research

Find out from your employer what type of psychometric assessments they are going to want you to sit. If you’re not sure simply ask them! Each job is different so the assessments will vary but as a starting point visit our top employers.

9Don't be complacent

There are sometimes 100+ applicants per place for the most sought after roles. Your competition will be prepared so make sure you are too. The more you practice, the better prepared you’ll be.

Financial Reasoning Video Tutorials

Graph Interpretation

2

Currency Conversion

2

Percentage Change

2

Financial Reasoning Tests FAQs

Who takes a financial reasoning test?

Applicants for finance and accountancy roles most often, but also candidates for any job that involves interpreting financial data, including consulting and management positions. If a role description mentions financial analysis, expect a test of this kind.

How long is a financial reasoning test?

It varies by employer and publisher. Because the scenarios are longer than a standard numerical test, you are usually given a little more time per question, but the test is still tightly timed overall. Your invitation email will confirm the length.

Can you use a calculator in a financial reasoning test?

Usually yes, and many online tests provide one on screen, because the calculations can run to several steps. Estimating first still saves time, since seeing the rough size of an answer often lets you eliminate options before calculating exactly.

Do I need a finance background to pass?

No, but you do need to know the core terminology. The maths is percentages, ratios, averages and interest, all learnable, and the finance terms that appear are a short list. Candidates from any degree pass these tests with focused practice.

Where will I take my financial reasoning test?

Almost always online and unsupervised as an early sift, sometimes followed by a supervised re-test at an assessment centre to confirm the result. Treat the online attempt as a score you will need to be able to reproduce.

How many practice tests should I do?

Enough to make the terminology and the longer passages feel routine, which for most people is several full tests. Once your score stops improving between attempts, switch from taking more tests to reviewing the ones you got wrong.

Reviews of our Financial Reasoning tests

What our customers say about our Financial Reasoning tests

  • Kenya

    April 03, 2023

    Challenging and well structured

    I am seeking financial attitude practice tests to prepare for a major test tomorrow and I found this test challenging and well structured. I hope I passed.

  • India

    March 23, 2023

    Solution of these questions

    In this test, I like that most questions are average to moderate level. Some questions are very hard and time consuming

  • Sweden

    March 17, 2023

    A good way to practice

    I haven't done these tests before so it was a nice way of trying, hopefully the real one is built similar to this

  • Kenya

    January 26, 2023

    Mind engaging

    It was an interesting first time test, I love the challenge and would like to keep trying to perfect my skills

  • Nigeria

    August 03, 2022

    Interesting

    Some questions were difficult to understand at first, but generally, it was a nice experience doing this.

  • United Kingdom

    June 03, 2022

    Good test

    Important to remain calm as there is a mixture of easy and relatively challenging questions, therefore don't assume its a minute per question

  • Sri Lanka

    May 29, 2022

    Very good test

    First few questions are very tough, so the time is not adequate to completed the entire 20. Where as this can be considered as a very good test.

  • South Africa

    May 09, 2022

    Easy to understand the questions

    The first 4/5 questions were not easy to work out I felt like I was missing some information. I could not really tell the hours it took to produce one item.

  • Kenya

    April 11, 2022

    Financial Reasoning Test

    The test was challenging enough to me to test my numerical skills and easy enough to act as confidence boost. Could I have at least two freebies that are quite challenging to test the level of difficulty?

  • United Kingdom

    March 31, 2022

    Good and clear, but too easy - graduate tests I've taken are always harder

    Clear to interpret, easy user interface, free test and useful, but the difficulty standard of questions tended to be much easier than what I've come across in graduate financial/numerical tests.