Technically functions (in the wild) are not methods (aka "function in a class").
function_exists() does not check for class methods. It checks only for functions in the namespace you are using.
If you want to check for a class' method you need to use method_exists() http://php.net/manual/en/function.method-exists.php
Also there is an order in php is read. And it is top-to-bottom. So in your example above the function you are looking for does not exists before you define it on the last 3 lines of your code.
**BELOW EXAMPLE IS NOT TRUE, SEE THE EDIT **
function_exists('myFunc'); //returns false
function myFunc(){}
function_exists('myFunc'); //returns true
Hope this clears things a bit
EDIT:
I just discovered a very strange behavior (PHP 5.6)
if the function is in the same file:
<?php
function_exists('myFunc'); //returns TRUE
function myFunc(){}
function_exists('myFunc'); //returns TRUE
if it's not in the same file:
<?php
echo function_exists('myFunc') ;//returns FALSE
include 'test2.php';//assume myfunc() is defined in this file
echo function_exists('myFunc');//returns TRUE
SO my first answer above seems to be only partially true.
PHP reads your code top to bottom, but it reads whole files. So if you define your function in the same file it will "exist" for php. If it's in another file, that file must first be loaded/included.