CFP Practice Questions With Correct
Answers Graded A+ 2025/2026.
Stafford Loans are administered by:
A) Private Loan Administration
B) Federal Family Education Loan Program
C) Parent loans to undergraduate students
D) Federal assistance loan programB
Perkins loansLow-interest federal student loans for undergraduate and graduate
students distributed on the basis financial need.
Are Parent Loans to Undergraduate Students (PLUS) available to both full and part time
students?No, only available to full time students
Perfect elasticity results in a ______ demand curve, perfect inelasticity results in a
_____ demand curve
A) vertical, horizontal
B) horizontal, vertical
C) Diagonal, horizontal
D) Vertical, diagonalB, Horizontal, vertical
Money in a coverdell savings account must be used by the time beneficiary is
____years of age30
A Change in quantity supplied is identified bu which of the following?
A) Shifting the demand curve
B) Shifting the supply Curve
C) Movement along the supply curve
D) Movement along the demand curveC- This is the willingness to offer the same
product at different prices.
If an RIA has betwen _____ and ____ of assets under management, the IRA may
register with either the applicable states where the RIA maintains clients, or the SEC
A) 10MM & 100MM
B) 25MM and 100MM
C) 50MM and 150MM
D) 100MM and 200MMB
, According to the principle of _______ a CFP Board designee shall enter into a financial
planning engagement only when the relationship is warranted based on the individual
needs and objectives
A) Integrity
B) Fairness
C) Competence
D) DiligenceD
Which of the following are among the economic goals of the Federal Reserve and the
US Treasury?
1) Full Employment
2) Stable Prices
3) Economic Growth
4) Decrease Governmental Spending
A) 1 and 4
B) 3 and 4
C) 1, 2, and 3
D) All of the AboveC
Monetary policy refers to actions taken by the ______ to control the money supply,
often by targeting a specific rate of interest
A) US Treasury
B) Federal Reserve
C) Executive Branch
D) US Secretary of the TreasuryB) Federal Reserve
Monetary policy is carried out through all but which of the following methods?
A) Taxation
B) Open market operations
C) Changing the reserve requirements
D) Changing the discount rateA) Taxation
A recession is a decline in real GDP for ______ or more consecutive quarters, A
depression is a decline in real GDP for ____ or more consecutive quarters
a) 2,4
b) 3,6
c) 2,6
d) 4,6C) 2,6
Gross Domestic Product (GDP) = C+I+G+E. The variables C, I, G and E stand for which
of the following
1) C= personal consumption
2) I= Issuance of government bonds
3) G= Government consumption
4) E = ExportsB)
Answers Graded A+ 2025/2026.
Stafford Loans are administered by:
A) Private Loan Administration
B) Federal Family Education Loan Program
C) Parent loans to undergraduate students
D) Federal assistance loan programB
Perkins loansLow-interest federal student loans for undergraduate and graduate
students distributed on the basis financial need.
Are Parent Loans to Undergraduate Students (PLUS) available to both full and part time
students?No, only available to full time students
Perfect elasticity results in a ______ demand curve, perfect inelasticity results in a
_____ demand curve
A) vertical, horizontal
B) horizontal, vertical
C) Diagonal, horizontal
D) Vertical, diagonalB, Horizontal, vertical
Money in a coverdell savings account must be used by the time beneficiary is
____years of age30
A Change in quantity supplied is identified bu which of the following?
A) Shifting the demand curve
B) Shifting the supply Curve
C) Movement along the supply curve
D) Movement along the demand curveC- This is the willingness to offer the same
product at different prices.
If an RIA has betwen _____ and ____ of assets under management, the IRA may
register with either the applicable states where the RIA maintains clients, or the SEC
A) 10MM & 100MM
B) 25MM and 100MM
C) 50MM and 150MM
D) 100MM and 200MMB
, According to the principle of _______ a CFP Board designee shall enter into a financial
planning engagement only when the relationship is warranted based on the individual
needs and objectives
A) Integrity
B) Fairness
C) Competence
D) DiligenceD
Which of the following are among the economic goals of the Federal Reserve and the
US Treasury?
1) Full Employment
2) Stable Prices
3) Economic Growth
4) Decrease Governmental Spending
A) 1 and 4
B) 3 and 4
C) 1, 2, and 3
D) All of the AboveC
Monetary policy refers to actions taken by the ______ to control the money supply,
often by targeting a specific rate of interest
A) US Treasury
B) Federal Reserve
C) Executive Branch
D) US Secretary of the TreasuryB) Federal Reserve
Monetary policy is carried out through all but which of the following methods?
A) Taxation
B) Open market operations
C) Changing the reserve requirements
D) Changing the discount rateA) Taxation
A recession is a decline in real GDP for ______ or more consecutive quarters, A
depression is a decline in real GDP for ____ or more consecutive quarters
a) 2,4
b) 3,6
c) 2,6
d) 4,6C) 2,6
Gross Domestic Product (GDP) = C+I+G+E. The variables C, I, G and E stand for which
of the following
1) C= personal consumption
2) I= Issuance of government bonds
3) G= Government consumption
4) E = ExportsB)
