CDFA Study Guide Exam Materials
Questions with Verified Solutions Currently
Tested 2026 Latest
An is a person whose work is to calculate statistically
risks, premiums, and life expectancies for insurance and pension
plans. <Correct Answer>>Actuary
An person who is legally qualified and licensed
to represent a person in a legal matter, such as a transaction or
lawsuit. <Correct Answer>>Attorney
A is an individual who is trained in evaluating
and assigning a value to a business. <Correct Answer>> Business
Valuator
A is the legal proceeding by which a marriage
is legally terminated. It may be contested (where one party denies the
allegation or wants to keep the marriage in place) or uncontested. --
CORRECT ANSWER--Divorce
Page 1 of 76
,A is an individual who has been trained to assist
people in coming to an agreement, especially one that reconciles
differences between disputants. <Correct Answer>>Mediator
A is an individual who is qualified to
calculate the value of defined benefit pension plans, such as the
marital portion of a plan for the division of assets in a divorce. --
CORRECT ANSWER--Pension Valuator
Page 2 of 76
,An employee who has at least five years of service must have a non-
forfeitable right to 100% of the employee's accrued benefit [IRC
§411(a)(2)(A)]. <Correct Answer>>5-year cliff vesting
An employee who has completed at least three years of service must
have a non-forfeitable right to at least the following percentages of his
or her accrued benefit: 20% after three years of service, 40% after
four years of service, 60% after five years of service, 80% after six
years of service, and 100% after seven years of service [IRC
§411(a)(2)(B)]. <Correct Answer>>3- to 7-year vesting (7-year
graded vesting)
3-year cliff vesting or 6-year graded vesting. --CORRECT ANSWER-
-Top-heavy plans or matching contributions typically use
vesting
Schedule may help identify unlisted assets or sources of income.
For example, property taxes may reveal real property or a boat that
one spouse does not know exists; and gambling losses would reveal
that there are gambling winnings. <Correct Answer>>Schedule A:
Itemized Deductions
Page 3 of 76
, Schedule identifies the assets and investments generating
interest and dividends. <Correct Answer>>Schedule B: Interest and
Ordinary Dividends
Schedule may be a place to hide assets or income. For example,
depreciation expense is not a cash outflow and should sometimes be
added back to net income to determine actual income. The
depreciation schedule may also reveal additional assets in the
business. <Correct Answer>>Schedule C: Profit or Loss from
Business
Schedule is used to report gains and losses from the sale of
stocks, bonds, and real estate. <Correct Answer>>Schedule D:
Capital Gains and Losses
Schedule is used to report income from rental properties,
royalties, partnerships, and S-corporation income. Depreciation would
be something to review. <Correct Answer>>Schedule E:
Supplemental Income and Loss
Form is used to report partnership income. <Correct
Answer>>Form 1065
Page 4 of 76
Questions with Verified Solutions Currently
Tested 2026 Latest
An is a person whose work is to calculate statistically
risks, premiums, and life expectancies for insurance and pension
plans. <Correct Answer>>Actuary
An person who is legally qualified and licensed
to represent a person in a legal matter, such as a transaction or
lawsuit. <Correct Answer>>Attorney
A is an individual who is trained in evaluating
and assigning a value to a business. <Correct Answer>> Business
Valuator
A is the legal proceeding by which a marriage
is legally terminated. It may be contested (where one party denies the
allegation or wants to keep the marriage in place) or uncontested. --
CORRECT ANSWER--Divorce
Page 1 of 76
,A is an individual who has been trained to assist
people in coming to an agreement, especially one that reconciles
differences between disputants. <Correct Answer>>Mediator
A is an individual who is qualified to
calculate the value of defined benefit pension plans, such as the
marital portion of a plan for the division of assets in a divorce. --
CORRECT ANSWER--Pension Valuator
Page 2 of 76
,An employee who has at least five years of service must have a non-
forfeitable right to 100% of the employee's accrued benefit [IRC
§411(a)(2)(A)]. <Correct Answer>>5-year cliff vesting
An employee who has completed at least three years of service must
have a non-forfeitable right to at least the following percentages of his
or her accrued benefit: 20% after three years of service, 40% after
four years of service, 60% after five years of service, 80% after six
years of service, and 100% after seven years of service [IRC
§411(a)(2)(B)]. <Correct Answer>>3- to 7-year vesting (7-year
graded vesting)
3-year cliff vesting or 6-year graded vesting. --CORRECT ANSWER-
-Top-heavy plans or matching contributions typically use
vesting
Schedule may help identify unlisted assets or sources of income.
For example, property taxes may reveal real property or a boat that
one spouse does not know exists; and gambling losses would reveal
that there are gambling winnings. <Correct Answer>>Schedule A:
Itemized Deductions
Page 3 of 76
, Schedule identifies the assets and investments generating
interest and dividends. <Correct Answer>>Schedule B: Interest and
Ordinary Dividends
Schedule may be a place to hide assets or income. For example,
depreciation expense is not a cash outflow and should sometimes be
added back to net income to determine actual income. The
depreciation schedule may also reveal additional assets in the
business. <Correct Answer>>Schedule C: Profit or Loss from
Business
Schedule is used to report gains and losses from the sale of
stocks, bonds, and real estate. <Correct Answer>>Schedule D:
Capital Gains and Losses
Schedule is used to report income from rental properties,
royalties, partnerships, and S-corporation income. Depreciation would
be something to review. <Correct Answer>>Schedule E:
Supplemental Income and Loss
Form is used to report partnership income. <Correct
Answer>>Form 1065
Page 4 of 76
