Crpc You Got This Study Cards - Memorize
And Be Familiar With These And You Got
This. Friggen 110% Passing Score. Questions
And Answers
In a community property state, a person's earnings from their job subsequent (after) to the date of
their marriage will be considered community property. We get married, my earnings then become
yours as well. We "share it". Community property. If I own property before I met you, that's still
just mine. Correct Answ_Got it?
When gathering data during the retirement planning process, financial goals should be quantified
in what two ways? Correct Answ_Dollar amounts and established time frames.
The Securities Act of 1933 Correct Answ_Required that new companies provide full
disclosure through the issuance of a prospectus.
Securities Exchange Act of 1934 Correct Answ_Created the SEC.
Investment Company Act of 1940 Correct Answ_The regulation of mutual funds.
,Investment Advisers Act of 1940 Correct Answ_Requires advisors to register with the SEC.
Statement of Financial Position is used to calculate what? And what does it have on it?
Correct Answ_Assets and Liabilities which helps you calculate Net Worth.
A Cash Flow statement is used to calculate what? And what does it have on it? Correct
Answ_Inflows and out flows. Not assets and liabilities.
When calculating net worth, what DON'T you include? Correct Answ_Taxes or Auto
When calculating cash flow, what DON'T you include? Correct Answ_Checking or Credit
Cards
How do you calculate standard deviation? (Remember it makes you MAD >:| ) Correct
Answ_MEAN return plus deviation
MEAN return minus deviation
What are the 3 levels of Standard Deviation? Correct Answ_o 68 = 1
,o 95 = 2
o 99 = 3
How do you calculate the Coefficient of Variation? Correct Answ_Deviation divided by the
expected return.
How do you calculate beta? Correct Answ_Multiply.
What is Dollar Cost Averaging? Correct Answ_Purchasing shares with equal, periodic
contributions.
Graham recommended that nonprofessional investors apply which one of the following rules of
thumb? Correct Answ_Buy stocks for two-thirds or less of their net current assets.
What do cash equivalents include? What DON'T they include? Correct Answ_They include:
Treasury bills, negotiable certificates of deposit, commercial paper, and bankers' acceptances.
They do not include: Treasury NOTES.
, Portfolio rebalancing involves selling those assets that have appreciated significantly and then
what? Correct Answ_And then reinvesting in assets that have not performed well in order to
get back to your original asset allocation.
Strategic asset allocation establishes a target allocation for a given asset class (such as 60% to
common stocks) and then what? Correct Answ_And then rebalances the portfolio when
necessary to maintain that target allocation.
The lower the coupon rate... Correct Answ_...the greater the price sensitivity of the bond.
Small firm investors should have... Correct Answ_...a LONG time horizon.
2017 Earnings cap for singles? Correct Answ_$16,920
Brent and Carol have an AGI of $40,000 and they receive a combined Social Security benefit of
$15,000. They have no tax-exempt income. What percentage of their Social Security benefit will
be subject to taxation? Correct Answ_They have no tax exempt income, but they have
PROVISIONAL income! Provisional income = $47,500. This is over the $44,000 threshold so
85% of their Social Security benefit will be subject to taxation.
And Be Familiar With These And You Got
This. Friggen 110% Passing Score. Questions
And Answers
In a community property state, a person's earnings from their job subsequent (after) to the date of
their marriage will be considered community property. We get married, my earnings then become
yours as well. We "share it". Community property. If I own property before I met you, that's still
just mine. Correct Answ_Got it?
When gathering data during the retirement planning process, financial goals should be quantified
in what two ways? Correct Answ_Dollar amounts and established time frames.
The Securities Act of 1933 Correct Answ_Required that new companies provide full
disclosure through the issuance of a prospectus.
Securities Exchange Act of 1934 Correct Answ_Created the SEC.
Investment Company Act of 1940 Correct Answ_The regulation of mutual funds.
,Investment Advisers Act of 1940 Correct Answ_Requires advisors to register with the SEC.
Statement of Financial Position is used to calculate what? And what does it have on it?
Correct Answ_Assets and Liabilities which helps you calculate Net Worth.
A Cash Flow statement is used to calculate what? And what does it have on it? Correct
Answ_Inflows and out flows. Not assets and liabilities.
When calculating net worth, what DON'T you include? Correct Answ_Taxes or Auto
When calculating cash flow, what DON'T you include? Correct Answ_Checking or Credit
Cards
How do you calculate standard deviation? (Remember it makes you MAD >:| ) Correct
Answ_MEAN return plus deviation
MEAN return minus deviation
What are the 3 levels of Standard Deviation? Correct Answ_o 68 = 1
,o 95 = 2
o 99 = 3
How do you calculate the Coefficient of Variation? Correct Answ_Deviation divided by the
expected return.
How do you calculate beta? Correct Answ_Multiply.
What is Dollar Cost Averaging? Correct Answ_Purchasing shares with equal, periodic
contributions.
Graham recommended that nonprofessional investors apply which one of the following rules of
thumb? Correct Answ_Buy stocks for two-thirds or less of their net current assets.
What do cash equivalents include? What DON'T they include? Correct Answ_They include:
Treasury bills, negotiable certificates of deposit, commercial paper, and bankers' acceptances.
They do not include: Treasury NOTES.
, Portfolio rebalancing involves selling those assets that have appreciated significantly and then
what? Correct Answ_And then reinvesting in assets that have not performed well in order to
get back to your original asset allocation.
Strategic asset allocation establishes a target allocation for a given asset class (such as 60% to
common stocks) and then what? Correct Answ_And then rebalances the portfolio when
necessary to maintain that target allocation.
The lower the coupon rate... Correct Answ_...the greater the price sensitivity of the bond.
Small firm investors should have... Correct Answ_...a LONG time horizon.
2017 Earnings cap for singles? Correct Answ_$16,920
Brent and Carol have an AGI of $40,000 and they receive a combined Social Security benefit of
$15,000. They have no tax-exempt income. What percentage of their Social Security benefit will
be subject to taxation? Correct Answ_They have no tax exempt income, but they have
PROVISIONAL income! Provisional income = $47,500. This is over the $44,000 threshold so
85% of their Social Security benefit will be subject to taxation.
