Intro to Financial Planning Practice Final Exam UPDATED
ACTUAL Questions and CORRECT Answers
Which of the following activities I, II, and III
would be appropriate if you
were establishing and defining
the client-planner relationship or
gathering information necessary
to fulfill the engagement?
I. Collecting personal financial
information
II. Inquiring about the number of
dependents
III. Inquiring about the age or
dates of birth of dependents
IV. Determining which stocks to
purchase for the client's
investment portfolio
Which of the following CFP II only
certificants would likely be
considered to be engaged in
financial planning or the material
elements of financial planning?
I. Lance, who reviews a life
insurance sales brochure with
his client, Arthur, and completes
a variable life insurance
application
II. Nadia, who conducts
comprehensive data gathering
regarding Jason's investments,
life insurance, retirement plans,
wills, and trusts and makes
recommendations for him
,According to CFP Board Code All of the statements are true
of Ethics, Connor, a CFP
professional, is responsible for
which of the following?
I. Acting in the client's best
interests
II. Avoiding or disclosing and
managing conflicts of interest
III. Acting with honesty, integrity,
competence, and diligence
IV. Maintaining the
confidentiality and protect the
privacy of client information
Amanda, a CFP professional, is Although only Financial Advice has been determined, Amanda
enjoying an afternoon at her must uphold her Fiduciary Duty and must follow the Code of
son's school playground when Ethics.
she is approached by Tracy, a
fellow parent and teacher at a
local elementary school. Their
conversation covers specifics
about Tracy's personal and
financial situation, with emphasis
on a recommended investment
strategy for her 403(b) account.
Amanda is aware that she is
providing Financial Advice to
Tracy. Identify the correct
application of rules from the
Code and Standards based on
Amanda and Tracy's interaction.
Bill and Sophia have recently the distribution phase.
retired and want to travel to
Europe and then volunteer for
local mission work. They would
also like to meet with Humphrey,
their financial planner, to discuss
charitable contributions they
would like to make to these
local missions. Humphrey should
determine Bill and Sophia's life
cycle phase to be
, Whitney is designing her new II only
email template which will reflect
her recent certification as a CFP
professional. Under her name,
she has identified herself as a
CFP™. In a tagline at the bottom
of the template, she advertises
herself as a "CFP expert."
According to CFP Board's
guidelines regarding how the
CFP " marks may be used, which
of the following is CORRECT?
I. Whitney has appropriately
identified herself as a CFP™.
II. Advertising herself as a CFP
expert is prohibited by CFP
Board.
Maxine, age 57, would like to Long-term goals, such as investing for retirement
retire in 10 years. Currently, her
debt is decreasing as her cash
flow and net worth are steadily
increasing. Based on Maxine's
current financial life cycle phase,
which of the following goals is
she likely to have?
Blanca, a CFP professional, has I, II, and III
recently entered into a financial
planning engagement with
Simon. As his financial planner,
which of the following are
Blanca's roles? I. Analyzing
Simon's current financial status II.
Assisting Simon in implementing
the financial plan III. Helping
Simon identify financial goals
and objectives
ACTUAL Questions and CORRECT Answers
Which of the following activities I, II, and III
would be appropriate if you
were establishing and defining
the client-planner relationship or
gathering information necessary
to fulfill the engagement?
I. Collecting personal financial
information
II. Inquiring about the number of
dependents
III. Inquiring about the age or
dates of birth of dependents
IV. Determining which stocks to
purchase for the client's
investment portfolio
Which of the following CFP II only
certificants would likely be
considered to be engaged in
financial planning or the material
elements of financial planning?
I. Lance, who reviews a life
insurance sales brochure with
his client, Arthur, and completes
a variable life insurance
application
II. Nadia, who conducts
comprehensive data gathering
regarding Jason's investments,
life insurance, retirement plans,
wills, and trusts and makes
recommendations for him
,According to CFP Board Code All of the statements are true
of Ethics, Connor, a CFP
professional, is responsible for
which of the following?
I. Acting in the client's best
interests
II. Avoiding or disclosing and
managing conflicts of interest
III. Acting with honesty, integrity,
competence, and diligence
IV. Maintaining the
confidentiality and protect the
privacy of client information
Amanda, a CFP professional, is Although only Financial Advice has been determined, Amanda
enjoying an afternoon at her must uphold her Fiduciary Duty and must follow the Code of
son's school playground when Ethics.
she is approached by Tracy, a
fellow parent and teacher at a
local elementary school. Their
conversation covers specifics
about Tracy's personal and
financial situation, with emphasis
on a recommended investment
strategy for her 403(b) account.
Amanda is aware that she is
providing Financial Advice to
Tracy. Identify the correct
application of rules from the
Code and Standards based on
Amanda and Tracy's interaction.
Bill and Sophia have recently the distribution phase.
retired and want to travel to
Europe and then volunteer for
local mission work. They would
also like to meet with Humphrey,
their financial planner, to discuss
charitable contributions they
would like to make to these
local missions. Humphrey should
determine Bill and Sophia's life
cycle phase to be
, Whitney is designing her new II only
email template which will reflect
her recent certification as a CFP
professional. Under her name,
she has identified herself as a
CFP™. In a tagline at the bottom
of the template, she advertises
herself as a "CFP expert."
According to CFP Board's
guidelines regarding how the
CFP " marks may be used, which
of the following is CORRECT?
I. Whitney has appropriately
identified herself as a CFP™.
II. Advertising herself as a CFP
expert is prohibited by CFP
Board.
Maxine, age 57, would like to Long-term goals, such as investing for retirement
retire in 10 years. Currently, her
debt is decreasing as her cash
flow and net worth are steadily
increasing. Based on Maxine's
current financial life cycle phase,
which of the following goals is
she likely to have?
Blanca, a CFP professional, has I, II, and III
recently entered into a financial
planning engagement with
Simon. As his financial planner,
which of the following are
Blanca's roles? I. Analyzing
Simon's current financial status II.
Assisting Simon in implementing
the financial plan III. Helping
Simon identify financial goals
and objectives
