FREE Trust and Financial Advisor Certification Questions and Answers

Question 1

A company's shareholder wealth is reflected by:

Accepted Answer

The market price per share of the firm's common stock

Answer

The number of people employed in the firm

Answer

The book value of the firm's assets less the book value of its liabilities

Answer

The amount of salary paid to its employees

Question 2

Among the many financial aspirations covered by financial goals are the following:

Accepted Answer

All of the above

Answer

Setting up a savings and investment program

Answer

Controlling living expenses

Answer

Meeting retirement needs

Question 3

These are anticipated completion dates for specific financial goals in the future. These are what?

Accepted Answer

Goal dates

Answer

Financial dates

Answer

Target dates

Answer

Due dates

Question 4

The comprehensive employee benefits package available today may include all benefits, WITH THE EXCEPTION OF:

Accepted Answer

Partial retirement plans

Answer

Dental and vision care

Answer

Subsidized employee benefit plan

Answer

Long -term care insurance

Question 5

Tax advantages are provided via flexible spending accounts and tax-deferred retirement plans. You may be able to__________ against some retirement plans.

Accepted Answer

Borrow

Answer

Spend

Answer

Lend

Answer

None of the above

Question 6

Building up resources to benefit from in retirement is merely a portion of the:

Accepted Answer

Long-term financial planning process

Answer

Life time financial planning process

Answer

Permanent financial planning process

Answer

Short-term financial planning process

Question 7

Based on how they are compensated, financial planners often fall into one of two types. ______________ charges fees based on the intricacy of the plan they produce, whereas commission-based planners are paid commissions on the financial items they sell.

Accepted Answer

Free only planners

Answer

Security planners

Answer

Commission based planners

Answer

Professional planners