Test your basic knowledge |

CFP: Certified Financial Planner

Instructions:
  • Answer 46 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Solvency Ratio






2. Net Investment Income






3. Debt to Equity ratio






4. Social Styles






5. Arithmetic Mean Return; T = Terminal period; good for comparing different investments






6. Present value of a Bond






7. financial life cycle






8. Sustainable Growth Rate






9. CFP Ethical principles






10. After-tax Yield






11. ROE (Return On Equity)






12. Savings Ratio






13. Net Cash Flow






14. Assets to Equity ratio






15. Attributes of Effective Advisor communiations






16. Types of Understanding Responses Associated With Active Listening






17. Times Interest Earned






18. financial planning pyramid






19. Major CFP Planning Areas






20. The payout ratio






21. Current Ratio






22. Debt Service Ratio






23. Equivalent Tax Deduction






24. Net After Tax Profit Margin






25. Opportunities in Financial Planning






26. The retention ratio






27. Cash Ratio






28. 'normal' ratio






29. Types of Leading Responses






30. PEG ratio






31. aka Net Income






32. Equivalent Tax Credit






33. P/E ratio






34. EBIT






35. After-tax Return






36. Holding Period Return






37. Current Yield of a bond






38. Domains of a CFP






39. Liquidity Ratio






40. Real Return (inflation adjusted); NR = Nominal Return; CCL = Change in Cost of Living (inflation rate)






41. Total Debt to Equity ratio






42. Quick Ratio (aka Acid test)






43. Asset Turnover Ratio






44. Gross Investment income






45. Working Capital






46. Book Value (of company stock)