Test your basic knowledge |

CFP: Certified Financial Planner

  • 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. The payout ratio


3. Gross Investment income

4. Net After Tax Profit Margin

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

6. Liquidity Ratio

7. Working Capital

8. After-tax Return

9. Holding Period Return

10. aka Net Income

11. Book Value (of company stock)

12. Total Debt to Equity ratio

13. After-tax Yield

14. Major CFP Planning Areas

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

16. Assets to Equity ratio

17. 'normal' ratio

18. Debt Service Ratio

19. Times Interest Earned

20. CFP Ethical principles

21. Opportunities in Financial Planning

22. Attributes of Effective Advisor communiations

23. Cash Ratio

24. Net Investment Income

25. Equivalent Tax Credit

26. Savings Ratio

27. Types of Leading Responses

28. Social Styles

29. Present value of a Bond

30. ROE (Return On Equity)

31. P/E ratio

32. Sustainable Growth Rate

33. Equivalent Tax Deduction

34. financial planning pyramid

35. Quick Ratio (aka Acid test)

36. Types of Understanding Responses Associated With Active Listening

37. Net Cash Flow

38. The retention ratio

39. Asset Turnover Ratio

40. Debt to Equity ratio

41. Solvency Ratio

42. Current Ratio

43. PEG ratio

44. financial life cycle

45. Domains of a CFP

46. Current Yield of a bond