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. CFP Ethical principles






2. Opportunities in Financial Planning






3. EBIT






4. Working Capital






5. Social Styles






6. Domains of a CFP






7. Book Value (of company stock)






8. Holding Period Return






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






10. Sustainable Growth Rate






11. PEG ratio






12. aka Net Income






13. Solvency Ratio






14. The payout ratio






15. Net Cash Flow






16. Asset Turnover Ratio






17. Liquidity Ratio






18. Types of Understanding Responses Associated With Active Listening






19. After-tax Yield






20. Quick Ratio (aka Acid test)






21. The retention ratio






22. Types of Leading Responses






23. 'normal' ratio






24. financial life cycle






25. Savings Ratio






26. Assets to Equity ratio






27. Cash Ratio






28. P/E ratio






29. Gross Investment income






30. Debt to Equity ratio






31. Net Investment Income






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






33. Present value of a Bond






34. Times Interest Earned






35. Net After Tax Profit Margin






36. Major CFP Planning Areas






37. Debt Service Ratio






38. After-tax Return






39. Equivalent Tax Credit






40. Equivalent Tax Deduction






41. Total Debt to Equity ratio






42. Current Yield of a bond


43. financial planning pyramid






44. Attributes of Effective Advisor communiations






45. Current Ratio






46. ROE (Return On Equity)