Exam 3: General Principles of Financial Planning

Which of the following is NOT an example of one of the theoretical principles that financial counselors and financial therapists use?

In which stage of a client's life will education, employment, and debt management likely have a major impact on the client's financial status going forward?

Between the balance sheet and the income statement, which financial statement(s) is/are impacted by depreciation?

Which of the following is NOT one of the three forms of change that clients turn to financial planners to help manage?

What is the purpose of the balance sheet?

In economics, what concept explains higher prices will increase the supply of a good?

In economics, what concept is defined as a manifestation of a small price change causing a rather large change in the amount purchased?

At what point in the financial planning process should you and the client determine how you will be paid?

What, of the following, is the best way to fund a client's emergency fund?

What is the first step in the financial planning process?

In monetary policy, who controls the money supply via the required reserve ratio, open market operations, and discount rate?

What is caused by the decline of general price levels caused by the reduction in the supply of money or credit?

What is at the center of the work that financial planners do on a daily basis?

Which of the following is an example of an annuity due?

Which is NOT involved in active listening?

A small Latin American country has been running a trade deficit for the past few years. A trade deficit occurs when:

What is the usual recommendation for the size of an emergency fund?

Who should implement any recommendations you present to the client?

When should an investor purchase tangible assets?

A country's national economy has shown an 8% growth over the past 4 years. Before that, the economy moved from recession to stagnation over a period of 10 years. What is this economic fluctuation referred to?