Fundamentals and Insurance Flashcards
(21 cards)
Name 4 Elements of the CFP Code of Ethics
- Honesty
- Integrity
- Competence
- Diligence
Elements of Fiduciary Duty
- Loyalty
- Care
- Follow Instruction
which of the following may rarely result in the delay or denial of certification?
- Customer complaints
- Misdemeanor convictions
- Employer investigations and terminations
a. 1 only
b. 2 only
c. 1 and 3
d. 1,2,3
D
Is the CFP required to report misleading employer advertisements?
No, the CFP is required to correct misrepresentations to his clients
What defines a Recession?
6 months or two quarters of declining GDP
What defines a Depression?
18 months or 6 quarters of declining GDP
A increase in the Reserve Requirement would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Decrease
Interest Rates: Increase
A increase in the Discount Rate would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Decrease
Interest Rates: Increase
Sales of Treasuries in Open Markets would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Decrease
Interest Rates: Increase
A increase in the Excess Reserve Rate would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Decrease
Interest Rates: Increase
A decrease in the Reserve Requirement would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Increase
Interest Rates: Decrease
A decrease in the Discount Rate would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Increase
Interest Rates: Decrease
Buying of Treasuries in Open Markets would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Increase
Interest Rates: Decrease
A decrease in the Excess Reserve Rate would have what kind of effect on the Money Supply and Interest Rates
Money Supply: Increase
Interest Rates: Decrease
What debts are NOT discharged through Chapter 7 Bankruptcy
- Student and Government Loans
- 3 years of back taxes
- Alimony and Child Support
- Monies owed due to malicious acts, drunk driving, criminal fines and penalties, or embezzlement
What property is exempt from creditors?
- Homestead
- Life Insurance
- Qualified Plans
- IRAs up to $1,362,800
Which of the following would cause the demand curve to shift to the right? A) Increased savings rate B) Decreased tax rate C) Price change D) More Suppliers
B
Anytime consumers have more money in their pocket, the demand curve is going to shift up and to the right. A decrease in the tax rate puts more spending money in the consumers pocket.
5 most important types of Financial Aid Programs
- Federal Pell Grant
- Stafford Loan
- Parent Loans for Undergraduate Students (PLUS)
- Grad PLUS loan for graduate students (PLUS Direct)
- Federal Perkins Loan Program (expired 2017)
Is the Federal Pell Grant needs based? Yes/No
Yes
Is the Stafford Loan needs based? Yes/No
Subsidized - Yes
Unsubsidized - No
is the Parent Loans for Undergraduate Students (PLUS) needs based? Yes/No
No
