CDFA Exam Questions and Answers
In a divorce settlement, what mistake is commonly made by financial
professionals without proper training?
Considering the tax consequences of the sale of property
Considering investment returns
Considering inflation
Considering only an equal division of property
✓ ~~~Considering only an equal division of property
Which of the following is a common mistake that divorcing couples make?
Failing to consider the tax consequences of an early withdrawal
from a retirement account
Dividing a joint checking account to obtain an equitable
distribution of assets
Using the cost basis to determine taxes on the sale of property
Failing to consider the taxes due on child support payments
, ✓ ~~~Failing to consider the tax consequences of an early withdrawal from a retirement
account
From a client's perspective and without regard to the cost, at which of the
following times should an individual hire a CDFA professional?
When considering getting a divorce
After meeting with an attorney
After filing a petition for divorce
Prior to a final judgment for divorce
✓ ~~~When considering getting a divorce
Which of the following is NOT an appropriate service that CDFA professionals can
provide?
Determine the financial impact of the proposed settlement.
Provide litigation support relating to financial issues.
Prepare a report showing the financial impact of one spouse
keeping the family home.
Prepare business valuations and analysis.
✓ ~~~Prepare business valuations and analysis.
Which of the following is NOT a reason for a CDFA professional to interview
,clients?
To collect financial data
To develop a budget
To complete answers to interrogatories
To help them identify their financial goals, including retirement
objectives
✓ ~~~To help them identify their financial goals, including retirement
objectives
Jacob is divorcing his wife, Andrea. Jacob has hired Michelle, a CDFA
professional, to work on his divorce case. Which of the following actions are
appropriate for Michelle?
Michelle will only need to analyze Jacob's financial information.
Michelle will only need to analyze Andrea's financial information.
Michelle will need to analyze Jacob's financial information and
audit Andrea's financial information.
Michelle will need to analyze the financial information for both
Jacob and Andrea.
, ✓ ~~~Michelle will need to analyze the financial information for both
Jacob and Andrea.
An individual who is trained to calculate statistically risks, premiums, and life
expectancies for insurance and pension plans is referred to as a/an
_______________.
✓ ~~~
A ________________ is an individual who has been trained to assist
people in coming to an agreement.
✓ ~~~
A CDFA professional is able to give legal advice under which of the following
conditions?
The advice must be limited to the division of marital assets and
debts.
A CDFA professional is not able to give legal advice under any
conditions.
The CDFA professional must seek and obtain permission from the
client's lawyer before giving legal advice.
The advice must be limited to recommending levels of spousal
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