CEPA Overview – Complete Study Guide (Questions And
Answers)
What survey indicated that 99% of business owners at least in some way
agreed that "having a transition strategy is important for my future and the
future of my business?"State of Owner Readiness Right Ans - State of
Owner Readiness
It's important to not just tell an owner the right answer, but to ask them the
right question. Which is an example of the "right question" to ask a business
owner client? Right Ans - All of the above
Complete this sentence: A successful exit strategy balances the "____ Legs of
the Stool." Right Ans - Three
What is the cause of "sellers' cold feet" during the sale of a business? Right
Ans - Lack of personal planning
What is the first stage in the "Five Stages of Value Maturity?" Right Ans -
Identify
When ranking a business's intangible capitals, what is the main purpose of
using the common sense scoring of 1-6? Right Ans - It forces you to not
choose "average"
Which style of business owner is more likely to generate better income and
sell at a premium? Right Ans - Value Creator
The four intangible capitals (The 4 Cs) include Human, Structural, Social, and
__ capitals. Right Ans - Customer
An independent personal, financial, and business assessment correlated to
business range of value is referred to as: Right Ans - The Triggering Event
Which of the following is an example of a question owners should be asking
themselves every 90 days? Right Ans - -Do you want to keep growing or do
you want to shift focus to exiting?
-Is your business ready to transition?
, -Which exit options or hybrid options should we consider?
-All of the above
What is the second stage in the "Five Stages of Value Maturity?" Right Ans -
Protect
Value Acceleration is grounded in: Right Ans - Action
Complete the following equation: R/EBITDA x Market Multiple = ______
Right Ans - Value
"Do you want to keep growing or do you want to shift focus to exiting?" is an
example of a question owners should ask themselves every ____. Right Ans -
90 Days
What is the third stage in the "Five Stages of Value Maturity?" Right Ans -
Build
The typical business owner has ____% of their net worth tied up within their
business. Right Ans - 80%
What is a benefit of prioritizing wealth management for a business owner?
Right Ans - Tax efficiency
Insurances in place (Risk Management)
Structured cash flow
All of the above
Life insurance, health insurance, and product liability insurance all fall under
which section of the financial planning process? Right Ans - Risk
Management
Which of the following best describes the components of integrated wealth
management for individuals? Right Ans - Retirement planning, risk
management, estate planning, portfolio management
The distance between your client's current net worth and their financial goal
for post-business retirement life is referred to as the: Right Ans - Wealth
Gap
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller LeCrae. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $9.99. You're not tied to anything after your purchase.