Exam (elaborations)

FP 511 EXAM AND PRACTICE EXAM NEWEST 2024 ACTUAL EXAM 180 QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+ Identify corrections to the business card displaying the following name

0 purchase

Course
FP 511

Institution
FP 511

[Show more]

Preview 4 out of 37 pages

View example

Uploaded on October 17, 2024
Number of pages 37
Written in 2024/2025
Type Exam (elaborations)
Contains Questions & answers

fp 511 exam
fp 511
fp 511 exam and practice exam newest 2024 actual

Institution FP 511
Course FP 511

EXAMINER2025 Member since 1 year 140 documents sold

2298

$20.49

Add to cart

Add to wishlist

100% satisfaction guarantee
Immediately available after payment
Both online and in PDF
No strings attached

FP 511 EXAM AND PRACTICE EXAM NEWEST
2024 ACTUAL EXAM 180 QUESTIONS AND
CORRECT DETAILED ANSWERS (VERIFIED
ANSWERS) |ALREADY GRADED A+
Identify corrections to the business card displaying the following name:

Joni J. Smith, Certified Financial Planner®

a. "Certified Financial Planner" must be changed to all capital letters.

b The ™ must be used instead of ®.

c. "Certified Financial Planner" must change to "CFP."

d. A CFP Board‒approved noun must be added. - CORRECT ANSWER-"Certified Financial Planner" must
be changed to all capital letters and the TM has to be used instead of copyright

Joseph, a licensed attorney, decided to focus more on financial planning and no longer offer divorce
advice. As a member of a team of financial advisers, Joseph's responsibilities to his client typically
include which of the following?

i. Helping the client identify and select financial goals

ii. Drafting a power of attorney for the client

iii. Analyzing the client's current course of action

iv. Monitoring whether the client is complying with a plan after implementation - CORRECT ANSWER-All
of the above - because Joseph is a licensed attorney he can draft legal documents as well

Identify the responsibilities a CFP® professional must uphold while working with another professional on
a client's behalf.

i. Communicate with the other professional about the services each will provide

ii. Monitor the professional to ensure their compliance with the Code and Standards

iii. Communicate respective responsibilities

iv. Inform the client in a timely manner if the other professional did not perform the services in
accordance with the scope of services - CORRECT ANSWER-i., iii., and iv. - CFP professionals do not have
to monitor the professional to ensure compliance with the Code and Standards

,When a client-planner engagement involves Financial Advice for which Financial Planning is required,
and the client does not enlist the planner for services, the Planner must abide by

i. Fiduciary Duty.

ii. the Code of Ethics.

iii. the Practice Standards for the Financial Planning Process.

iv. the Suitability Standard. - CORRECT ANSWER-i. and ii - in instances where the engagement involves
financial advice that requires financial planning but the client does not enlist the planners services the
planners must uphold the fiduciary duty and abide by the code of ethics but the practice standards is
not required

According to the CFP Board's Code and Ethics, under Standards of Conduct that relate to Duties Owed to
Clients, which of the following are requirements with which the CFP® certificant must comply?

i Make only recommendations that are suitable for the client.

ii. Use the CFP® mark in compliance with the rules and regulations of the CFP Board.

iii. Exercise reasonable care when supervising persons acting under the CFP® professional's direction.

iv. May not make false or misleading representations to CFP Board or obstruct CFP Board in the
performance of its duties - CORRECT ANSWER-i. only - while all of those duties are in the code they are
not all under duties owed to clients, it is important to read the questions carefully.

For example - the correct use of the CFP mark is found in teh rules related to Obligations to the CFP
board not to clients, excercising reasonable care when supervising persons acting under the CFP
professionals direction is found in duties owed to firms and subordinates, not to clients

Developing a financial plan often involves input from a team of financial advisors employed by the client.
Members of this team may include which of the following professionals?

i. A CPA

ii. A banker

iii. A private money manager

iv. An estate-planning attorney - CORRECT ANSWER-All of the above - a team of financial advisors may
include all of these professionals, this team might include other professionals as well like a life insurance
agent or a property and casualty insurance agent

Bertha, age 55, plans to retire in 10 years. Currently, her cash flow and net worth are steadily increasing
as her debt is decreasing. Based on Bertha's current financial life cycle phase, which of the following
goals is she is likely to have? - CORRECT ANSWER-- Long term goals such as investing for retirement,

,Bertha is in the conservation/protection phase. Her goals are likely more long term like investing for
retirement income

Analyze the scenario. Ling, a CFP® professional, is providing financial advice to her client. After
considering the client's goals, family medical history, tax situation, and financial resources, she develops
a financial plan that recommends that the client purchase long-term care insurance. Which statement
regarding implementation responsibilities is NOT correct? - CORRECT ANSWER-Ling is not responsible
for implementing this planning recommendation because it only involves the purchase of one single
product. Ling is responsible for implementing the recommendations unless implementation is
specifically excluded from the scope of engagement

When a client-planner engagement involves Financial Advice for which Financial Planning is required,
and the client does not enlist the planner for services, the Planner must abide by

i. Fiduciary Duty.

ii. the Code of Ethics.

iii. the Practice Standards for the Financial Planning Process.

iv. the Suitability Standard. - CORRECT ANSWER-i and ii - in instances where the engagement involves
financial advice that requires financial planning but the client does not enlist the planners services the
planner must uphold the fiduciary duty and abide by the code of ethics following the practice standards
for the FP planning process is not required

Joni J. Smith, Certified Financial Planner®

i. "Certified Financial Planner" must be changed to all capital letters.

ii. The ™ must be used instead of ®.

iii. "Certified Financial Planner" must change to "CFP."

iv. A CFP Board‒approved noun must be added. - CORRECT ANSWER-i. and ii. - the CFP board guidelines
on proper use it has to be in all caps and TM not R

Identify the actions that occur in Step 1 of the Practice Standards for the Financial Planning Process,
Understanding the Client's Personal and Financial Circumstances.

i. Obtaining qualitative and quantitative information

ii. Analyzing information

iii. Addressing incomplete information

, iv. Establishing mutually defined goals - CORRECT ANSWER-i., ii., iii., understanding the personal and
financial circumstances includes obtaining qualitative and quantitative information, analyzing
information, and addressing incomplete information

Identify the responsibilities a CFP® professional must uphold while working with another professional on
a client's behalf.

i. Communicate with the other professional about the services each will provide

ii. Monitor the professional to ensure their compliance with the Code and Standards

iii. Communicate respective responsibilities

iv. Inform the client in a timely manner if the other professional did not perform the services in
accordance with the scope of services - CORRECT ANSWER-i. iii. and iv. - duties for a CFP when working
with additional persons the CFP professional must, communicate with the other professional about the
services each will provide and their respective responsibilities and inform the client in a timely manner if
the other professional did not perform the services in accordance with the scope of services to be
provided and the allocation of responsibilities

CFP professionals do not have to monitor the practices of the other professional

Developing a financial plan often involves input from a team of financial advisors employed by the client.
Members of this team may include which of the following professionals?

i. A trust officer

ii. An estate-planning attorney

iii. A property and casualty agent

iv. A Certified Public Accountant (CPA) - CORRECT ANSWER-All of the above - a team of financial advisors
may include all of these professionals and potentially others like a life insurance agent

Illusion of Control - CORRECT ANSWER-You believe you can control the outcome of an event when you
cannot

Money illusion - CORRECT ANSWER-You have a tendency to think one dollar has the same value today,
tomorrow, and into the future, without considering inflation

Conservatism bias - CORRECT ANSWER-You initially form a rational view but fail to change that view as
new information becomes available

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 EXAMINER2025. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $20.49. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

68175 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 15 years now

Start selling

Exam (elaborations)

FP 511 EXAM AND PRACTICE EXAM NEWEST 2024 ACTUAL EXAM 180 QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+ Identify corrections to the business card displaying the following name

Document information

Subjects

Written for

Seller

Reviews received

Content preview