Question 1

What are three types of financing you have studied?

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The answer of What are three types of financing you...

Question 2

It is easier to cover monthly loan payments if you select financing with

Accepted Answer

Selecting financing with a relatively long maturity allows for smaller monthly payments, making it easier to cover loan payments. This is because the loan is spread out over a longer period of time, giving the borrower more time to pay off the loan.

Question 3

Discuss how financial planning principles will help you solve the following challenges.
A)Getting married sooner than expected
B)Starting a family
C)Having a high-paid job that you continually stress over

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Question 4

You will need to revise your financial plan periodically to

Accepted Answer

Revising your financial plan periodically is important to ensure that you are on track to meet your financial goals. Financial goals may change over time, and it is important to adjust your plan accordingly to continue working towards achieving them. It is also important to evaluate your progress and make any necessary adjustments to ensure you are staying on track. Adjusting investment goals, financial liabilities, and net worth may be part of the revision process, but the main reason to revise your financial plan is to ensure you are meeting your financial goals.

Question 5

Which of the following is not regarded as a document used for financial planning?

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Question 6

Which of the following is not related to documents used for investments planning?

Accepted Answer

Bank account balances may be important for overall financial planning, but they are not typically used to plan specific investments. The other options are all documents commonly used for investment planning.

Question 7

Withdrawals of interest from a TFSA are

Accepted Answer

Withdrawals of interest from a TFSA are tax-free. TFSA stands for Tax-Free Savings Account, and as the name suggests, all contributions and withdrawals within the account are not subject to taxes. It is important to note, however, that over-contributions to a TFSA are subject to a penalty tax.

Question 8

Which of the following cannot be protected by property and casualty insurance?

Accepted Answer

While property and casualty insurance can protect physical assets like cars, homes, and furniture, it cannot protect investments. For investment protection, a different type of insurance, such as life insurance or disability insurance, would be needed.

Question 9

Normally, making large purchases through financing can increase the amount of your

Accepted Answer

Financing a large purchase increases your assets because you acquire the item, but it does not necessarily increase your net worth, insurance, or liquid assets.

Question 10

What are four types of financial investment balances that you should monitor?

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Question 11

List five areas that affect your financial plan.

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Question 12

List three ways to protect and maintain your wealth.

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Question 13

Now that you have completed the course, discuss in detail for each component of the plan what outside assistance from advisers you will need to make your financial plan a success.

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Question 14

Which of the following is not related to documents used for planning financing?

Accepted Answer

Stock certificates represent ownership in a company and are not directly related to planning financing, unlike the other options which are related to borrowing or credit.

Question 15

To monitor your financial plan, you should

Accepted Answer

Storing all financial documents in one place makes it easier to monitor your financial plan. This allows you to have a clear view of your financial situation and make necessary adjustments to your plan. It also helps to ensure that all important documents are organized and easy to access when needed.

Question 16

Trust agreements in financial plans are normally are used for

Accepted Answer

Trust agreements are commonly used for retirement and estate planning purposes. This is because the trusts can help individuals save for retirement and also ensure that their assets are protected and passed on to their beneficiaries in accordance with their wishes after they pass away. Trusts can also be used to minimize estate taxes and provide for loved ones who may have special needs or require ongoing financial support. Therefore, option D is the best choice.

Quiz 17: Synthesis of Financial Planning - Integrating the Components of a Financial Plan