Deck 2: The Statement on Standards in Personal Financial Planning Services No

Question 1

Which of the following is not a PFP engagement?

A)Coordinating Engagement.
B)Implementation Engagement.
C)Monitoring Engagement.
D)Updating Engagement.

Answer 1

A

Question 2

Applicability of the SSPFPS No.1 is a _____________ part test.

A)Two.
B)Three.
C)Four.
D)Seven.

Answer 2

A

Question 3

The SSPFPS No.1 provides _____________ guidance and establishes ___________ standards for members.

A)Authoritative / service.
B)Reasoned / service.
C)Authoritative / enforceable.
D)Reasoned / enforceable.

Answer 3

C

Question 4

The CPA/PFS should document their understanding of the implementation engagement,including the roles and responsibilities of the CPA/PFS,the client,and other service providers.Documentation should include all of the following except:

A)Client's evaluation of progress toward achieving the client's financial planning goals,including whether the client's existing financial plan and specific financial recommendations should be updated.
B)Criteria that are important to the achievement of the financial planning goals being monitored.
C)Frequency and time period of measuring the clients progress toward reaching the stated goals.
D)Utilization of monitoring criteria that are appropriate to,and consistent with,the criteria used to establish the goals being monitored.

Question 5

Which of the following was used as a 'de facto' standard for CPAs by state boards of accountancy?

A)AICPA Code of Professional Conduct.
B)Investment Advisers Act of 1940.
C)Statement on Responsibilities in Personal Financial Planning Practice.
D)Statement on Standards in Personal Financial Planning Services No.1.

Question 6

The historical timeline for personal financial planning in the United States began in

A)1940.
B)1969.
C)1981.
D)2014.

Question 7

Which of the following scenarios is false regarding the applicability of the SSPFPS No.1:

A)Only when a member represents to clients that the member provides PFP services.
B)When a member engages in activities that require registration as an investment adviser under federal or state law.
C)When a member includes the CPA/PFS designation on their website.
D)When a member sells a product as a result of an engagement.

Question 8

Practice standards accomplish which of the following:
I)Outline consumer expectations of practitioners
II)Outline practitioner expectations of consumers
III)Protect consumers
IV)Protect practitioners

A)I,IV.
B)III,IV.
C)I,III.
D)II,IV.