Quiz Understanding the Financial Planning Certification Exam Part 1 Lesson 4
1. What is one of the key requirements for taking the Financial Planning Certification Exam?
A. Agreeing to certain rules of conduct and ethical procedures
B. Submitting a financial plan
C. Having a college degree
D. Providing character references
2. What action can the Board of the Financial Planning Authority take if you provide false information on your
certification application?
A. Issue a warning
B. Suspend your certification
C. Provide additional training
D. Ignore the discrepancy
3. How are disciplinary actions initiated against a certified financial planner?
A. Through an online forum
B. By written notice from the Board
C. Through a phone call
D. By email notification
4. What happens if a certified financial planner fails to respond to a notice of investigation from the Board?
A. Nothing
B. Private censure
C. Public censure
D. Suspension
5. How soon must a certified financial planner notify the Board of a felony charge?
A. 10 days
B. 20 days
C. 30 days
D. 40 days
6. What happens if a certified financial planner observes another planner violating ethical standards?
A. Nothing
B. They must report it to the Board
C. They should ignore it
D. They should confront the planner directly
7. Which of the following may lead to disciplinary action against a certified financial planner?
A. Filing for bankruptcy
B. Getting married
C. Buying a new car
D. Changing employers
8. What is the procedure if a disciplinary action is brought against a certified financial planner?
A. No procedure exists
B. Written notice, hearing, decision, appeal
C. Verbal warning
D. Immediate suspension
9. What may happen if a certified financial planner does not act as a fiduciary in their client’s best interest?
A. Private censure
B. Public censure
C. Nothing
D. Suspension
10. What could be a consequence if a certified financial planner borrows money from a client?
A. Private censure
B. Public censure
C. Temporary suspension
D. Permanent ban
11. Which of the following could result in revocation of certification?
A. Not continuing with continuing education
B. Borrowing from a client
C. Making a recommendation that violates suitability requirements
D. Failing to disclose information to the board
12. How long is the certification suspended if a certified financial planner is convicted of fraud involving
professional activities?
A. 6 months
B. 1 year
C. 1 year and 1 day
D. 2 years
13. What happens if a certified financial planner fails to engage with a client with a written financial planning
agreement?
A. Private censure
B. Public censure
C. Nothing
D. Suspension
14. What is the first step in the enforcement process against a certified financial planner?
A. Issuing a public notice
B. Conducting an investigation
C. Suspending the certification
D. Providing a written order
15. What must a certified financial planner do if terminated by their employer?
A. Nothing
B. Report it to the Board
C. Ignore it
D. Find a new job
16. Which of the following may lead to a public censure?
A. Not meeting with the practice standards
B. Filing for bankruptcy
C. Keeping accurate books and records
D. Completing continuing education requirements
17. What is the consequence if a certified financial planner uses the certification trademark inappropriately?
A. Private censure
B. Public censure
C. Temporary suspension
D. Revocation
18. How does a certified financial planner appeal a decision by the Board?
A. By filing a complaint
B. By writing a letter
C. By submitting a petition
D. By sending an email
19. What action can the Board take if a certified financial planner fails to disclose information?
A. Provide additional training
B. Issue a warning
C. Private censure
D. Public censure
20. What is the consequence if a certified financial planner loses their professional license?
A. Suspension
B. Public censure
C. Revocation
D. Warning
Quiz Understanding the Financial Planning Certification Exam Part 1 Lesson 4
Answer Key:
1. A. Agreeing to certain rules of conduct and ethical procedures.
2. B. Suspend your certification.
3. B. By written notice from the Board.
4. C. Public censure.
5. C. 30 days.
6. B. They must report it to the Board.
7. A. Filing for bankruptcy.
8. B. Written notice, hearing, decision, appeal.
9. B. Public censure if you do not act as a fiduciary in your client’s best interest.
10. D. Permanent ban.
11. C. Making a recommendation that violates suitability requirements.
12. C. 1 year and 1 day.
13. B. Public censure if you don’t engage with the client with a written financial planning agreement.
14. B. Conducting an investigation.
15. B. Report it to the Board.
16. B. Filing for bankruptcy.
17. B. Public censure if you use the certification trademark inappropriately.
18. C. By submitting a petition.
19. D. Public censure if you fail to disclose information to the board.
20. C. Revocation of your certification if you lose your professional license.
End Of Quiz Understanding the Financial Planning Certification Exam Part 1 Lesson 1
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