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FP/101 Midterm 1) What term is used to describe people beginning to spend their wealth in their retirement years? A. disposing B. deferring C. distributing D. decumulating 2) Which of the following would be considered a savings alternative? A. a debit card B. checking account C. certificate of deposit D. a NOW account 3) Which of the following is not included in a typical financial plan? A. A fund for financial emergencies B. A retirement plan C. A plan for protecting your assets with insurance D. A career plan 4) Which of the following is not normally considered an area of personal finance? A. investments B. budgeting C. retirement planning D. choice of a marriage partner 5) For the overall U.S. market, how is inflation measured? A. change in Consumer Price Index B. change in Producer Price Index C. change in GDP D. change in Wholesale Price Index 6) Which step in the financial planning process involves developing goals? A. Step 1 B. Step 2 C. Step 3 D. None of the Above 7) Which of the following is not one of the steps in the personal financial planning process? A. Identifying and evaluating alternative strategies for achieving goals B. Developing short-term and long-term financial goals C. Implementing a plan for achieving goals D. Determining appropriate risk level of participant 8) Preparing personal financial statements is part of which of the five steps of the financial planning process? A. Develop Goals B. Analyze Your Current Financial Position C. Establish and Implement Your Plan D. None of the above 9) Which of the following is an advantage of using a debit card? ... View Full Document

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