Financial counselors or advisors must establish and maintain the advisor-client relationship based on their ability to:

Question 5 options:

	Understand financial statements.
	Communicate effectively.
	Bring in business.
	Calculate earnings.

Which of the following is inconsistent with respect to the gamblers fallacy?

Question 14 options:

	Because each flip of a coin is a separate action, the probability of the coin flip, using the gamblers fallacy, changes drastically from fifty (50%) percent.
	When watching successive coin flips, if heads is the result successively, the belief is that the odds of that continuing to happen are lesser, and therefore it is a better probability to bet on tails.
	None of these answers.
	The gamblers fallacy has nothing to do with probabilities.

Which of the following does not describe anchoring?

Question 10 options:

Conservatism or belief perseverance.

Anchoring is fairly common in situations where decisions are being made that are novel or new to the decision maker.

Attaching ones thoughts to a reference point even though there may be no logical relevance or is not pertinent to the issue in question.

Anchoring is fairly common in situations where decisions are being made that are repetitive and customary.

Which of the following best describes Behavioral Finance?

Question 13 options:

	Behavioral Finance is very similar to Traditional Finance in its asset pricing models and portfolio theories.
	Behavioral Finance concepts are more developed than Traditional Finance.
	Behavioral Finance streamlined financial data.
	Traditional Finances introduction of scientific method into financial analysis has some benefit to Behavioral Finance.