QUESTION 6

1. Which of the following best describes integration in the context of personal financial planning?

   		Evaluating costs and benefits over time to find the best path to your goals.
   		Incorporating all members of the household into investment decision making.
   		Thoroughly diversifying investments geographically.
   		Updating the personal financial plan on a periodic basis.
   		None of the above.

10 points

QUESTION 7

1. SWOT analysis can:

   		Uncover new information.
   		Form a realistic appraisal for the planning future.
   		Lead to changes in projections or practices.
   		All of the above.
   		None of the above.

10 points

QUESTION 8

1. What is satisficing?

   		a. A method by which individuals seek a satisfactory solution only if it is optional as well.
   		b. A method by which individuals seek a satisfactory solution, not an optimal one.
   		c. A heuristic that leads individuals to sacrafice satisfying solutions in order to search for optimal solutions.
   		d. Both a and b.
   		e. Both b and c.

10 points

QUESTION 9

1. As bond maturity increases, the bond's risk:

   		Increases.
   		Decreases.
   		Does not change.
   		Sometimes increaeses and sometimes decreases.
   		Is inversely related to the value of the bond.

10 points

QUESTION 10

1. Total Portfolio Management:

   		a. Includes all assets and liabilities.
   		b. Includes financial assets and liabilities exclusively.
   		c. Includes only marketable assets and liabilities.
   		d. Both b and c.
   		e. None of the above.