Supplementary Financial Analysis Test Questions
Supplementary Financial Analysis Test Questions
Agents should prepare to answer any of the following questions. At least one will appear on the final test. 1. Why is it important to distinguish between operating and capital expenses? 2. What is Return on Equity? 3. Describe a situation in which ROE could be relevant to a client conversation. 4. What is discounted cashflow analysis? 5. Describe a situation in which Discounted Cashflow Analysis could be relevant to a client conversation. 6. What is an Internal Rate of Return (IRR)? 7. Describe a situation in which IRR could be relevant to a client conversation.