Fp1 / Full Practice Exam | 80 Questions With 100 % Correct Answers | Verified

Hiba has a Power of Attorney for her brother's affairs. Select the action(s) that she can perform on behalf of her brother. [1] Sell securities. [2] Change will. [3] Purchase property [4] Change beneficiary designations. A. I and II only. B. II and III only. C. I and III only. D. II and IV only. {Ans: C. I and III only. General Feedback: A Power of Attorney grants Hiba the ability to sell securities and purchase property, but, not to change a will; the ability to change a beneficiary designation is not generally considered permissible with a Power of Attorney. Reference: Module 3, Section 5.}Select the type of insurance that can be extended, at the option of the policyholder, at the end of the term without medical evidence of insurability. A. Level term insurance. B. Decreasing term insurance. C. Convertible term insurance. D. Renewable term insurance. {Ans: D. Renewable term insurance. General Feedback: Renewable term insurance allows for the policy to be extended for another term of equal length without the insured having to provide medical evidence of insurability. Reference: Module 4, Section 2.}Which statement is true regarding the Lifelong Learning Plan? A. Students in part-time training and