Question 1

At age 65, what is the average life expectancy of a man?

Accepted Answer

A)   4 years
B)   7 years
C)   9 years
D)   12 years
E)   18 yearsF) A) and D)
G) A) and C)

Question 2

To stretch your income during retirement, you could

Accepted Answer

A)   skip leisure activities.
B)   cut your food expenditures.
C)   cancel your life and property insurance.
D)   use your skills and time instead of your money.
E)   not travel.F) C) and E)
G) A) and B)

Question 3

A(n)  ____________ is appealing because it allows people to stay in their homes as they grow older and frail.

Accepted Answer

A)   accessory apartment
B)   caretaker arrangement
C)   commercial rental
D)   universal design home
E)   congregate housingF) A) and B)
G) C) and E)

Question 4

In a reverse annuity mortgage, a lender uses your house as collateral to buy an annuity for you from a life insurance company.

Accepted Answer

A) True 
 B)False  True

Question 5

Be certain you don't let your ____________ birthday roll by without a comprehensive retirement plan.

Accepted Answer

A)   25th
B)   35th
C)   45th
D)   55th
E)   65thF) All of the above
G) D) and E)

Question 6

The first step in stretching your retirement income is to make sure you are receiving all the income to which you are entitled.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following statements is false?

Accepted Answer

A)   Payments for a life annuity can continue until death.
B)   Transfers between annuity companies are tax-free.
C)   Annuities are legitimate tax shelters.
D)   An annuity has no investment limit.
E)   Annuities provide opportunities for retirement income to grow.F) All of the above
G) D) and E)

Question 8

The contribution you are required to make to the CPP is fixed.

Accepted Answer

A) True 
 B)False

Question 9

One of the following is not an advantage of the Canada Pension Plan retirement income:

Accepted Answer

A)   earned income partially offsets benefits.
B)   forced savings.
C)   portable from job to job.
D)   cost shared with employer.
E)   survivorship rights.F) C) and E)
G) A) and C)

Question 10

You can determine your net worth by

Accepted Answer

A)   subtracting your assets from your liabilities.
B)   subtracting the value of your home from the mortgage balance.
C)   adding your liabilities and assets.
D)   subtracting your liabilities from your assets.
E)   subtracting your expenses from your income.F) B) and E)
G) A) and B) D

Question 11

Your first step in retirement planning is to:

Accepted Answer

A)   estimate your spending needs.
B)   analyze your current assets and liabilities.
C)   adjust your spending needs for inflation.
D)   evaluate your planned retirement income.
E)   determine if you'll have to work during retirement.F) D) and E)
G) A) and D)

Question 12

Your expenses for leisure activities will probably increase during retirement.

Accepted Answer

A) True 
 B)False

Question 13

When you are nearing retirement, it is a good idea to:

Accepted Answer

A)   increase the face value of your life insurance.
B)   increase your property insurance coverage.
C)   keep your life insurance intact.
D)   decrease the face value of your life insurance.
E)   swap your old life insurance policy with a new one.F) C) and D)
G) A) and D)

Question 14

Which statement is correct regarding retirement living expenses?

Accepted Answer

A)   It is impossible to estimate your spending needs.
B)   Your spending patterns will probably change.
C)   You'll use a smaller amount of money for food, housing, and medical care.
D)   Your spending patterns will probably not change.
E)   The exact amount of money you'll need can be accurately predicted.F) A) and B)
G) B) and C)

Question 15

The first step in stretching your retirement income is to make sure that you are

Accepted Answer

A)   contributing to the CPP.
B)   covered by an employer pension plan.
C)   contributing to a RRIF.
D)   saving funds in a RRSP.
E)   receiving all of the income to which you are entitled.F) B) and E)
G) All of the above

Question 16

A housing alternative for seniors that provides independent living residences for retirees or semi-retirees in a community of healthy seniors is called __________________

Accepted Answer

A)   life lease housing
B)   the Home Adaptations for Seniors' Independence Program
C)   a retirement home
D)   an adult lifestyle/retirement community
E)   the Residential Rehabilitation Assistance ProgramF) None of the above
G) B) and C)

Question 17

Your spending patterns during retirement will probably not change.

Accepted Answer

A) True 
 B)False  False

Question 18

What types of expenses might increase during retirement?

Accepted Answer

Medical expenses and...

Question 19

The Canada Pension Plan (CPP) includes disability, retirement, and survivor benefits.

Accepted Answer

A) True 
 B)False

Question 20

Which of these statements is correct about the Canada Pension Plan (CPP) ?

Accepted Answer

A)   The CPP dates back to 1996.
B)   CPP contribution is based on your age.
C)   CPP benefits decrease by 0.5 percent for each month earlier than the month of your 65th birthday should you start your benefits before age 65.
D)   The federal government matches the CPP contributions of self-employed individuals.
E)   You can begin receiving your CPP benefits at the age of 59.F) D) and E)
G) A) and B)

Exam 14: Retirement Planning

At age 65, what is the average life expectancy of a man?

Correct AnswerverifiedShow Answer

To stretch your income during retirement, you could

Correct AnswerverifiedShow Answer

A(n) ____________ is appealing because it allows people to stay in their homes as they grow older and frail.

Correct AnswerverifiedShow Answer

In a reverse annuity mortgage, a lender uses your house as collateral to buy an annuity for you from a life insurance company.

Correct AnswerverifiedTrue

Be certain you don't let your ____________ birthday roll by without a comprehensive retirement plan.

Correct AnswerverifiedShow Answer

The first step in stretching your retirement income is to make sure you are receiving all the income to which you are entitled.

Correct AnswerverifiedShow Answer

Which of the following statements is false?

Correct AnswerverifiedShow Answer

The contribution you are required to make to the CPP is fixed.

Correct AnswerverifiedShow Answer

One of the following is not an advantage of the Canada Pension Plan retirement income:

Correct AnswerverifiedShow Answer

You can determine your net worth by

Correct AnswerverifiedD

Your first step in retirement planning is to:

Correct AnswerverifiedShow Answer

Your expenses for leisure activities will probably increase during retirement.

Correct AnswerverifiedShow Answer

When you are nearing retirement, it is a good idea to:

Correct AnswerverifiedShow Answer

Which statement is correct regarding retirement living expenses?

Correct AnswerverifiedShow Answer

The first step in stretching your retirement income is to make sure that you are

Correct AnswerverifiedShow Answer

A housing alternative for seniors that provides independent living residences for retirees or semi-retirees in a community of healthy seniors is called __________________

Correct AnswerverifiedShow Answer

Your spending patterns during retirement will probably not change.

Correct AnswerverifiedFalse

What types of expenses might increase during retirement?

Correct AnswerverifiedMedical expenses and...View AnswerShow Answer

The Canada Pension Plan (CPP) includes disability, retirement, and survivor benefits.

Correct AnswerverifiedShow Answer

Which of these statements is correct about the Canada Pension Plan (CPP) ?

Correct AnswerverifiedShow Answer

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True

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D

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False

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Medical expenses and...
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