Name: Score:
217 Multiple choice questions
Term 1 of 217
The most effective way to work with a family is to only work with them during triggering or
participating events? (T/F)
b. False
a. True
d. the triggering event
b. medically necessary services and preventative services
Term 2 of 217
You are the accountant for a client planning to sell their company; you have reviewed the financial
statements and have gone through the most likely exit options with the client. You brought in a
M&A professional, but they said that it is not the right time yet. What are the first two steps that
must be completed by you, the M&A professional, or another Exit Planning Advisor professional
before a M&A professional can successfully market the company?
ESOP, sale to management, sale to strategic buyer
d. Business, Financial, and Personal
A valuation and business, personal, and financial assessment
b. Nevada Incomplete Non-Grantor Trust
,Term 3 of 217
Which of the following statements about estate planning is false?
Estate planning is irrelevant for small business owners
Estate planning is solely about distributing assets after death
Estate planning is concerned with analyzing and planning for the business owner's
personal, financial, and professional controlled departure from the business
Estate planning only focuses on tax minimization strategies
Term 4 of 217
What is the first step in the Decide gate of the Value Acceleration Methodology?
Identify potential buyers for the business
Ask if you want to keep growing or if you want to exit
Determine the current market value of the business
Create a detailed financial report for stakeholders
Term 5 of 217
When would you use /prepare a business valuation?
a. selling a business to a third party
b. transferring ownership to a family via gifting
c. establishing value for estate tax determination
d. all of the above (correct)
83%
c. Inside and Outside
Statistical modeling
,Term 6 of 217
What is a control premium?
The premium a buyer is willing to pay to own a controlling interest in a company
An additional tax imposed on corporate acquisitions
A fee charged for minority shareholders
A discount applied to all stock transactions
Term 7 of 217
What are the benefits for the business owner and family for integrating charitable contributions?
a. Wanting to transfer values and purpose, not just assets
b. Creating intergenerational common ground to collaborate, make joint decisions, gain
confidence, develop/fulfill potential c. Developing an emotional and functional bridge
between wealth, purpose, and society
d. All of the above (correct)
a. Unused debt capacity
b. Capable management
c. Well established company with predictable cash flows
d. All the above (correct)
a. A specific set of behaviors and techniques that companies need to master in order to
have a competitive advantage
a. portfolio management
b. retirement planning
c. risk management
d. estate planning
e. all of the above (correct)
, Term 8 of 217
Creating action plans is associated with which activity of Relentless Execution?
d. Alignment
b. research and analysis
c. Applicability
b. Accessibility
Term 9 of 217
What is the best definition of the Triggering Event as defined by EPI?
Correlation of a business valuation to a personal, financial, and business assessment which
promotes action by the owner
A sudden change in market conditions that affects all businesses equally
a. The owner of the company
b. The owner's spouse
c. The owner's adult children
d. The owner's children's spouses
e. All of the above (correct)
A legal requirement for all business owners to assess their financial status annually
217 Multiple choice questions
Term 1 of 217
The most effective way to work with a family is to only work with them during triggering or
participating events? (T/F)
b. False
a. True
d. the triggering event
b. medically necessary services and preventative services
Term 2 of 217
You are the accountant for a client planning to sell their company; you have reviewed the financial
statements and have gone through the most likely exit options with the client. You brought in a
M&A professional, but they said that it is not the right time yet. What are the first two steps that
must be completed by you, the M&A professional, or another Exit Planning Advisor professional
before a M&A professional can successfully market the company?
ESOP, sale to management, sale to strategic buyer
d. Business, Financial, and Personal
A valuation and business, personal, and financial assessment
b. Nevada Incomplete Non-Grantor Trust
,Term 3 of 217
Which of the following statements about estate planning is false?
Estate planning is irrelevant for small business owners
Estate planning is solely about distributing assets after death
Estate planning is concerned with analyzing and planning for the business owner's
personal, financial, and professional controlled departure from the business
Estate planning only focuses on tax minimization strategies
Term 4 of 217
What is the first step in the Decide gate of the Value Acceleration Methodology?
Identify potential buyers for the business
Ask if you want to keep growing or if you want to exit
Determine the current market value of the business
Create a detailed financial report for stakeholders
Term 5 of 217
When would you use /prepare a business valuation?
a. selling a business to a third party
b. transferring ownership to a family via gifting
c. establishing value for estate tax determination
d. all of the above (correct)
83%
c. Inside and Outside
Statistical modeling
,Term 6 of 217
What is a control premium?
The premium a buyer is willing to pay to own a controlling interest in a company
An additional tax imposed on corporate acquisitions
A fee charged for minority shareholders
A discount applied to all stock transactions
Term 7 of 217
What are the benefits for the business owner and family for integrating charitable contributions?
a. Wanting to transfer values and purpose, not just assets
b. Creating intergenerational common ground to collaborate, make joint decisions, gain
confidence, develop/fulfill potential c. Developing an emotional and functional bridge
between wealth, purpose, and society
d. All of the above (correct)
a. Unused debt capacity
b. Capable management
c. Well established company with predictable cash flows
d. All the above (correct)
a. A specific set of behaviors and techniques that companies need to master in order to
have a competitive advantage
a. portfolio management
b. retirement planning
c. risk management
d. estate planning
e. all of the above (correct)
, Term 8 of 217
Creating action plans is associated with which activity of Relentless Execution?
d. Alignment
b. research and analysis
c. Applicability
b. Accessibility
Term 9 of 217
What is the best definition of the Triggering Event as defined by EPI?
Correlation of a business valuation to a personal, financial, and business assessment which
promotes action by the owner
A sudden change in market conditions that affects all businesses equally
a. The owner of the company
b. The owner's spouse
c. The owner's adult children
d. The owner's children's spouses
e. All of the above (correct)
A legal requirement for all business owners to assess their financial status annually
