1. Chapter 3: Communication and Internal Analysis Chapter 3 Communication and Internal Analysis

2.  2005 Kaplan Financial 2 Chapter 3: Communication and Internal Analysis Communication Skills Be Respectful Communication Techniques Engagement Letter

3.  2005 Kaplan Financial 3 Chapter 3: Communication and Internal Analysis Professional Liability Common Law Liability to Clients Common Law Liability to Third Parties Statutory Liability

4.  2005 Kaplan Financial 4 Chapter 3: Communication and Internal Analysis Learning Styles Auditory Visual Tactical/Kinetic

5.  2005 Kaplan Financial 5 Chapter 3: Communication and Internal Analysis Common Thinking Phases Linear Paradoxical Abstract High Cognitive

6.  2005 Kaplan Financial 6 Chapter 3: Communication and Internal Analysis

7.  2005 Kaplan Financial 7 Chapter 3: Communication and Internal Analysis Internal Analysis Life Cycle Positioning Attitudes and Beliefs Special Needs Financial Positioning Perception of Financial Situation

8.  2005 Kaplan Financial 8 Chapter 3: Communication and Internal Analysis Life Cycle Phases & Characteristics

9.  2005 Kaplan Financial 9 Chapter 3: Communication and Internal Analysis Life Cycle Phases Asset Accumulation Phase Conservation/Protection Phase Distribution/Gifting Phase

10.  2005 Kaplan Financial 10 Chapter 3: Communication and Internal Analysis Attitudes and Beliefs Risk Tolerance Levels Savings and Consumption Habits Views on Employment, Retirement, Leisure Attitude toward Government/Taxation

11.  2005 Kaplan Financial 11 Chapter 3: Communication and Internal Analysis Special Needs Divorce Remarriage Aging Parents Disabled Dependents Terminal Illness Nontraditional Families Career Change & Unemployment

12.  2005 Kaplan Financial 12 Chapter 3: Communication and Internal Analysis Financial Position Analyzing the client’s current financial position is time consuming because: Client may need to access third parties for accurate information The planner will probably have to prepare the client’s personal financial statements

13.  2005 Kaplan Financial 13 Chapter 3: Communication and Internal Analysis Financial Position (cont’d) Financial statements needed include: the balance sheet the income statement statement of change in net worth Information needed to create these statements include: Assets Liabilities Income Expenses