Unit 3 SPECIMEN D 1-10

Which of the following should be a feature of an individual’s financial plan? It should be:

• only an estimate of income and expenditure.

• over a fixed time period.

• realistic.

• rigid

Which type of expenditure would a council tax payment be classed as?

• Discretionary

• Essential

• Mandatory

• Optional

Which of the following is the most suitable product to use when planning to save over a period of years, to build up a deposit for a house purchase?

• Bonds

• Cash ISA.

• Notice savings account.

• Premium bonds.

If the Bank rate starts to frequently increase, which financial product is most likely to benefit a consumer’s financial sustainability?

• Credit card.

• Fixed-rate bond.

• Fixed-rate mortgage

• Variable-rate mortgage.

Payday loan lenders are restricted from charging borrowers:

• interest.

• late fees.

• more than twice what they borrowed.

• more than what they borrowed.

Carl is 19, lives at home with his parents and is studying full time for his degree. Carl is working as a part-time delivery driver, working ten hours a week. He has recently applied for the new style Jobseeker's Allowance but was told he was not able to claim. What could be the reason for this? Carl:

• is not earning enough to pay tax.

• is studying full time.

• lives at home with his parents.

• works ten hours a week.

Jakob has been off sick following a car accident and has been claiming Statutory Sick Pay (SSP). He has been told that this will end soon. What could be a possible reason for this?

• Jakob is now too old to claim.

• SSP does not cover accidents.

• SSP is paid for a maximum of 8 weeks.

• SSP is paid for a maximum of 28 weeks.

Mark, 31, is single and has been unable to work for a year due to illness. Mark also rents a single room within a house. Which of the following benefits could Mark be entitled to?

• Attendance Allowance and Jobseeker’s Allowance.

• Attendance Allowance and Statutory Sick Pay

• Universal Credit and Employment and Support Allowance.

• Universal Credit and Statutory Sick Pay.

In PESTEL analysis, changes to interest rates, inflation and exchange rates are all which type of factor?

• Economic.

• Legal.

• Political.

• Social.

Which of the following has the government encouraged banks to help combat financial and social exclusion?

• Basic bank accounts.

• Cash ISAs.

• Competitive credit cards

• Low interest-rate personal loans.