Unit 1 Everyday Banking and Budgeting Quiz

Which of the following is a function of money? A means of:

• ensuring stability of value.

• exchange.

• guaranteeing credit.

• improving a person’s credit rating.

For money to function as intended, it needs to be:

• acceptable.

• fixed in value.

• no older than five years.

• unrecognisable.

Where are banknotes issued in Northern Ireland legal tender?

• England and Northern Ireland.

• England, Scotland, and Northern Ireland.

• Northern Ireland only.

• They are not legal tender anywhere.

British banknotes have a promise on them to ‘pay the bearer on demand the sum of’ followed by the amount of money the banknote represents. This promise is signed by the:

• Chancellor of the Exchequer.

• Chief Cashier of the Bank of England.

• Governor of the Bank of England.

• Prime Minister.

At which of the following stages of the personal life cycle is a person aged 25 years?

• Childhood.

• Teenager.

• Young adult.

• Mature adult.

What age range is generally described as the middle age stage of the personal life cycle?

• 18-25.

• 26-40.

• 41-54.

• 55-65.

Which of the following is most likely to be affected by major external influences during the middle-age to late-middle-age stage of the personal life cycle?

• Early retirement.

• Going to university.

• Learning to drive.

• Starting a family.

Which of the following is an external factor during the personal life cycle that will significantly affect an individual's position?

• Being made redundant.

• Deciding to start a family.

• Getting married.

• Starting a new business.

The interest rate quoted on a savings account is indicated by which of the following?

• AER.

• APR.

• EAR.

• RPI.

Which of the following is usually a feature of a savings bond?

• It is for a set period of time.

• It pays a lower rate of interest than an instant access account.

• The rate of interest is variable.

• Withdrawals of funds are not restricted.