WorksheetsUnit 1.5.4 Economy and Business
Total questions: 10
Worksheet time: 5mins
If the economy is growing, the economic climate is _______.
Positive
Negative
When unemployment is high, businesses are affected because?
Less potential employees in the market which they can recruit
They will have to pay employees more
More potential employees in the market which they can recruit
People have more money to spend
If inflation increases and wages do not rise at the same rate, what happens to consumer spending power?
Increases
Decreases
Remains the same
What typically happens when consumers have high levels of income?
The number of products purchased goes down
Consumers have more money to spend
The number of products purchased goes up
Consumers have less money to spend
The interest rate set by the Bank of England is known as?
The minimum rate
The charge rate
The bank rate
The base rate
When interest rates are low, people are more likely to ______ their money.
Save
Spend
VAT stands for?
Very Allowable Tax
Value Adjusted Tax
Value Added Tax
Virtual Added Tax
Which type of government tax do individuals pay to cover their state pension?
National insurance
Income tax
Excise duties
Council tax
The measure of the value of one currency in another currency is known as?
Excise duties
Business rates
VAT
Exchange rate
If a business has £300 and the exchange rate is £1 = $1.25, what is the £300 worth in dollars?
$325
$352
$357
$375
