BTEC Business Personal
Finance 2026 | Study
Guide, Practice Questions,
Answers, Rationales &
Exam Review | Complete
Ethics Study Guide
Updated 2026 Questions and Answers
100% Verified Exam Prep and Comprehensive
Rationales
Included
, Functions and role of money Money flowing in and out- it comes in your account and money comes out your
account
store of value It allows us to use it in the future as it keeps its value
Legal tender It is legally recognized form of payment- old £1 getting rid of
Role of money is affected by a wide number of factors. individuals may change their attitude to
money based on their situation they find themselves in
Personal attitudes individuals that will vary in their attitudes to risk and reward as well as savings and
borrowing.
Life stages As you grow up from childhood to adulthood, your financial needs change, each
stage of your life has different implication that will affect not just your needs but also
your attitude to money.
Culture affected by tradition, religion and ethical beliefs, will have different attitudes to
money. The older generation of Chinese people, for example have a culture a
saving.
Life events Events throughout your life will impact on your attitude to money. These events may
be within your control, for example going to university, travelling abroad, getting
married or starting a family or any be outside your control, example illness, financial
gains and losses
External influences Factors outside your control, including the state of the economy. For example the
state of the economy will impact on wages, availability of jobs and the prices of
goods and services. Decisions by the government will affect the amount of the tax
you pay or the amount you receive in benefits. These all directly affect your ability to
spend and save
Interest rates cost of borrowing money or the reward for saving money
If interest rates are low maybe more willing to borrowing money or spend on credit,
when interest rates are high there is more of an incentive to save
Debt money that you owe
credit rating a score given to individual of how likely they are from previously debt based on your
previous action
Finance 2026 | Study
Guide, Practice Questions,
Answers, Rationales &
Exam Review | Complete
Ethics Study Guide
Updated 2026 Questions and Answers
100% Verified Exam Prep and Comprehensive
Rationales
Included
, Functions and role of money Money flowing in and out- it comes in your account and money comes out your
account
store of value It allows us to use it in the future as it keeps its value
Legal tender It is legally recognized form of payment- old £1 getting rid of
Role of money is affected by a wide number of factors. individuals may change their attitude to
money based on their situation they find themselves in
Personal attitudes individuals that will vary in their attitudes to risk and reward as well as savings and
borrowing.
Life stages As you grow up from childhood to adulthood, your financial needs change, each
stage of your life has different implication that will affect not just your needs but also
your attitude to money.
Culture affected by tradition, religion and ethical beliefs, will have different attitudes to
money. The older generation of Chinese people, for example have a culture a
saving.
Life events Events throughout your life will impact on your attitude to money. These events may
be within your control, for example going to university, travelling abroad, getting
married or starting a family or any be outside your control, example illness, financial
gains and losses
External influences Factors outside your control, including the state of the economy. For example the
state of the economy will impact on wages, availability of jobs and the prices of
goods and services. Decisions by the government will affect the amount of the tax
you pay or the amount you receive in benefits. These all directly affect your ability to
spend and save
Interest rates cost of borrowing money or the reward for saving money
If interest rates are low maybe more willing to borrowing money or spend on credit,
when interest rates are high there is more of an incentive to save
Debt money that you owe
credit rating a score given to individual of how likely they are from previously debt based on your
previous action
