BTEC BUSINESS LEVEL 3 EXAM Questions and
Answers Verified Solutions Latest Update
Question 1.
Outline two benefits of online banking.
Correct Answer: 24 hr access and monitor accounts in real time
Access account anywhere in the world , therefore conducting business faster
Question 2.
Discuss the differences between direct debits and standing orders
Correct Answer: Direct debit -usually will be taken on a set agreed date and Direct
Debit Guarantee protects customers
from payments taken in error
Standing order - you can cancel the standing order when
you like and customer sets it up to pay other people
Question 3.
Outline one benefit to Jenny of using a cash flow forecast.
Correct Answer: Jenny can plan expenditure and ensure she does not overspend
Question 4.
Identify two sources of advice and guidance about personal finance.
Correct Answer: citizens advice
IFA
Money advice service
Question 5.
Give two ways that customers can contact and interact with their bank.
Correct Answer: Face to face
branch
telephone
Question 6.
Discuss how useful break-even analysis can be to a small business such as
Treasures.
Correct Answer: it shows whether a product is worth selling or is too risky.
it shows how many products they need to sell to ensure a profit.
Question 7.
Outline what a 'semi-variable cost' is
Correct Answer: Part of the cost stays the same and part varies in relation to the
degree of business activity
, Question 8.
Outline what is meant by the term 'drawings' in a financial document.
Correct Answer: Drawings are assets which are taken out of a company by its
owners for personal use
Question 9.
Identify two different types of current accounts.
Correct Answer: Standard
Packaged
Premium
Question 10.
Identify two features of travel insurance
Correct Answer: Loss / theft of belongings
cancelled flight
Question 11.
Give two different types of financial institutions.
Correct Answer: Bank of England
Building societies
Banks
Question 12.
State two ways the Financial Conduct Authority (FCA) can protect consumers in
relation to personal finance
Correct Answer: Help resolve complaints from consumers
Protect consumers against fraud
Question 13.
Give two advantages to the consumer of paying monthly bills by direct debit
Correct Answer: can help you budget
immediate refunds are available for payment
errors
Question 14.
Give two disadvantages to the consumer of paying monthly bills by direct debit
Correct Answer: Could be more expensive
Could result in over payments
Question 15.
Give one reason for recording financial transactions
Correct Answer: Record/track income/inflows
Answers Verified Solutions Latest Update
Question 1.
Outline two benefits of online banking.
Correct Answer: 24 hr access and monitor accounts in real time
Access account anywhere in the world , therefore conducting business faster
Question 2.
Discuss the differences between direct debits and standing orders
Correct Answer: Direct debit -usually will be taken on a set agreed date and Direct
Debit Guarantee protects customers
from payments taken in error
Standing order - you can cancel the standing order when
you like and customer sets it up to pay other people
Question 3.
Outline one benefit to Jenny of using a cash flow forecast.
Correct Answer: Jenny can plan expenditure and ensure she does not overspend
Question 4.
Identify two sources of advice and guidance about personal finance.
Correct Answer: citizens advice
IFA
Money advice service
Question 5.
Give two ways that customers can contact and interact with their bank.
Correct Answer: Face to face
branch
telephone
Question 6.
Discuss how useful break-even analysis can be to a small business such as
Treasures.
Correct Answer: it shows whether a product is worth selling or is too risky.
it shows how many products they need to sell to ensure a profit.
Question 7.
Outline what a 'semi-variable cost' is
Correct Answer: Part of the cost stays the same and part varies in relation to the
degree of business activity
, Question 8.
Outline what is meant by the term 'drawings' in a financial document.
Correct Answer: Drawings are assets which are taken out of a company by its
owners for personal use
Question 9.
Identify two different types of current accounts.
Correct Answer: Standard
Packaged
Premium
Question 10.
Identify two features of travel insurance
Correct Answer: Loss / theft of belongings
cancelled flight
Question 11.
Give two different types of financial institutions.
Correct Answer: Bank of England
Building societies
Banks
Question 12.
State two ways the Financial Conduct Authority (FCA) can protect consumers in
relation to personal finance
Correct Answer: Help resolve complaints from consumers
Protect consumers against fraud
Question 13.
Give two advantages to the consumer of paying monthly bills by direct debit
Correct Answer: can help you budget
immediate refunds are available for payment
errors
Question 14.
Give two disadvantages to the consumer of paying monthly bills by direct debit
Correct Answer: Could be more expensive
Could result in over payments
Question 15.
Give one reason for recording financial transactions
Correct Answer: Record/track income/inflows
