Business BTEC Unit 3 Exam Solution Manual Fully Solved Latest 2025 Already Passed
unit of account - Answers places value on goods and services
Means of exchange - Answers Allows us to trade
Legal tender - Answers It is a legally recognised form of payment
Store value - Answers Allows us to use in the future as it keeps its value
Personal attitudes - Answers different people are more or less likely to take risks, depending on the
reward and how you've been brought up
Life stages - Answers 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 - Answers Different cultures are affected by tradition, religion + ethical belief have different
attitudes to money
Life events - Answers Events throughout your life impact your attitude to money, these can be in or out
of your control
External influences - Answers Factors outside your control (economy) have an impact, these effect your
ability to spend and save
Interest rates - Answers Low = borrow High = Save
Remaining solvent - Answers Meet day to day expenditure + repay debts, set financial goals + save
Cash A+D - Answers A- most widely accepted form of exchange D- can be lost or stolen
Debit card A+D - Answers A- no need to carry cash D-not suitbale for small transactions
Debit card - Answers Issued by banks for payments for goods and services deducted from a current
account
Credit card - Answers Issued by financial institutions allowing customers to delay payments for good and
services
Credit card A+D - Answers A- suitable for online transactions D- can encourage over spending leading to
debt
Cheque - Answers Written order to the bank to make a payment for a specific amount of monet taken
from one persons account to another
Cheque A+D - Answers A- low risk D- can make errors, viewed as old fashioned
, Electronic transfer - Answers Payment is transferred directly from one bank account to another
Electronic transfer A+D - Answers A- proivdes record of payment D- risk of loss is incorrectly set up
Standing order - Answers Aggreement made with the bank to transfer a fixed sum of money to a 3rd
party account on a set date on a regular basis
Standing order A+D - Answers A- same amount each time making it easy to budget D- payment is taken
regardless of balance = lead to use of an overdraft facility
Pre- paid card - Answers Money uploaded onto a card
Pre- paid card - Answers A- can set budget in advance to avoid overspending D- no protection
Contactless card - Answers Card with a feature that allows money to be transferred when it touches a
contactless terminal
Contactless A+D - Answers A- gaining popularity, convinient D- only accepted for small transactions
Charge card - Answers Issued by financial institutions allowing customers to delay payments for goods
and services for a short period of time; the balance must be paid off in full when a statement is issued
Charge card A+D - Answers A- allows short period of credit D- must be paid in full each month
Store card - Answers Issued by a retial outlet so customers can delay payments for good and services but
for one store specifically
Store card A-D - Answers A- often offer loyalty schemes D- can encourage overspending
Mobile banking - Answers Ability to carry out financial transactions using a mobile device
Mobile banking A+D - Answers A- convenient D- doesn't offer all the features of online banking
Bankers Automated Payment Scheme CHAPS - Answers System which allows the transfer of payment
directly from one bank account to another
CHAPS A+D - Answers A- fast payment guaranteed within 2 hours D- limit set on amount transferred
Standard current account - Answers Noramal account offered to people with normal credit rating,
standard features
Packaged premium current account - Answers Additional features (car, house insurance, credit card
protection), additional charges
Basic current account - Answers Limited features designed for people with poor credit rating, no
overdraft, no interest on positive balances
unit of account - Answers places value on goods and services
Means of exchange - Answers Allows us to trade
Legal tender - Answers It is a legally recognised form of payment
Store value - Answers Allows us to use in the future as it keeps its value
Personal attitudes - Answers different people are more or less likely to take risks, depending on the
reward and how you've been brought up
Life stages - Answers 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 - Answers Different cultures are affected by tradition, religion + ethical belief have different
attitudes to money
Life events - Answers Events throughout your life impact your attitude to money, these can be in or out
of your control
External influences - Answers Factors outside your control (economy) have an impact, these effect your
ability to spend and save
Interest rates - Answers Low = borrow High = Save
Remaining solvent - Answers Meet day to day expenditure + repay debts, set financial goals + save
Cash A+D - Answers A- most widely accepted form of exchange D- can be lost or stolen
Debit card A+D - Answers A- no need to carry cash D-not suitbale for small transactions
Debit card - Answers Issued by banks for payments for goods and services deducted from a current
account
Credit card - Answers Issued by financial institutions allowing customers to delay payments for good and
services
Credit card A+D - Answers A- suitable for online transactions D- can encourage over spending leading to
debt
Cheque - Answers Written order to the bank to make a payment for a specific amount of monet taken
from one persons account to another
Cheque A+D - Answers A- low risk D- can make errors, viewed as old fashioned
, Electronic transfer - Answers Payment is transferred directly from one bank account to another
Electronic transfer A+D - Answers A- proivdes record of payment D- risk of loss is incorrectly set up
Standing order - Answers Aggreement made with the bank to transfer a fixed sum of money to a 3rd
party account on a set date on a regular basis
Standing order A+D - Answers A- same amount each time making it easy to budget D- payment is taken
regardless of balance = lead to use of an overdraft facility
Pre- paid card - Answers Money uploaded onto a card
Pre- paid card - Answers A- can set budget in advance to avoid overspending D- no protection
Contactless card - Answers Card with a feature that allows money to be transferred when it touches a
contactless terminal
Contactless A+D - Answers A- gaining popularity, convinient D- only accepted for small transactions
Charge card - Answers Issued by financial institutions allowing customers to delay payments for goods
and services for a short period of time; the balance must be paid off in full when a statement is issued
Charge card A+D - Answers A- allows short period of credit D- must be paid in full each month
Store card - Answers Issued by a retial outlet so customers can delay payments for good and services but
for one store specifically
Store card A-D - Answers A- often offer loyalty schemes D- can encourage overspending
Mobile banking - Answers Ability to carry out financial transactions using a mobile device
Mobile banking A+D - Answers A- convenient D- doesn't offer all the features of online banking
Bankers Automated Payment Scheme CHAPS - Answers System which allows the transfer of payment
directly from one bank account to another
CHAPS A+D - Answers A- fast payment guaranteed within 2 hours D- limit set on amount transferred
Standard current account - Answers Noramal account offered to people with normal credit rating,
standard features
Packaged premium current account - Answers Additional features (car, house insurance, credit card
protection), additional charges
Basic current account - Answers Limited features designed for people with poor credit rating, no
overdraft, no interest on positive balances
