LIBF Unit 1 E-test Revision Test 1. Exam Question & Answers, rated A+

LIBF Unit 1 E-test Revision Test 1. Exam Question & Answers, rated A+ What customers will directly benefit of interest rates rise? - -People with a variable rate cash isa The financial services (banking reform) bill includes the concept of ring fencing. For a bank this means: - -Separating everyday banking activities from investment banking activities What do u have to provide to a bank for proof of address when opening a bank account? - -A water bill issued two months ago The consumer credit act provides protection for goods and services paid for with a credit card, up to a maximum value of.... - -£30,000 How many attempts does a debit card holder have to enter their correct pin before a transaction is declined? - -Three Is it true that discretionary expenses should be shown in a cash flow forecast? - -Yes it is! National savings & investments (NS&I) products are guaranteed by..... - -HM treasury What body has an objective to promote the safety and soundness of financial providers? - -The prudential regulation authority (PRA) Who does the financial conduct authority report directly to? - -HM treasury If a bank wishes to close someone's bank account, how much notice must the bank give the account holder? - -Two months Is it true or false that a cash flow forecast is used to calculate the monthly net cash position? - -True Who is responsible for deducting income tax and national insurance from employees pay? - -Their employer Is it true that someone with a good credit history has never borrowed money? - -No it's false! What defines the amount a person can earn before they have to pay income tax? - -Personal allowance An example of a coincidence of wants... - -Roy has for be goats and would like ten sheep. James has ten sheep and would like five goats. This means an exchange can take place. What term describes the value of an amount of money? - -Purchasing power From the past, what is a disadvantage of using shells as a medium of exchange? - -They were not divisible. What is considered to be money in the UK? - -An electronic balance (not a charge card, a cheque or a debit card)! During which personal life cycle stage is an adult most likely to rely on the state for their care and well-being? - -Old age. Margo lives in England and has outstanding unsecured debts of 16 grand. She cannot make the repayments and wishes to have the debts written off. She can use a debt relief order to achieve this. True or false? - -False