Friday Five – 10 July 2015 – 5 Questions in 5 Minutes
Welcome to this week’s Friday Five – 5 Questions in 5 Minutes Every Friday
What’s this all about?
It’s a bit of Friday Fun where we provide you with 5 questions relevant to a mix of CII exams. The challenge is for you to answer them in 5 minutes. Answers at the bottom of the page.
These questions relate to examinable tax year 2014/15, examinable until 31 August 2015.
- What is the correct definition of a derivative?
- A contract stating that one or two of the parties will give the other party the difference between the current value of an asset and its value at a later date
- The right to buy another type of asset at a higher price within a specified time frame
- The obligation to sell another type of asset at a higher price within a specified time frame
- The right or obligation to buy or sell another type of asset at a specified price at a specific date and time in the future
- If the economy is booming, what effect (if any) is it likely to have on the price of fixed interest securities?
- No effect
- Prices will rise
- Prices will need to be pushed up
- Prices will fall
- Assuming all of the following individuals are UK resident but non-UK domiciled which of them could claim the remittance basis without having to pay the annual tax charge? Tick all that apply
- Sarah who is aged 20
- Claire who has been resident in the UK for 5 out of the last 9 years
- Alex who is aged 16
- Leo who has unremitted overseas income for the year of £3,000
- Duncan who has unremitted overseas income for the year of £1,800
- In 2014/15, Charles has gross earnings of £160,000 and, in addition, £20,000 income from property rent. He contributes £3,000 per month to a personal pension and makes an annual gross charitable donation of £5,000. His “relevant UK earnings” for pension purposes is:
- What test is often used to assess a claim under a Long Term Care Insurance plan based on cognitive impairment?
- Mini Mental State Examination
- Activity of Daily Living assessment
- Paramedical Examination
- Cognitive Behaviour Therapy
- D – See R01 Study Text, Chp 2 Section B6B
Grab our taster mock exam paper for CII R01. Click here to download.
- D – See R02 Study Text, Chp 2 Section C1A
Grab out taster mock exam paper for CII R02. Click here to download.
- BCE – See R03 Study Text, Chp 12 Section B6B
Grab our taster mock exam paper for CII R03. Click here to download.
- C – See R04 Study Text, Chp 2.1 Section A1A
Grab our taster mock exam paper for CII R04. Click here to download.
- A – See CF8 Study Text, Chp 6 Section A2E
Grab our taster mock exam paper for CII CF8. Click here to download.
How did you find this week’s questions? Did you complete them in 5 minutes? Did you get them all correct? Do you disagree with any?
Do let us know by leaving a comment below – we promise to read them all. (Humour particularly appreciated on a Friday!)