Friday Five – 13 November – 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 2015/16, examinable until 31 August 2016.
- What does Principles Based Regulation mean?
- Instead of rules to cover every situation, general terms are issued to outline the types of behaviours expected
- The principal of each authorised firm carries the ultimate responsibility for FCA authorisation
- The FCA issues regulations to those responsible for controlled functions and it is their responsibility to cascade down the firm
- Only the main areas of compliance are supported by regulation
- If the Bank of England tightened Monetary Policy and increased short-term interest rates what effect might this have? Tick all that apply
- Increased consumer demand
- Longer-term interest rates raised
- Consumers reducing expenditure as they would be less willing to take on credit
- Lower longer-term interest rates
- On which of the following disposals would the sale proceeds be used as the disposal figure in calculating Capital Gains Tax (CGT)?
- On a commercial sale
- If an asset is given away
- On a disposal to a connected person
- On a disposal not at arm’s length
- Sally is currently paying Class 3 National Insurance contributions. This would indicate that she is:
- Contracted out of S2P.
- Earning less than the Lower Earnings Threshold.
- Rectifying a shortfall in her NI record.
- What feature of a Personal Pension plan might an individual needing long term care before age 55 be able to benefit from?
- Impaired life annuity
- Early retirement grant
- Early retirement due to ill health at any age
- Income Replacement cover
- A – See R01 Study Text, Chp 9 Section A2
Grab our taster mock exam paper for CII R01. Click here to download.
- B,C – See R02 Study Text, Chp 2 Section D2
Grab our taster mock exam paper for CII R02. Click here to download.
- A – See R03 Study Text, Chp 3 Section D1
Grab our taster mock exam paper for CII R03. Click here to download.
- D – See R04 Study Text, Chp 7 Section A1 and A5
Grab our taster mock exam paper for CII R04. Click here to download.
- C – See CF8 Study Text, Chp 4 Section A3
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!)