Friday Five – 18 March – 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.

Questions

These questions relate to examinable tax year 2015/16, examinable until 31 August 2016.

1. What is the purpose of a cooling-off period?
   1. To allow the borrower sufficient time to change their mind and withdraw from a loan agreement if required
   2. To allow the lender sufficient time to consider all material facts before making an offer to the borrower
   3. To allow the intermediary sufficient time to complete their research before presenting their recommendations to the client
   4. To allow the borrower to gather all requested documentation and to complete all required paperwork

2. Which of the following is a type of credit risk?
   1. Event
   2. Downgrade
   3. Solvency
   4. Liquidity

3. Gillian has recently invested £20,000 into each of the following investments; UK listed shares, a Corporate Bond and a UK domiciled Exchange Traded Fund. What amount of Stamp Duty Reserve Tax will Gillian pay in total?
   1. Nil
   2. £100
   3. £200
   4. £300

4. Jack’s annuity has been calculated on a points system using an automated basis in relation to his lifestyle. This would indicate the purchase of:
   1. an enhanced annuity.
   2. a joint life annuity.
   3. a protected rights annuity.
   4. an impaired annuity.

5. What is an example of medical care provided by or funded by the NHS where an individual demonstrates a “primary health need”?
   1. Rehabilitation care
   2. Home help
   3. Meals on wheels
   4. Provision of equipment needed to cope on a day to day basis

Answers

1. A – See R01 Study Text, Chp 5:2, Section L1A
   Grab our taster mock exam paper for CII R01. Click here to download.

2. B – See R02 Study Text, Chp 5, Section A4
   Grab our taster mock exam paper for CII R02. Click here to download.

3. B – See R03 Study Text, Chp 7, Section B
   Grab our taster mock exam paper for CII R03. Click here to download.

4. A – See R04 Study Text, Chp 6:1 Section C2I
   Grab our taster mock exam paper for CII R04. Click here to download.

5. A – See CF8 Study Text, Chp 2 Section D
   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!)