Friday Five – 22 June – 5 Questions in 5 Minutes
Last updated on September 25th, 2019 at 4:20 am
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.
IMPORTANT! These questions relate to examinable tax year 2017/18, examinable by the CII until 31 August 2018. They do not relate to tax year 2018/19 which is only examinable by the CII from 1 September 2018.
- What are the alternatives for a company facing liquidation?
- Bankruptcy or winding the company up
- Administration or a voluntary arrangement
- Disqualification or removing the company from the Registrar of Companies
- Appoint a solvency practitioner or Official Receiver
- A Bond is trading below its par value, what might cause this?
- Interest rates have reduced sharply
- The coupon is below current interest rates
- The coupon is above current interest rates
- The issuer has a strong credit rating
- Tim has recently started a job with a company car and is concerned about the tax position. Which of the following would be taken into account when calculating the taxable benefit?
- Any discount offered by the car dealer
- Provision of a car phone
- The car’s level of C02 emissions
- The age of the car
- Jita wants to take a tax-free ‘pensions advice allowance’ from her SIPP. She should be aware that:
- the financial advice must be regarding her SIPP only.
- she can take £150 in a tax year subject to a maximum of three payments.
- she can take £500 each tax year until her selected retirement age.
- the payment must be paid directly to the financial adviser.
- Which of the following types of equity release products needs to take account of affordability?
- Home Reversion Plan
- Lifetime mortgage with interest payments
- Home Income Plan
- Lifetime mortgage with interest roll up
- B – See R01 Study Text, Chp 3
Grab our taster mock exam paper for CII R01. Click here to download.
- B – See R02 Study Text, Chp 1:1
Grab our taster mock exam paper for CII R02. Click here to download.
- C – See R03 Study Text, Chp 1
Grab our taster mock exam paper for CII R03. Click here to download.
- D – See R04 Study Text, Chp 1
Grab our taster mock exam paper for CII R04. Click here to download.
- B – See ER1 Study Text, Chp 2
Grab our taster mock exam paper for CII ER1. 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?
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