Whether you are preparing for your exams, or simply want to keep your knowledge up-to-date, Professional Paraplanner’s Development Zone can help.
Every month, in conjunction with Brand Financial Training, we provide a series of questions from across the syllabus which aim to test your knowledge of the financial services market, as part of your overall self development training goals and exam techniques.
The following questions relate to examinable Tax year 24/25, examinable by the CII until 31 August 2025.
You will find the answers separately under the Development Zone tab on the Professional Paraplanner website.
We hope you find our Q&A useful in achieving your qualifications.
QUESTION
1. Which of the following could be deemed as having a restricted capacity to contract?
i) Amy who is aged 16
ii) Laura who has a diagnosed mental health condition
iii) Aiden who is deemed to have limited experience
iv) Phil who is under the influence of alcohol
A. i only.
B. i and ii only.
C. i and iii only.
D. i, ii, and iv only.
2. Alex has a Junior ISA held on a platform. He can gain access to the funds when he reaches age
A. 16
B. 17
C. 18
D. 19
3. In assessing if Janine is employed or self-employed, which of the following might generally indicate that she is employed?
A. Her work is highly skilled and she works without supervision.
B. She would expect to be shown how to perform new tasks.
C. Her contract is to provide services.
D. She works with many organisations although her role is broadly similar.
4. State Pensions are funded on a ‘pay as you go’ basis. This means that
A. revenue raised from income tax is used to pay for the State pensions of today.
B. the current working population pay into their future National Employment Savings Trust (NEST) benefits.
C. national insurance contributions of the current working population pay for State pensions of today.
D. revenue raised from all the forms of direct taxation is used to pay for State pensions of today.
5. Caroline held an own life with-profits life assurance policy. On her death, the amount payable on the claim may vary depending on
A. the amount of premiums paid over the term.
B. her age at death.
C. the basic sum assured.
D. the exact date of death.
6. A company’s share is trading at 340p. They have recently paid a dividend of 14p per share. What is the dividend yield?
A. 2.42%
B. 2.43%
C. 3.40%
D. 4.12%
7. When considering liquidity issues relating to a portfolio, investors should be aware that this refers to
A. the issuer of a security being unable to repay capital or interest.
B. a new government changing fiscal policy.
C. investors forced to sell a security at a price below its fair value.
D. the value of sterling appreciating against a foreign currency.
8. Fiona, age 70, has been assessed as needing care in a care home, and is about to move into a home in Scotland on a self-funded basis. What financial assistance can she expect to receive?
A. Flat rate contributions towards both nursing care and personal care.
B. A flat rate contribution towards nursing care only.
C. The personal expenses allowance.
D. A flat rate contribution towards personal care only.
9. Which product normally provided the income element of a Home Income Plan?
A. Unit trust.
B. Investment Bond.
C. Fixed interest securities.
D. Annuity.
10. Paul has total taxable income of £60,000. This consists of £50,000 employment income and £10,000 rental income. He has recently sold his buy-to-let property, making a gain of £90,600, incurring costs of £7,400. How much capital gains tax can Paul expect to pay?
A. £18,528
B. £19,248
C. £21,616
D. £22,456
“Need help with your CII exams? For resources including mock exam papers and e-mocks, calculation workbooks, revision notes, audio masterclasses and video tutorials do visit Brand Financial Training at https://brandft.co.uk and don’t forget to download your free taster versions!”
