DIPFS U4 SPECIMEN A 21-30

The value of a person’s income in relation to changes in the prices of goods and services in an economy is known as its:

• actual value.

• nominal value.

• real value.

• target value.

. Which two banks in the UK were taken into temporary public ownership in 2008?

• Lloyds Banking Group and HSBC.

• Lloyds Banking Group and Royal Bank of Scotland.

• Royal Bank of Scotland and Santander.

• Santander and HSBC.

What is the impact on consumers of an increased risk of flooding in England?

• An increase in property values in affected areas.

• Increase in cost of premiums.

• It is easier to get an insurance policy.

• Reduced cost of contents insurance.

Which type of financial institution was the Archbishop of Canterbury particularly keen to support?

• Building societies.

• Credit unions.

• Merchant banks.

• Payday loan companies.

The responsible investor group, Share Action, has reported that UK pension funds are investing too much in firms that are doing which of the following?

• Associating with terrorist organisations.

• Employing child labour.

• Trading extensively with Russia.

• Using carbon-intensive fuels.

Advertising by financial services providers reflects the fact that the industry is an example of:

• monopolistic competition.

• monopoly.

• oligopoly.

• perfect competition.

The primary aim of a financial services provider is to design and sell products that suit the needs of its:

• customers.

• employees.

• regulators.

• shareholders.

Strong branding for financial institutions is mainly seen as:

• a tangible asset.

• a way of reducing costs.

• an intangible asset.

• good public relations.

Which of the following is an example of public relations?

• Liaising with journalists to influence the presentation of stories.

• Paying for a series of newspaper advertisements.

• Paying for an advertisement on the radio.

• Researching customer opinions using questionnaires.

With reference to the marketing mix, which of the following Ps is exclusive to businesses operating in the service sector?

• Price.

• Process

• Product

• Profit.