1.2 - Personal Life Cycle

Question 1

aspirations

Answer 1

Things or experiences people would like to have in the future

Question 2

assets

Answer 2

things a person or business owns

Question 3

bank rate

Answer 3

the interest rate that the Bank of England uses when it lends money to other banks

Question 4

demographic changes

Answer 4

changes to size and structure of the population

Question 5

demographic changes

Answer 5

changes to size and structure of the population

Question 6

economic boom

Answer 6

a period when the country is producing and selling and increasing amount of goods and services

Question 7

interest rate

Answer 7

the amount that a financial services provider chargers a borrower when it lends money, or pays to a saver

Question 8

investments

Answer 8

money paid into financial products

Question 9

life assurance

Answer 9

a type of insurance policy that pays out a sum of money if the insured person dies

Question 10

life cycle

Answer 10

stages through which people pass between birth and death.

Question 11

life expectancy

Answer 11

number of years on average people are expected to live depending on the year they were born

Question 12

mortgage

Answer 12

a loan taken out to pay for a property, usually over a long term such as 25 years

Question 13

national insurance contributions

Answer 13

money deducted from the pay of people who are employed or self-employed and used by the government to fund state pensions and other benefits

Question 13

needs

Answer 13

things that people need to survive

Question 14

office for national statistics

Answer 14

the independent organisation that produces statistics on aspects of life in the uk (life expectancy)

Question 15

pension

Answer 15

income that people receive after retiring from work

Question 16

recession

Answer 16

a period of at least 6 months where the goods and services the country is producing is shrinking

Question 17

redundancy

Answer 17

losing a Jon because the business no longer needs, wants or can afford that job to be done

Question 18

risk averse

Answer 18

reluctant to take any kind of risk

Question 19

risk tolerant

Answer 19

willing to take risks

Question 20

shares

Answer 20

investments that represent part-ownership of a company

Question 21

wants

Answer 21

things that people would like to have but can survive without

Question 22

will

Answer 22

a legal. document setting out what a person wants to happen to their belongings after their death