Calculating Disposable Income and Saving Money

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What is one way that having an income enables individuals to contribute to society?

By paying for government benefits

By paying taxes (correct)

By receiving loans from banks

By employing other people

What is the primary reason for the difference in income among ethnic groups?

Government policies

Differences in job types

Lack of education and skills

Discrimination in the workplace (correct)

What is the purpose of income rules and employment rights?

To generate revenue for the government

To protect the interests of employers

To ensure fair treatment of employees (correct)

To promote business growth

What is one way that individuals can participate in the economy?

By spending money Signup and view all the answers

What is the main idea of human rights?

That everyone should be treated fairly and equally Signup and view all the answers

What is the range of salaries mentioned in the text?

£15,000 to £90,000 a year Signup and view all the answers

What is the primary factor that determines the amount of wages earned in a month?

The number of hours worked Signup and view all the answers

What is the purpose of targeted benefits?

To provide financial assistance to specific groups of people in need Signup and view all the answers

What happens to Jacob's cash flow when he stops working on Tuesday nights to study?

It decreases because he earns less due to reduced working hours Signup and view all the answers

What is a characteristic of universal benefits?

They are available to everyone regardless of circumstances Signup and view all the answers

What determines the amount of State Pension received?

National Insurance contributions Signup and view all the answers

What is the primary difference between salary and wages?

Salary is a fixed amount, while wages vary with hours worked Signup and view all the answers

What type of incomes do different members of the families receive?

A mix of earned income and benefits Signup and view all the answers

How does Richard's income differ from that of the family members who work for employers?

Richard gets paid only upon selling goods Signup and view all the answers

Which family member used to work at the docks operating a crane?

Philippe Signup and view all the answers

What was Philippe's current source of income?

State Pension and shipyard pension Signup and view all the answers

What type of income is Ben benefiting from as mentioned in the text?

Child Benefit Signup and view all the answers

Why does Richard mention his income will be less regular after retirement?

Because his goods need time to sell Signup and view all the answers

What is the main reason Marion decides to shop around for cheaper energy suppliers and reduce her expenses?

To save more money each month Signup and view all the answers

Which of the following best defines disposable income?

Income less taxes, pension payments, mortgage payments and expenses Signup and view all the answers

What is the term for all of the money coming in and out over a period of time, such as a week or a month?

Cash flow Signup and view all the answers

What determines the amount of disposable income one has?

Earnings and expenses Signup and view all the answers

What is Marion's monthly disposable income?

£604.18 Signup and view all the answers

What is the term for payments that must be made?

Expenses Signup and view all the answers

What is the primary function of money in an economy?

To act as a medium of exchange Signup and view all the answers

What is the main difference between money and income?

Money is a medium of exchange, while income is the amount received Signup and view all the answers

Why does the total money supply in an economy not equal the actual cash in circulation?

Because money moves between people and organisations in the economy Signup and view all the answers

What is the relationship between cash and money in an economy?

Cash is a subset of money Signup and view all the answers

What is an example of how money can be used to facilitate economic activity?

When a person saves money in a bank account Signup and view all the answers