Weeks 13 – 24 Vehicle Taxation (4)

1. In England and Wales, the organisation charged with the legal responsibility for environmental protection is the:

Energy Saving Trust

Carbon Trust

Environment Agency

National Environmental Forum

2. Which city imposes a congestion charge on haulage vehicles entering a specified zone between certain hours?

London

Birmingham

Glasgow

Manchester

3. Information Technology (2) GPS is:

A standard for transmission of electronic consignment notes

A system for mobile telecommunications

A system for the use of e-mail

A system which can be used to locate the position of a vehicle

4. Commercial Conduct of Business (4) A transport operator discovers on checking through copy invoices that a customer has been overcharged. In order to correct the mistake she will send the customer a:

Debit note

Credit note

Supplementary invoice

Statement of accounts

5. Which one of the following would be considered a standing cost when costing vehicle operations?driver's bonu

Driver’s bonus

Driver’s overtime

Driver’s basic wage

Driver’s expenses

6. A Standing Order is a method of payment:

Using a banker’s cheque card

Whereby a bank will make regular fixed payment out of your account as directed

A customer can make irregular payments into your bank account

Using a credit card

7. Vehicle Costings (4) The running costs of a vehicle are determined:

On a tonnes basis

On a cost per km basis

As a daily standing cost

By specific allocation

8. Which of the following journeys involves a toll payment?

Bristol to Cardiff via M5 and M4

Oxford to Portsmouth via M40, M25 (anti-clockwise) and A3

Bristol to Brighton via M4, M25 (anti-clockwise) and M23

Goole to Leicester via M62, M18 and M1

9. A customer denies having received certain goods. You investigate and find proof that the goods were delivered. You decide to send a copy of the document he signed on receipt of the goods. Which copy document do you send him?

The invoice

An advice note

The order form

The consignment note

10. A UK haulier would require CMR insurance for which of the following journeys?

Collecting a trailer in Birmingham for delivery to Glasgow

Collecting a container for delivery to Dover Docks, where the container would be removed from the vehicle

Taking his own goods to Milan

11. A lorry on which the excise licence had expired was pushed from the yard onto the public highway for two days:

Because the vehicle was not driven an offence was not committed

The offence of using a vehicle without an excise licence was committed

No offence was committed because the vehicle was only left on the road for a short period

No offence was committed because the vehicle was not authorised on the ‘O’ licence

12. Vehicle Insurance (4) An insurance policy does not come into effect until:

A certificate of insurance or cover note is issued

A receipt for the premium is forwarded to the insured

An insurance policy is issued

The premium is received by the insurance company

13. The following forms are all used in business transactions: a. invoice b. quotation c. order d. cash receipt Which of the following indicates the correct sequence for their use?

Bcad

Dbca

Abcd

Cbad

14. A road haulage firms' costs comprise the following:

The total of the indirect costs is:

£25,000

£35,000

£40,000

£45,000

15. Ithin a company's balance sheet, which of the following is considered to be the most acceptable 'current ratio'?

0.5:1

0.8:1

1:1

2:1

16. Which of the following organisations is responsible for monitoring and enforcing legislation relating to noise pollution in relation to business premises?

Local authority for the relevant location

Noise Abatement Society

VOSA

Health & Safety Executive

17. Which of the following describes cash flow?

Cash going out of the business to cover short term liabilities

Cash receipts less debts due to the business

The net pre-tax profit made by the business

Money received into and paid out by the business

18. An Operator's motor vehicle insurance policy will be invalidated if:the business is being run by a receiver

The business is being run by a receiver

A copy of the insurance certificate has not been given to each driver

It was obtained by making a false statement

The driver involved in an accident was speeding

19. The ratio of liquid assets to current liabilities is obtained by calculating the:

Cash ratio

Current ratio

Working capital ratio

Liquidity ratio

20. A recovery vehicle is taxed:

At the same rate as a car

At a special rate of its own

At the same rate as Trade Plates

At the same rate as a goods vehicle of the same weight

21. Which of the following factors would be taken into account when deciding to re-order an essential fast moving spare part for a vehicle from stock?

Lead time

Cost of item

Number of vehicles in fleet

Number of fitters employed

22. What is the identifying number of the internationally recognised standard for good environmental practice?

BS 5750

BS7500

ISO 9001

ISO 14001

23. Road Charging (4) From the list below, identify the infrastructures on which tolls are levied in at least one direction: 1. The Dartford Crossing 2. The Severn Bridge 3. The Humber Bridge 4. The Thelwall Viaduct 5. The Newbury Bypass

1 & 2 only

1,2 & 3 only

1,2,3 & 4 only

1,2,3,4 & 5

24. Which of the following loads on three international journeys to Italy would be subject to the CMR Convention?

Consignment of household furniture

Consignment of office furniture

Parcels carried under a postal agreement

Own account goods

25. Which one of the following would be classified as an overhead of a road transport firm?

Diesel for a goods vehicle

A set of new tyres for one of the goods vehicles

Rent and rates on the firm’s premises

Ferry charges

26. An operator takes a load from Cardiff and delivers to an address in Central London at 09.00 on Monday morning, returning to Cardiff the same day. The route used is the A48, M4 and A4 in each direction. In addition to the vehicle's normal standing and running costs, what other charges and tolls would be payable on this day's work?

A toll on the Severn crossing eastbound journey only

A toll on the Severn crossing westbound journey only

A toll on the Severn crossing on the westbound journey plus the London Congestion Charge

A toll on the Severn crossing in both directions plus the London Congestion Charge

27. The owner of a house demolished by a run-away lorry, discovers that the vehicle was not covered by any insurance. By whom is a claim likely to be settled?

The Motor Insurers’ Bureau

The Insurance Ombudsman

The Highway Authority

The Association of British Insurers

28. A balance sheet at a given date is a statement showing the:

Detailed expenses of running a business

Assets and liabilities of a business

Sales and purchases of a business

Operating costs of running a business

29. Organisations which keep personal data on employees must, under the Data Protection Act, register with:

The Information Commissioner

The DTI

OFCOM

The Equal Opportunities Commissioner

30. At the start of the month the fuel stocks held valued £346. During the period £2,348 of fuel was received. The final check showed that £694 of fuel was held. What is the value of the fuel used?

£1,303

£2,000

£2,696

£3,042

31. The difference between the amounts shown on the balance sheet for current assets and current liabilities is known as the:

Net profit

Working capital

Shareholders’ equity

Capital employed

32.

The final balance of the above extract of a statement issued by an operator to a customer indicates that:

The operator owes the customer £10,000

The operator owes the customer £8,000

The customer owes the operator £8,000

The customer owes the operator £10,000

33. A new Volvo costing £34,000 has 6 wheels with tyres worth £250 each. It is to be written down at 20% per annum. What is the value after 2 years, using the reducing balance methods of depreciation?

£20,800

£22,800

£24,800

£26,800

34. Which of the following documents are accepted as proof of vehicle insurance? 1. the insurance policy 2. the certificate of insurance 3. a cheque stub 4. the cover note 5 the receipt for payment of the premium

1, 2 and 4 onlythe insurance policy

The certificate of ins2 and 5 only

2 and 4 only

2, 3, 4 and 5 only

35. Which of the following is an example of a non-reactive survey?

Postal questionnaires

Telephone questionnaires

Personal interviews with prospective customers

Searching through reports, trade magazines, and your own sales information

36. Assessment of a company's corporation tax is based on which of the following?

Adjusted gross profit

Fixed assets

Capital gains

Adjusted net profit

37. An increase in the electricity bill will show as:

Increased expenditure in the balance sheet

Increased expenditure in the profit & loss account

Decrease revenue in the trading account

Decrease revenue in the profit & loss account

38. Which of the following would help to reduce air pollution caused by trucks and buses? 1. Euro 4 engines 2. Hush kits 3. LNG or CNG powered engines 4. Particulate traps 5. Air brake silencers

2 & 5 only

2 & 4 only

1,3 & 5 only

1,3 & 4 only

39. One method that could be used to try and improve cash flow in your business would be to:

Offer long-term credit facilities to customers

Offer shorter periods of credit from suppliers

Offer cash discounts to customers

Offer larger trade discounts to customers

40. What threshold must the gross weight of a goods vehicle exceed before excise duty calculations take into consideration the number of axles on the vehicle?

10 tonnes

12 tonnes

16 tonnes

3.5 tonnes

41. Which of the following would be an indirect cost?

Telephone bill

Vehicle repairs and maintenance

Driver’s wages

Operator’s licence

42. In relation to marketing, which of the following would be considered a source of secondary data?

Postal questionnaire

Face to face interviews

Telephone questionnaires

A company’s records on customers

43. Business and Financial Management (12) Total capital employed in a business comprises:

Fixed plus current assets less current liabilities

Current assets less current liabilities

Total assets less long-term liabilities

44. An application for Trade Plates must be submitted to:

Vehicle Registration Office

Goods Vehicle Centre, Swansea

Department of Trade and Industry

Driver and Vehicle Licensing Authority, Swansea

45. An increase in the wages bill (labour costs) to drivers will show as:

Decreased revenue in the profit and loss account

Increased expenditure in the balance sheet

Increased expenditure in the trading account

Decreased revenue in the trading account

46. When calculating depreciation for a vehicle, the cost of the tyres is subtracted from the cost price of the vehicle. This is because the tyres are depreciated separately as:

The residual value

An overhead

A running cost

A standing cost