Individual Financial Awareness
Semester 1 2019-20
3 – Individual Assignment – total 50% of the module.
questions 1 and 2. You must use the format taught in class to obtain
full marks. All questions indicate the marks available.
the budget that you submitted in week 3 with actual figures for the
10-week period included.
assignment must be presented in the format shown in the module guide
under Assessment Information.
the tax year 2019/20 Henry Murray has:
working as a finance manager earning £75,000 per annum. He is
provided with a petrol car by his employer, list price £24,000,
with CO2 emissions of
123g/km. His employer pays for all the fuel for the car. He is also
provided with a parking space at work in the centre of London that
is worth £875 a year. There is a staff canteen available to all
staff where Henry has a subsidised lunch each day; this costs him
£1.50 and he estimates an equivalent meal elsewhere would be
approximately £5.50. Henry had to pay professional subscriptions
to the ICAEW of £395 this year.
the year Henry received interest on his bank savings account of
£1,600 and dividends of £1,825. He has an ISA, on which he
received £750 of interest during the year.
August 2019 Henry sold a painting for £23,400. He had to pay £400
for special packaging and agents fees of £1,000 from the proceeds.
He bought the painting years ago at an auction for £250. In 1999
he had the the frame repaired at a cost of £75.
also runs his own consultancy business, teaching personal finance
workshops. This year he made profits of £7,800 after deducting
personal withdrawals of £3,000. He kept accurate mileage logs and
charged £245 in business petrol costs to arrive at this profit, and
also deducted the cost of gifts to his clients, amounting to £970.
Henry’s income tax liability for the year 2019/20.
Henry’s capital gains tax liability for the year 2019/20. What
rate of tax will he pay on this gain?
Murray is planning to buy a property, in addition to the family home
she and Henry own, for rental purposes. She is considering a property
in Bristol costing £250,000. She has savings of £70,000, which she
will use as a deposit, but will need to borrow the remaining amount
for the purchase. She requests you to research and find a suitable
buy-to-let mortgage for her.
also wants to know what income she might expect to get as a return on
her investment. Local agents have estimated that the monthly rent may
be £1,850 per month, with agent’s fees for managing the property
being charged at 5% of the rent.
found a relevant real product for the mortgage, work out an
estimation of the relevant costs of renting the property and the net
rental income that she might expect to get annually. Anne estimates
some of the other costs she will incur as follows:
and maintenance per year
insurance per year
a real buy-to-let mortgage for Anne and explain the details to her.
of the above expenses can only be claimed against Capital Gains tax?
the net annual income (for income tax purposes) that Anne can expect
from her rental property. 6 marks
the potential return on income from her investment (ROI). 2
are the two main taxes on a rental property and against which tax
can SDLT be deducted?Calculate the SDLT on this purchase.
to the brief for Assignment 1, your Personal Budget.
the budget that you submitted in week 3 and include, in addition, the
actual figures for the 10-week period.
original predicted budget figures for the first 10 weeks of the
semester, as submitted in week 3.
actual figures for income and expenditure for the same period (10
weeks) in the column beside the predicted figures.
100 words, at the bottom of your budget, your reflections on:–
reasons for the differences between the actual figures and the
budget figures and–
you have learned from this exercise. [Do
not repeat detail that is in the budget; use your 100 words well.]
a word count for your reflection, which must not exceed 100 words.
must submit both your budget and actual figures to receive the marks;
do not submit the actual figures on their own.
part of the assignment is worth 5%
of the total module marks.
The completed assignment (both Parts A and B) must be submitted
electronically via drop-box on Moodle. You should submit a single
file in .pdf format.
complete coursework (Parts A & B) is due in on Thursday 5th
December (week 11) by 13.00.
submission of work:
who submit work late will receive a mark of ZERO
for that element of assessment. Read the regulations below about
late submission of work carefully. These are University regulations
and must be followed.
& anonymous marking:
handwritten coursework is accepted; you must use Word or Excel. You
your student number in the name of electronic files that you upload
preferably in the header/footer of your document. We use this
should we need to contact you if, for instance, your submission did
not upload correctly.
you have any queries on the coursework, please do not
ask your seminar leader but post
the query on the coursework assessment forum on
Moodle. This ensures that all students have access to any queries
2 of your coursework will be returned after the end of the semester
with feedback. You will be expected to use this feedback to help you
improve your performance on other assignments in your degree
programme, and to assist you in preparing future budgets for
circumstances outside of your control (for example, medical
circumstances) affect your ability to meet an assessment deadline or
attend an assessment event (e.g. examination, presentation) then it
is ESSENTIAL that you access and utilise the Exceptional
see the Programme Handbook for an outline of the principles and
operation of the Exceptional Circumstances Policy within Oxford
Brookes University and links to the University Regulations.
can I find out more?
advice and guidance landing page link is
may exceptionally secure a 24 hour grace period if last minute
untoward circumstances affect your ability to submit on time. You
must register to use this facility. [Please note: over-use of this
facility will be reviewed.]
criteria ACFI4006 2019-20 Semester 1 Coursework 3
income of every type been correctly laid out and calculated?
tax payable on each type of income correctly calculated?
the car benefit-in-kind percentage been correctly calculated &
used for the car and fuel benefit?
profits from self-employment correctly adjusted?
the capital gain been correctly calculated and taxed?
a real mortgage been found, and sufficient details given?
the capital expenses been correctly identified?
the potential rental income been accurately calculated &
presented as stated?
the ROI been accurately calculated?
taxes been correctly identified? Has the SDLT on the purchase
been correctly calculated?
actual figures been submitted along with the budget? Have
reflections been included?
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