Certified Interior Designer Practice

Question 1

With regard to sole traders, drawings are not an allowable expense.

Accepted Answer

TRUE

Answer

FALSE

Question 2

If the profits of sole traders exceed a predetermined threshold, which of the following will they be required to pay?

Accepted Answer

Class 2 National Insurance Contributions

Answer

VAT

Answer

Corporation tax

Question 3

Which of the following describes the insurance policy that covers inventory, machinery, and similar items during delivery?

Accepted Answer

Goods in transit insurance

Answer

Employer's liability insurance

Answer

Motor insurance

Question 4

Which of the following are you required by law to notify when you begin trading?

Accepted Answer

The Inland Revenue

Answer

Your local MP

Answer

The local police station

Question 5

Which of the following insurance types is most important for professionals like architects and solicitors?

Accepted Answer

Professional indemnity insurance

Answer

Motor insurance

Answer

Goods in transit insurance

Question 6

An independent trader's entire business revenue is considered personal income.

Accepted Answer

FALSE

Answer

TRUE

Question 7

The company's employees pay income tax through the PAYE program.

Accepted Answer

TRUE

Answer

FALSE