data = [ { "question" : "1. Most types of investment involve some form of initial transaction fee, then ongoing costs to maintain your investment. Direct sharemarket investment however, is free of ongoing costs.", "feedback" : "One of the advantages of share ownership is that, having paid brokerage on the initial purchase, there are no other costs during the period in which you hold the shares. Other investments can incur additional government charges, commissions and ongoing costs such as management fees, account keeping fees or building maintenance costs.", "correctAnswer" : "1", "answers": [{ "optionId" : 1, "optionText" : "TRUE" }, { "optionId" : 2, "optionText" : "FALSE" }] }, { "question" : "2. To work out the equity risk premium on an investment, you can compare the expected returns from the sharemarket against", "feedback" : "The long term Government bond market is used as a benchmark for low risk investment. The equity risk premium represents the additional return expected by investors to compensate for the increased risk of a particular investment.", "correctAnswer" : "2", "answers": [{ "optionId" : 1, "optionText" : "The AUD/US exchange rate" }, { "optionId" : 2, "optionText" : "Long term Government bonds" }, { "optionId" : 3, "optionText" : "Current interest rates" }, { "optionId" : 4, "optionText" : "CPI" }] }, { "question" : "3. Individuals but not Superannuation funds are entitled to a refund to the extent of the excess from franking credits.", "feedback" : "Both individuals and Superannuation funds (including Self Managed Super Funds) are entitled to receive franking credits payable to them as a refund. This will usually be the case where the company tax rate exceeds the tax rate for the individual or the fund.", "correctAnswer" : "2", "answers": [{ "optionId" : 1, "optionText" : "TRUE" }, { "optionId" : 2, "optionText" : "FALSE" }] }, { "question" : "4. Paul has a marginal tax rate of 30%. He acquired shares in a company Plant Trading Ltd more than 12 months ago for $1,000. The shares have enjoyed a substantial rise in value and are now worth $2,000. If Paul decides to sell his shares now, how much Capital Gains Tax will he have to pay?", "feedback" : "Since Paul has held the shares for more than 12 months, only half the capital gain is taxed. His total gain is $2,000 - $1,000. Half of $1000 is $500, so 30% (Paul's marginal rate of tax) of $500 is $150.", "correctAnswer" : "4", "answers": [{ "optionId" : 1, "optionText" : "$300" }, { "optionId" : 2, "optionText" : "$350" }, { "optionId" : 3, "optionText" : "$175" }, { "optionId" : 4, "optionText" : "$150" }] },{ "question" : "5. Joan has a marginal tax rate of 45%. As the company tax rate is 30%, she can expect to pay less tax on the income received from fully franked dividends paid out of company profits made after this date.", "feedback" : "Where an individual's marginal tax rate is higher than the tax already paid by the company, he/she is required to pay additional income tax to make up the difference. ", "correctAnswer" : "2", "answers": [{ "optionId" : 1, "optionText" : "TRUE" }, { "optionId" : 2, "optionText" : "FALSE" }] },{ "question" : "6. Which of the following investments has the highest potential rate of return?", "feedback" : "An investment that pays you distributions in frequent installments over the investment period rather than as a lump sum at the end of the term has the potential to provide you with higher levels of return. This assumes that you re-invest the regular income distributions and generate the effects of compounding interest.", "correctAnswer" : "3", "answers": [{ "optionId" : 1, "optionText" : " 6% paid annually" }, { "optionId" : 2, "optionText" : " 6% paid semi annually" }, { "optionId" : 3, "optionText" : "6% paid quarterly" }, { "optionId" : 4, "optionText" : "They all provide the same rate of return" }] }, { "question" : "7. If the time required to convert an investment to cash is very important to you, which investment feature would you pay close attention to?", "feedback" : "Liquidity: the ability of an asset to be easily converted into cash. An investment with a high level of liquidity provides you with greater access to your money should you need it. An example of a very liquid asset is cash at the bank. ", "correctAnswer" : "2", "answers": [{ "optionId" : 1, "optionText" : "Entry costs" }, { "optionId" : 2, "optionText" : "Liquidity" }, { "optionId" : 3, "optionText" : "Tax deferred distributions" }, { "optionId" : 4, "optionText" : "Ability to make monthly contributions" }] },{ "question" : "8. Which of the following factors can impact on an investment's liquidity?", "feedback" : "Many investments like property and shares require a ready market of buyers in order to convert the investment to cash. Not all share investments can be easily converted to cash. There are many share investments that have low levels of liquidity because there are very few buyers in the market for those particular shares.", "correctAnswer" : "3", "answers": [{ "optionId" : 1, "optionText" : "The current rate of inflation" }, { "optionId" : 2, "optionText" : "The purchase date of the investment" }, { "optionId" : 3, "optionText" : "The availability of ready buyers " }, { "optionId" : 4, "optionText" : "The original purchase price of the investment" }] }, { "question" : "9. When can shares can be bought and sold on ASX?", "feedback" : "Shares on ASX can be bought and sold during ASX trading hours. This is generally from 10am to 4pm Sydney time Monday to Friday. There are certain non-trading days, generally public holidays. Also the trading day does have distinct phases that it passes through during the day.", "correctAnswer" : "4", "answers": [{ "optionId" : 1, "optionText" : "24 hours a day, 7 days a week" }, { "optionId" : 2, "optionText" : "Monday to Friday from 9am to 5pm" }, { "optionId" : 3, "optionText" : "Monday to Saturday during ASX trading hours" }, { "optionId" : 4, "optionText" : "Monday to Friday during ASX trading hours" }] },{ "question" : "10. Which organisation is your best source of information on matters relating to the taxation of your investments?", "feedback" : "The Australian Tax Office is your best source of information on all matters relating to taxation.", "correctAnswer" : "1", "answers": [{ "optionId" : 1, "optionText" : "ATO" }, { "optionId" : 2, "optionText" : "ASX" }, { "optionId" : 3, "optionText" : "APRA" }, { "optionId" : 4, "optionText" : "ASIC" }] } ];