Question 1

What type of warranty indicates that the seller has the right to sell a product?

Accepted Answer

A)  Express warranty
B)  Full warranty
C)  Implied warranty of title
D)  Warranty of merchantability
E)  Limited warrantyF) A) and B)
G) D) and E)

Question 2

Tiffany Parrish has purchased a new car.Since then she has had to make six trips to the dealer in four weeks to fix several major problems without much luck.She knows that she is entitled to a refund.What type of law gives her the right to ask for a refund?

Accepted Answer

A)  Lemon Law
B)  Truth in Lending
C)  Truth in Saving
D)  Fair reporting
E)  Consumer Credit ActF) B) and D)
G) D) and E)

Question 3

Which of the following is usually not in written form?

Accepted Answer

A)  Express warranty
B)  General warranty
C)  Product warranty
D)  Implied warranty
E)  Specific warrantyF) A) and B)
G) A) and C)

Question 4

Impulse buying refers to:

Accepted Answer

A)  evaluating alternatives.
B)  gathering information.
C)  comparison shopping.
D)  selecting the least desirable alternative.
E)  unplanned purchasing.F) A) and D)
G) A) and C)

Question 5

The purpose of small claims court is to:

Accepted Answer

A)  regulate fair business activities.
B)  provide hearings on proposed consumer protection laws.
C)  allow consumers with similar complaints to take action as a group.
D)  handle legal disputes involving minor amounts.
E)  assist low-income consumers who need legal help.F) A) and B)
G) A) and C)

Question 6

An example of open dating that appears on grocery items is:

Accepted Answer

A)  use by tomorrow.
B)  expires in 5 days.
C)  use before May 6,2018.
D)  good for 1 month.
E)  fresh for 5 days.F) B) and E)
G) B) and D)

Question 7

Unit pricing uses a standard unit of measurement to compare the prices of packages of different sizes.

Accepted Answer

A) True 
 B)False

Question 8

What legal options are available when assistance is needed to resolve a consumer complaint?

Accepted Answer

Legal actions available to con...

Question 9

A 64-ounce package selling for $3.20 would have a unit price of:

Accepted Answer

A)  $3.20 per ounce.
B)  $2.00 per pound.
C)  $0.05 per ounce.
D)  $20.00 per quart.
E)  $20.48 per ounce.F) C) and D)
G) D) and E)

Question 10

Which of the following information is required on food labels?

Accepted Answer

A)  Ingredients
B)  Unit pricing
C)  Generic name
D)  Common product name
E)  Brand nameF) A) and D)
G) All of the above

Question 11

Pam McNally is planning to use the services of the Better Business Bureau.A major purpose of the BBB is to help:

Accepted Answer

A)  recommend reputable companies in an area.
B)  resolve consumer complaints with local merchants.
C)  lobby for improved consumer protection laws.
D)  evaluate products and services for quality.
E)  represent business in government hearings.F) A) and C)
G) B) and E)

Question 12

The price that is paid for a vehicle in a lease is called the:

Accepted Answer

A)  residual value.
B)  unit price.
C)  capitalized cost.
D)  deductible.
E)  premium.F) A) and B)
G) A) and C)

Question 13

________ is the settlement of a difference by a third party whose decision is legally binding.

Accepted Answer

A)  Negotiation
B)  Mediation
C)  Arbitration
D)  Servicing
E)  Cooperative actionF) C) and D)
G) C) and E)

Question 14

To determine the true cost of credit for a new car,consider both the finance charge and the:

Accepted Answer

A)  APR.
B)  promotional gifts.
C)  free snacks in the show room.
D)  warranty period.
E)  customer service.F) A) and C)
G) None of the above

Question 15

The purpose of a service contract is to:

Accepted Answer

A)  prevent legal action due to a defective product.
B)  protect a product owner from the high costs of certain repairs.
C)  reduce the chance of needing repairs.
D)  obtain regular maintenance on a product.
E)  have legal assistance for consumer complaints.F) D) and E)
G) A) and B)

Question 16

A limited warranty covers all aspects of the product and does not require the buyer to incur any of the costs for shipping and repairs.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following is not a national brand?

Accepted Answer

A)  Green Giant
B)  Nabisco
C)  Kraft
D)  Samsung
E)  Great ValueF) A) and B)
G) A) and C)

Question 18

Brad Hayden has a piece of paper that guarantees the conditions,under which he can return,replace,or repair an item that he has purchased.What is it he most likely has?

Accepted Answer

A)  Coupon
B)  Rebate
C)  Warranty
D)  Rain check
E)  Class action suitF) B) and C)
G) B) and E)

Question 19

To avoid the financial difficulties that occur when people try to convince themselves that things they WANT are things they NEED,20SomethingFinance.com suggests:

Accepted Answer

A)  buy an item right away.
B)  delay a purchase to consider how much you could save.
C)  review delayed purchases after six months to see if the money is available.
D)  do not return items even if the purchase does not meet expectations.
E)  review delayed purchases after a month to see if the urge to buy still exists.F) A) and E)
G) C) and D)

Question 20

One way to gather information about a product is to use an independent testing organization like Underwriters Laboratories (UL).

Accepted Answer

A) True 
 B)False

Exam 8: Consumer Purchasing Strategies and Legal Protection

Tiffany Parrish has purchased a new car.Since then she has had to make six trips to the dealer in four weeks to fix several major problems without much luck.She knows that she is entitled to a refund.What type of law gives her the right to ask for a refund?

Correct AnswerverifiedShow Answer

Which of the following is not a national brand?

Correct AnswerverifiedShow Answer

Unit pricing uses a standard unit of measurement to compare the prices of packages of different sizes.

Correct AnswerverifiedShow Answer

Impulse buying refers to:

Correct AnswerverifiedShow Answer

The price that is paid for a vehicle in a lease is called the:

Correct AnswerverifiedShow Answer

To determine the true cost of credit for a new car,consider both the finance charge and the:

Correct AnswerverifiedShow Answer

Pam McNally is planning to use the services of the Better Business Bureau.A major purpose of the BBB is to help:

Correct AnswerverifiedShow Answer

One way to gather information about a product is to use an independent testing organization like Underwriters Laboratories (UL).

Correct AnswerverifiedShow Answer

________ is the settlement of a difference by a third party whose decision is legally binding.

Correct AnswerverifiedShow Answer

What type of warranty indicates that the seller has the right to sell a product?

Correct AnswerverifiedShow Answer

Which of the following information is required on food labels?

Correct AnswerverifiedShow Answer

To avoid the financial difficulties that occur when people try to convince themselves that things they WANT are things they NEED,20SomethingFinance.com suggests:

Correct AnswerverifiedShow Answer

Which of the following is usually not in written form?

Correct AnswerverifiedShow Answer

The purpose of a service contract is to:

Correct AnswerverifiedShow Answer

What legal options are available when assistance is needed to resolve a consumer complaint?

Correct AnswerverifiedLegal actions available to con...View AnswerShow Answer

A limited warranty covers all aspects of the product and does not require the buyer to incur any of the costs for shipping and repairs.

Correct AnswerverifiedShow Answer

The purpose of small claims court is to:

Correct AnswerverifiedShow Answer

A 64-ounce package selling for $3.20 would have a unit price of:

Correct AnswerverifiedShow Answer

An example of open dating that appears on grocery items is:

Correct AnswerverifiedShow Answer

Brad Hayden has a piece of paper that guarantees the conditions,under which he can return,replace,or repair an item that he has purchased.What is it he most likely has?

Correct AnswerverifiedShow Answer

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Legal actions available to con...
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