Question 1

Negotiating becomes easier for the buyer when there are multiple variables such as price,trade-in product and financing options in the overall deal.

Accepted Answer

A) True 
 B)False

Question 2

A car's sticker price is the manufacturer's suggested retail price.

Accepted Answer

A) True 
 B)False

Question 3

Implied warranties required by state law include a warranty of

Accepted Answer

A) merchantability. 
B) merchantability 
C) repair. 
D) both merchantability and fitness. 
A) merchantability. 
B) merchantability 
C) repair. 
D) both merchantability and fitness.

Question 4

With a balloon auto loan the last payment is equal to

Accepted Answer

A) three times the regular monthly payment. 
B) six times the regular monthly payment. 
C) the market value of the car at the end of the loan period. 
D) the projected residual value of the vehicle at the end of the loan period. 
A) three times the regular monthly payment. 
B) six times the regular monthly payment. 
C) the market value of the car at the end of the loan period. 
D) the projected residual value of the vehicle at the end of the loan period.

Question 5

The gross capitalized cost includes the price of the vehicle plus what the dealer paid to finance the purchase plus any other items,including insurance or a maintenance agreement over the life of the lease.

Accepted Answer

A) True 
 B)False

Question 6

You should sign a buyer's order for a vehicle only after the salesperson and sales manager have already done so.​

Accepted Answer

A) True 
 B)False

Question 7

Comparison shopping can be done by window shopping at vehicle dealers.

Accepted Answer

A) True 
 B)False

Question 8

New cars typically lose 25 percent of their value in the first year.

Accepted Answer

A) True 
 B)False

Question 9

A dispute solution that is not legally binding on either party is

Accepted Answer

A) civil court. 
B) small claims court. 
C) mediation. 
D) arbitration. 
A) civil court. 
B) small claims court. 
C) mediation. 
D) arbitration.

Question 10

A dispute solution that is legally binding on at least one party is

Accepted Answer

A) civil court. 
B) small claims court. 
C) mediation. 
D) arbitration. 
A) civil court. 
B) small claims court. 
C) mediation. 
D) arbitration.

Question 11

If you plan to purchase the vehicle at the end of the lease period,you would pay the residual value if your lease was open-ended.

Accepted Answer

A) True 
 B)False

Question 12

The early termination payoff is the total amount you would need to repay should you wish to end the lease agreement early and includes the early termination charge and the unpaid lease balance.

Accepted Answer

A) True 
 B)False

Question 13

Linda would like to purchase a stationary bike for $425.She thinks she will use the bike four days a week over the next eight years.What is Linda's cost per use?

Accepted Answer

A) $3.92 
B) $0.28 
C) $0.26 
D) $0.15 
A) $3.92 
B) $0.28 
C) $0.26 
D) $0.15

Question 14

The product that is the best buy will be the one with the

Accepted Answer

A) lowest price without regard for quality. 
B) lowest quality without regard for price. 
C) highest quality at a reasonable price. 
D) acceptable quality at a fair price. 
A) lowest price without regard for quality. 
B) lowest quality without regard for price. 
C) highest quality at a reasonable price. 
D) acceptable quality at a fair price.

Question 15

The gross capitalized cost includes the price of the vehicle plus what the dealer paid to finance the purchase plus any other items,including insurance or a maintenance agreement over the life of the lease.

Accepted Answer

A) True 
 B)False

Question 16

A(n) ____ is a refund of part of the purchase price.

Accepted Answer

A) rebate 
B) MSRP 
C) sticker price 
D) dealer holdback 
A) rebate 
B) MSRP 
C) sticker price 
D) dealer holdback

Question 17

The true cost of a new automobile to the dealer is

Accepted Answer

A) the invoice price. 
B) the manufacturer's suggested retail price. 
C) the dealer holdback. 
D) (none of these) 
A) the invoice price. 
B) the manufacturer's suggested retail price. 
C) the dealer holdback. 
D) (none of these)

Question 18

Service contracts are becoming more prevalent in the new car market because they are generally a good value for consumers.

Accepted Answer

A) True 
 B)False

Question 19

The sticker price on a new car is typically the final sales price.

Accepted Answer

A) True 
 B)False

Question 20

A _______ _________ report lists prior ownership,odometer readings,accident reports,flood damage,total-loss information,and any title fraud on a used vehicle

Accepted Answer

A) vehicle history 
B) lemon record 
C) buyer pattern 
D) insurance history 
A) vehicle history 
B) lemon record 
C) buyer pattern 
D) insurance history

Negotiating becomes easier for the buyer when there are multiple variables such as price,trade-in product and financing options in the overall deal.

A car's sticker price is the manufacturer's suggested retail price.

Implied warranties required by state law include a warranty of

With a balloon auto loan the last payment is equal to

The gross capitalized cost includes the price of the vehicle plus what the dealer paid to finance the purchase plus any other items,including insurance or a maintenance agreement over the life of the lease.

You should sign a buyer's order for a vehicle only after the salesperson and sales manager have already done so.

Comparison shopping can be done by window shopping at vehicle dealers.

New cars typically lose 25 percent of their value in the first year.

A dispute solution that is not legally binding on either party is

A dispute solution that is legally binding on at least one party is

If you plan to purchase the vehicle at the end of the lease period,you would pay the residual value if your lease was open-ended.

The early termination payoff is the total amount you would need to repay should you wish to end the lease agreement early and includes the early termination charge and the unpaid lease balance.

Linda would like to purchase a stationary bike for $425.She thinks she will use the bike four days a week over the next eight years.What is Linda's cost per use?

The product that is the best buy will be the one with the

The gross capitalized cost includes the price of the vehicle plus what the dealer paid to finance the purchase plus any other items,including insurance or a maintenance agreement over the life of the lease.

A(n) ____ is a refund of part of the purchase price.

The true cost of a new automobile to the dealer is

Service contracts are becoming more prevalent in the new car market because they are generally a good value for consumers.

The sticker price on a new car is typically the final sales price.

A _ ___ report lists prior ownership,odometer readings,accident reports,flood damage,total-loss information,and any title fraud on a used vehicle

Understanding Personal Finance

Career Planning

Financial Statements,tools,and Budgets

Managing Income Taxes

Managing Checking and Savings Accounts

Building and Maintaining Good Credit

Credit Cards and Consumer Loans

Obtaining Affordable Housing

Managing Property and Liability Risk

Managing Health Expenses

Life Insurance Planning

Investment Fundamentals

Investing in Stocks and Bonds

Mutual Funds and Exchange Traded Funds

Real Estate and High-Risk Investments

Retirement and Estate Planning

Filters

Exam 8: Vehicles and Other Major Purchases

Negotiating becomes easier for the buyer when there are multiple variables such as price,trade-in product and financing options in the overall deal.

A car's sticker price is the manufacturer's suggested retail price.

Implied warranties required by state law include a warranty of

With a balloon auto loan the last payment is equal to

The gross capitalized cost includes the price of the vehicle plus what the dealer paid to finance the purchase plus any other items,including insurance or a maintenance agreement over the life of the lease.

You should sign a buyer's order for a vehicle only after the salesperson and sales manager have already done so.​

Comparison shopping can be done by window shopping at vehicle dealers.

New cars typically lose 25 percent of their value in the first year.

A dispute solution that is not legally binding on either party is

A dispute solution that is legally binding on at least one party is

If you plan to purchase the vehicle at the end of the lease period,you would pay the residual value if your lease was open-ended.

The early termination payoff is the total amount you would need to repay should you wish to end the lease agreement early and includes the early termination charge and the unpaid lease balance.

Linda would like to purchase a stationary bike for $425.She thinks she will use the bike four days a week over the next eight years.What is Linda's cost per use?

The product that is the best buy will be the one with the

The gross capitalized cost includes the price of the vehicle plus what the dealer paid to finance the purchase plus any other items,including insurance or a maintenance agreement over the life of the lease.

A(n) ____ is a refund of part of the purchase price.

The true cost of a new automobile to the dealer is

Service contracts are becoming more prevalent in the new car market because they are generally a good value for consumers.

The sticker price on a new car is typically the final sales price.

A _______ _________ report lists prior ownership,odometer readings,accident reports,flood damage,total-loss information,and any title fraud on a used vehicle

Understanding Personal Finance

Career Planning

Financial Statements,tools,and Budgets

Managing Income Taxes

Managing Checking and Savings Accounts

Building and Maintaining Good Credit

Credit Cards and Consumer Loans

Obtaining Affordable Housing

Managing Property and Liability Risk

Managing Health Expenses

Life Insurance Planning

Investment Fundamentals

Investing in Stocks and Bonds

Mutual Funds and Exchange Traded Funds

Real Estate and High-Risk Investments

Retirement and Estate Planning

Filters

You should sign a buyer's order for a vehicle only after the salesperson and sales manager have already done so.

A _ ___ report lists prior ownership,odometer readings,accident reports,flood damage,total-loss information,and any title fraud on a used vehicle