Question 1

The first phase in the buying process involves information gathering.

Accepted Answer

A) True 
 B)False

Question 2

____________ 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 action 
A) Negotiation 
B) Mediation 
C) Arbitration 
D) Servicing 
E) Cooperative action

Question 3

Regular vehicle maintenance is essential to extending the life of your car.Engine oil should be changed approximately every ____ months or _______ miles.

Accepted Answer

A) 3;6,000 
B) 3;3,000 
C) 6;6,000 
D) 6;10,000 
E) 12;10,000 
A) 3;6,000 
B) 3;3,000 
C) 6;6,000 
D) 6;10,000 
E) 12;10,000

Question 4

Steve Franklin recently purchased a stereo system.After a few weeks it overheated,causing a small fire and some minor damage.What actions would you recommend to Steve to resolve his consumer complaint? What legal actions might Steve consider for this situation?

Accepted Answer

First and foremost, Steve should contact

Question 5

Cooperatives are most commonly organized to sell:

Accepted Answer

A) service contracts. 
B) furniture. 
C) auto repair service. 
D) fooD. 
E) information processing servicE. 
A) service contracts. 
B) furniture. 
C) auto repair service. 
D) fooD. 
E) information processing servicE.

Question 6

The purpose of an automobile service contract is to:

Accepted Answer

A) reduce operating costs of the vehicle. 
B) cover regular maintenance. 
C) provide automobile insurance at a discount. 
D) repair major problems after the warranty expires. 
E) stay informed of government safety recalls. 
A) reduce operating costs of the vehicle. 
B) cover regular maintenance. 
C) provide automobile insurance at a discount. 
D) repair major problems after the warranty expires. 
E) stay informed of government safety recalls.

Question 7

Which one of these statements best describes the major criticism of service contracts?

Accepted Answer

A) Repair companies provide poor service. 
B) Service contracts are included in the initial price of the product and thus are not optional. 
C) The government regulation of service contract companies is weak. 
D) The contracts are expensive and contain a lot of exclusions. 
E) There are a limited number of authorized repair facilities. 
A) Repair companies provide poor service. 
B) Service contracts are included in the initial price of the product and thus are not optional. 
C) The government regulation of service contract companies is weak. 
D) The contracts are expensive and contain a lot of exclusions. 
E) There are a limited number of authorized repair facilities.

Question 8

The sticker price of a car refers to:

Accepted Answer

A) the amount of government taxes on a new car. 
B) the cost of repairing a used car which is for sale. 
C) the list of optional equipment that may be added to a car. 
D) the suggested retail price of a new car. 
E) a comparison of costs and performance of comparable cars. 
A) the amount of government taxes on a new car. 
B) the cost of repairing a used car which is for sale. 
C) the list of optional equipment that may be added to a car. 
D) the suggested retail price of a new car. 
E) a comparison of costs and performance of comparable cars.

Question 9

Mediation involves a legally binding decision by a third party to solve a consumer complaint.

Accepted Answer

A) True 
 B)False

Question 10

Emily is trying to decide whether to lease or buy a car.Which one of the following is not a factor necessary in making the comparison?

Accepted Answer

A) down payment 
B) monthly lease payments 
C) gasoline costs 
D) estimated value of vehicle at end of lease period 
E) mileage overage charges 
A) down payment 
B) monthly lease payments 
C) gasoline costs 
D) estimated value of vehicle at end of lease period 
E) mileage overage charges

Question 11

What factors influence most people's buying decisions?

Accepted Answer

The answer of What factors influence most people's buying decisions?...

Question 12

Lorenzo Clowder has settled on purchasing a new Honda Accord and has found that the suggested retail price is $22,200 and that the dealer's invoice price is $19,980.It is time for him to go to a dealer and negotiate the price he will pay for his new car.What step in the purchasing process is Lorenzo carrying out?

Accepted Answer

A) problem identification 
B) information gathering 
C) evaluating alternatives 
D) determining the purchase price 
E) post purchase activities 
A) problem identification 
B) information gathering 
C) evaluating alternatives 
D) determining the purchase price 
E) post purchase activities

Question 13

Representation by a lawyer is usually required in small claims court.

Accepted Answer

A) True 
 B)False

Question 14

Open dating information provides consumers with information about product freshness.

Accepted Answer

A) True 
 B)False

Question 15

Service contracts are usually included in the cost of appliances and other high-priced items.

Accepted Answer

A) True 
 B)False

Question 16

The Sears Kenmore dishwasher is an example of a:

Accepted Answer

A) national brand. 
B) store brand. 
C) generic brand. 
D) local branD. 
E) regional brand. 
A) national brand. 
B) store brand. 
C) generic brand. 
D) local branD. 
E) regional brand.

Question 17

A 32-ounce package selling for $1.60 would have a unit price of:

Accepted Answer

A) $1.60. 
B) $2.00 a pound. 
C) 5¢ an ounce. 
D) 80¢ a quart. 
E) E. 12¢ an ounce. 
A) $1.60. 
B) $2.00 a pound. 
C) 5¢ an ounce. 
D) 80¢ a quart. 
E) E. 12¢ an ounce.

Question 18

Howard Ramsell recently became aware of implied warranties that exist for consumer purchases.An implied warranty exists as a result of:

Accepted Answer

A) a stated intent of the seller. 
B) actions by consumers. 
C) the intended use of a product. 
D) rulings of federal consumer agencies. 
E) a written statement from the manufacturer. 
A) a stated intent of the seller. 
B) actions by consumers. 
C) the intended use of a product. 
D) rulings of federal consumer agencies. 
E) a written statement from the manufacturer.

Question 19

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

Accepted Answer

A) True 
 B)False

Question 20

A vehicle sold "as is" has:

Accepted Answer

A) a limited warranty. 
B) no express warranty. 
C) a 30-day guarantee. 
D) a full warranty on parts but not labor. 
E) a 90-day guaranteE. 
A) a limited warranty. 
B) no express warranty. 
C) a 30-day guarantee. 
D) a full warranty on parts but not labor. 
E) a 90-day guaranteE.

The first phase in the buying process involves information gathering.

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

Regular vehicle maintenance is essential to extending the life of your car.Engine oil should be changed approximately every months or ___ miles.

Steve Franklin recently purchased a stereo system.After a few weeks it overheated,causing a small fire and some minor damage.What actions would you recommend to Steve to resolve his consumer complaint? What legal actions might Steve consider for this situation?

Cooperatives are most commonly organized to sell:

The purpose of an automobile service contract is to:

Which one of these statements best describes the major criticism of service contracts?

The sticker price of a car refers to:

Mediation involves a legally binding decision by a third party to solve a consumer complaint.

Emily is trying to decide whether to lease or buy a car.Which one of the following is not a factor necessary in making the comparison?

What factors influence most people's buying decisions?

Representation by a lawyer is usually required in small claims court.

Open dating information provides consumers with information about product freshness.

Service contracts are usually included in the cost of appliances and other high-priced items.

The Sears Kenmore dishwasher is an example of a:

A 32-ounce package selling for $1.60 would have a unit price of:

Howard Ramsell recently became aware of implied warranties that exist for consumer purchases.An implied warranty exists as a result of:

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

A vehicle sold "as is" has:

Personal Finance Basics and the Time Value of Money

Financial Aspects of Career Planning

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

Financial Services: Savings Plans and Payment Accounts

Introduction to Consumer Credit

Choosing a Source of Credit: The Costs of Credit Alternatives

The Housing Decision: Factors and Finances

Property and Motor Vehicle Insurance

Health, Disability, and Long-Term Care Insurance

Life Insurance

Investing Fundamentals

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Investing in Real Estate and Other Investment Alternatives

Starting Early: Retirement Planning

Estate Planning

Filters

Exam 8: Consumer Purchasing Strategies and Legal Protection

The first phase in the buying process involves information gathering.

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

Regular vehicle maintenance is essential to extending the life of your car.Engine oil should be changed approximately every ____ months or _______ miles.

Steve Franklin recently purchased a stereo system.After a few weeks it overheated,causing a small fire and some minor damage.What actions would you recommend to Steve to resolve his consumer complaint? What legal actions might Steve consider for this situation?

Cooperatives are most commonly organized to sell:

The purpose of an automobile service contract is to:

Which one of these statements best describes the major criticism of service contracts?

The sticker price of a car refers to:

Mediation involves a legally binding decision by a third party to solve a consumer complaint.

Emily is trying to decide whether to lease or buy a car.Which one of the following is not a factor necessary in making the comparison?

What factors influence most people's buying decisions?

Representation by a lawyer is usually required in small claims court.

Open dating information provides consumers with information about product freshness.

Service contracts are usually included in the cost of appliances and other high-priced items.

The Sears Kenmore dishwasher is an example of a:

A 32-ounce package selling for $1.60 would have a unit price of:

Howard Ramsell recently became aware of implied warranties that exist for consumer purchases.An implied warranty exists as a result of:

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

A vehicle sold "as is" has:

Personal Finance Basics and the Time Value of Money

Financial Aspects of Career Planning

Money Management Strategy: Financial Statements and Budgeting

Planning Your Tax Strategy

Financial Services: Savings Plans and Payment Accounts

Introduction to Consumer Credit

Choosing a Source of Credit: The Costs of Credit Alternatives

The Housing Decision: Factors and Finances

Property and Motor Vehicle Insurance

Health, Disability, and Long-Term Care Insurance

Life Insurance

Investing Fundamentals

Investing in Stocks

Investing in Bonds

Investing in Mutual Funds

Investing in Real Estate and Other Investment Alternatives

Starting Early: Retirement Planning

Estate Planning

Filters

Regular vehicle maintenance is essential to extending the life of your car.Engine oil should be changed approximately every months or ___ miles.