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Chapter Review

Chapter 27: Becoming a Smart Consumer

Practice Test
      
  1.Smart consumers do everything EXCEPT __________.  
  a.   understand contracts and warranties  
  b.   make purchases just on the basis of what they want  
  c.   make purchases just on the basis of what they need  
  d.   understand factors that influence their shopping habits  
      
  2.A company that advertises its children's cough medicine by saying that it is recommended by pediatricians is using which advertising technique?  
  a.   bandwagon  
  b.   celebrity appeal  
  c.   seeing is believing  
  d.   claims of authorities  
      
  3.One company sells its doll by showing a child opening birthday presents. This advertising technique is __________.  
  a.   bandwagon  
  b.   celebrity appeal  
  c.   association  
  d.   claims of authorities  
      
  4.Each of the following protects consumers' rights EXCEPT __________.  
  a.   international law  
  b.   federal law  
  c.   state law  
  d.   local law  
      
  5.Federal law protects consumers by __________.  
  a.   suing merchants on behalf of individual consumers  
  b.   setting standards for many consumer goods and services  
  c.   requiring states to pass state consumer protection laws  
  d.   requiring local governments to pass local consumer protection laws  
      
  6.The Americans with Disabilities Act requires that consumers have equal access to all establishments open to the public. This means that __________.  
  a.   every merchant must make its goods and services available to all disabled persons, regardless of the cost of accommodating the disability  
  b.   every merchant must make reasonable accommodations to ensure that its goods and services are available to all disabled persons  
  c.   merchants are encouraged to provide physical access to their buildings to all disabled people  
  d.   only merchants who are building new facilities must consider access by disabled persons  
      
  7.An example of a cease and desist order is __________.  
  a.   a fine on a business that has not installed ramps for disabled persons in wheelchairs  
  b.   a requirement that a business acknowledge its deception in future ads  
  c.   an attorney general's order to a business to stop claiming that its product cures cancer  
  d.   a class action lawsuit  
      
  8. When Jamie received two shirts he'd ordered from a catalog, he put them in his closet. Three months later, when he tried them on, the shirts were too small. The return policy in the catalog says that returns must be made within 30 days. Jamie __________.  
  a.   failed to inspect the shirts and will likely be unable to return them  
  b.   has a right to return the shirts at any time for a full refund  
  c.   has a right to return the shirts at any time for a partial refund  
  d.   has a right to return the shirts for a new size  
      
  9.Tyrone bought a digital camera over the Internet that warranted free labor and parts for one year. After two months, the camera broke. Tyrone tried to fix it himself, but made things worse. Tyrone ___.  
  a.   has probably voided the warranty by trying to fix it himself  
  b.   has rights to free repair under the warranty since it is within the year  
  c.   should report the problem to the Consumer Product Safety Commission  
  d.   should sue the manufacturer  
      
  10.What remedy is NOT available in a breach of consumer contract case?  
  a.   expectation damages  
  b.   rescission  
  c.   restitution  
  d.   confinement  

 

 


 
 
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