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1. (TCO 1) Referring to consumer purchases, an example of a personal opportunity cost is (Points : 1)

buying on credit. selecting a commonly known brand. the influence of advertising on consumers. time used to compare prices. government regulation of deceptive business-government activities in an effort to prevent consumer fraud.

Question 2. 2. (TCO 1) The purpose of a cooperative is to (Points : 1)

solve consumer complaints. test consumer products for quality. lobby for changes in consumer protection laws. obtain brand-name items for less than wholesale. sell products or services to members at reduced prices.

Question 3. 3. (TCO 1) _____ brand items are associated with high consistent quality. (Points : 1)

National Generic Regional Store Manufacturer

Question 4. 4. (TCO 1) A 16-ounce package selling for $1.80 would have a unit price of (Points : 1)

$1.80. $28.80 a pound. 11.25 an ounce. $8.80 a quart. 12 an ounce.

Question 5. 5. (TCO 1) A(n) _____ warranty is a specific agreement created by the seller or manufacturer. (Points : 1)

open implied express contingent limited

Question 6. 6. (TCO 1) The Better Business Bureau has a major purpose to (Points : 1)

recommend reputable companies in an area. evaluate products and services for quality. lobby for improved consumer protection laws. resolve consumer complaints. represent business in government hearings.

Question 7. 7. (TCO 1) Tony Martin recently participated in a tour of Midwestern landmarks. However, during the tour, the bus broke down and he and other group members were forced to pay for their own hotel bills because they had to stay overnight. If Tony and other group members want the tour company to pay for hotel costs, which legal action should they take? (Points : 1)

Small claims court Class action suit Legal aid society Arbitration Mediation

Question 8. 8. (TCO 1) The _____ requires that used car buyers be informed if a vehicle comes with a warranty. (Points : 1)

Federal Commission Federal Trade Commission Better Business Bureau Consumer Action Agency Consumer Product Safety Commission

Question 9. 9. (TCO 1) When a vehicle is sold "as is," this means that the vehicle has (Points : 1)

a limited warranty. no implied warranties. a 30-day guarantee. a full warranty on parts but not labor. no express warranty.

Question 10. 10. (TCO 1) You have just purchased a vehicle with an automobile service contract. The purpose of this contract is to (Points : 1)

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

Question 11. 11. (TCO 3) When making the decision to buy a home or rent, renting would be more suitable for an individual who (Points : 1)

has limited funds currently available. has difficulty establishing credit. wants to reduce his or her taxes. enjoys remodeling his or her residence. desires the financial benefits of increased equity.

Question 12. 12. (TCO 3) A home owner will often realize a benefit of (Points : 1)

a low security deposit. increased property value. the amortization of the growth of equity. the tax deductibility of the down payment. low maintenance.

Question 13. 13. (TCO 3) An individual could afford to spend more on a home if the following occurs. (Points : 1)

High monthly living expenses Increased interest rates Decreased down payment Many other financial obligations Increased family income

Question 14. 14. (TCO 3) Latrice Patterson has presented a counteroffer, and this means she is (Points : 1)

negotiating a purchase price. reducing her mortgage payments. lowering real estate property taxes. avoiding the payment of points at closing. avoiding the payment of the real estate agent's commission.

Question 15. 15. (TCO 3) When a mortgage company charges prepaid interest, this refers to (Points : 1)

escrow. a title fee. an origination fee. points. a deed.

Question 16. 16. (TCO 3) An example of a conventional mortgage would be (Points : 1)

an FHA mortgage. a buy-down. a home equity loan. a shared appreciation mortgage. a fixed-rate mortgage.

Question 17. 17. (TCO 3) A _____ mortgage is one that is short term in length, with a very large final payment. (Points : 1)

shared appreciation graduated payment growing equity balloon negative amortization

Question 18. 18. (TCO 3) An example of a closing cost is (Points : 1)

an origination fee. title insurance. earnest money. a mortgage application fee. a down payment.

Question 19. 19. (TCO 3) An appraisal is used to (Points : 1)

eliminate the need for home insurance. reduce the amount paid for property taxes. qualify for a reduced mortgage rate. estimate the current value of a home. determine the need for an inspection.

Question 20.20. (TCO 3) If Jennifer Garland lives in a home assembled in a factory that was then moved to the living site, she is most like living in a (Points : 1)

condominium. prefabricated home. cooperative. duplex. single family dwelling.