Personal finance chapter 8 review

A disadvantage of leasing a car would be the....

Additional cost for turning the car in early

Recently, Jim walker was on a bus tour in a mountainous area. the buss broke down forcing the group to stay overnight, group members had to pay for their own hotel bills. Jim believes that the hotel cost for the group should be covered by the by the tour company. Which legal action would be most appropriate

Class-action suit

The purpose of an invoice price is to inform customers of the...

Dealers cost

Which of the following is the largest fixed expense associated with a new automobile.

Depreciation

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

False

The first phase of consumer buying involves...

Identifying the probles

An example of an economic factor that influences buying decisions.

Inflation

For a situation to be qualified as a class action suit, it must..

Involve several people who have suffered the same problem

Arbitration differs from mediation in that arbitration is....

Legally binding

The process of resolving conflicts between a customer and a business with the use of a third party who's recommendations are non binding is called....

Mediation

The items produced for a specific retail chain of stores are commonly sold under a _____________ brand

Store

Of the following which one is the best example of a personal opportunity cost associated with consumer purchase

Time and effort spent on comparison shopping

Government agencies provide education programs and complaint hotlines to assist consumers in gathering information to make wise buying decisions.

True

The first phase in the buying process involves information gathering.

True

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

True

class action suit is a legal action by a few people on behalf of all the people who have suffered from the same alleged injustice

True

Impulse buying refers to...

Unplanned purchasing

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

arbitration

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

resolve consumer complaints with local merchants.

Most consumer complaints are resolved by:

returning to the original sales location