Ch.5 Pre-Test

It's your right as the consumer to . . .

Expect a product to live up to qualify promised to you before you purchased it

It's okay to make an online purchase if you're on unsecured Wi-Fi, as long as you log off as soon as you're done.

False

When someone steals and uses your debit or credit card info, that's called ______________.

Fraud

Americans spend over $600 a month on ______________.

Impulse purchases they didn't plan to buy

Why do stores like mobile pay apps?

It makes paying easier and faster, so customers are more likely to overspend

Why does brand recognition help businesses?

It makes their name and logo easily memorable for consumers

Why is digital ad spending projected to be $524 billion in 2024?

Marketers know that you're on your mobile device more than you're reading newspaper ads or listening to live radio ads

An example of discretionary spending is _______.

Nonessential goods and services

To think big picture, you need to understand that . . .

The best way to have more money is to have contentment

What does it mean to develop power over purchase?

You are able to slow down and think through your motives before buying something.

Why is paying for something in cash a better option than mobile pay even if it isn't as convenient?

You feel the loss of money when you use cash, so you're less likely to overspend

Personal finance is 20% head knowledge and 80%___________.

behavior

Part of being a smart consumer is being able to . . .

say no to an unnecessary purchase

Stuff doesn't equal ____. Debt makes people look better off than they ______.

wealth; actually are

Creating a budget, having clear money goals, and slowing down to think through a purchase are all practices of a ____________.

wise consumer

Since marketers have sophisticated technology and plans to get your money, what can you do to make sure you don't fall into their trap?

Be aware of when and where you're being marketed to

Before you insert your debit card at the gas pump, you should always. . .

Check out the card reader to see it it looks different, loose, or worn

If you're a victim of card fraud...

Contact your bank immediately

Reading the owner's manual, using the product as intended, and keeping the receipt are ways to . . .

Protect and maintain your purchase

What is the digital marketing strategy that tracks users across the web?

Retargeting

Which of the following has the lowest risk for getting your card information stolen?

Using your debit card and PIN at a reputable store

What is the main goal of a retail customer reward system?

To get customers to spend more money in the long run

Convenience is both a perk and a downside of mobile pay.

True

Shoe companies can use influencer marketing to build brand recognition to gain credibility and familiarity.

True

The key to contentment is gratitude.

True

You won't find contentment by just continually buying stuff.

True

Appreciating who you are and what you have instead of wanting what your friends have is called _______________.

contentment

When using mobile pay, real time records of what you've spent can help you _________?

make sure you're sticking to your budget

Contentment is hindered by ___________.

money principles

Why should you never buy the extended warranty?

most retailers will replace or repair the product if it stops working within the first year