This quiz works best with JavaScript enabled. Home > Cbse > Class 12 > Commerce > Business Studies > Class 12 Business Studies Chapter 12 Consumer Protection – Quiz 27 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 12 Consumer Protection Quiz 27 (45 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is the maximum pecuniary jurisdiction of the District Commission under CPA, 2019? A) ₹ 2 crore. B) ₹ 1 crore. C) ₹ 20 lakh. D) ₹ 50 lakh. Show Answer Correct Answer: B) ₹ 1 crore. 2. A nonprofit agency sponsored by local businesses that helps to resolve disputes between consumers and sellers. A) Federal Trade Commission (FTC). B) Walmart. C) Better Business Bureau (BBB). D) None of the above. Show Answer Correct Answer: C) Better Business Bureau (BBB). 3. Which of the following activities lie within the scope of consumer protection? A) Educating consumers about their rights and responsibilities. B) Helping consumers in getting their grievances redressed. C) Protecting the interests of consumers. D) All of the above. Show Answer Correct Answer: D) All of the above. 4. True or False. The Financial Services Compensation Scheme protects investors up to £50, 000 per person per provider? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 5. Which organisation has been responsible for regulating personal loans since 1 April 2014? A) The Financial Conduct Authority (FCA). B) The Office of Fair Trading (OFT). C) The Bank of England. D) None of the above. Show Answer Correct Answer: A) The Financial Conduct Authority (FCA). 6. Under Section 14 CPA, what is prohibited? A) Selling defective products. B) False advertising. C) Free offers without intention to provide. D) Price discrimination. Show Answer Correct Answer: C) Free offers without intention to provide. 7. True or False. The Consumer Credit Act allows you to withdraw from a credit agreement within 28 days? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 8. An example is when you use the internet to purchase shoes, clothes, or furniture A) Special discounts. B) Bargain shopping. C) Garage sales. D) Online shopping. Show Answer Correct Answer: D) Online shopping. 9. The Consumer Bill of Rights was first established by President Kennedy in 1962. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 10. What is a misleading advertisement? A) An ad that falsely represents a product. B) An ad that is informative. C) An ad that provides accurate information. D) An ad that promotes discounts. Show Answer Correct Answer: A) An ad that falsely represents a product. 11. What is the importance of customer feedback in improving product quality? A) It is crucial for enhancing product features. B) It delays the product launch. C) It is irrelevant for product development. D) It hinders the innovation process. Show Answer Correct Answer: A) It is crucial for enhancing product features. 12. This prohibits discrimination against people with disabilities A) Americans with Disabilities Act. B) Family and Medical Leave Act. C) Age Discrimination in Employment Act. D) Fair Labor Standards Acts. Show Answer Correct Answer: A) Americans with Disabilities Act. 13. What is the significance of the Consumer Protection Council's public awareness campaigns? A) They discourage consumers from making purchases. B) They educate consumers about their rights and promote informed decision-making. C) They promote government regulations on businesses. D) They focus on increasing corporate profits. Show Answer Correct Answer: B) They educate consumers about their rights and promote informed decision-making. 14. What will be essential in tackling the challenges of the future? A) Increased personalization and enhanced product safety. B) International cooperation. C) Enforcement of consumer protection laws. D) Development of new business models. Show Answer Correct Answer: B) International cooperation. 15. Identify the benefits of good customer service to the business. A) Customers who did not enjoy their experience, will recommend the business to friends. B) Customers who enjoy their experience, will spend more money. C) The business will not expand. D) The business will get bad reviews. Show Answer Correct Answer: B) Customers who enjoy their experience, will spend more money. 16. True or False. The Financial Ombudsman Service gives expert, professional advice, by trained advisors, when resolving an issue? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 17. When Benji's new television is delivered, there's a crack in the screen most likely caused during delivery. Can he get a repair, replacement or refund from the store? A) Yes. B) No. C) All the above. D) None of the above. Show Answer Correct Answer: A) Yes. 18. As entrepreneurs, we need to have a sense of ..... among entrepreneurs to produce quality goods and services with ..... prices. A) Consciousness / affordable. B) Curiosity / definite. C) Conscience / fair. D) Cautious / low. Show Answer Correct Answer: C) Conscience / fair. 19. The Financial Services Ombudsman do not help to resolve disputes between individuals and financial service providers A) False. B) True. C) All the above. D) None of the above. Show Answer Correct Answer: A) False. 20. Investigation is defined under ..... of Bhartiya Nagrik Suraksha Sanhita, 2023. A) Section 2(h). B) Section 2(L). C) Section 2(i). D) Section 2(m). Show Answer Correct Answer: B) Section 2(L). 21. What is the limitation period for filing a complaint with the District Forum? A) Within 5 years from the date on which the cause of action has arisen. B) Within 3 years from the date on which the cause of action has arisen. C) Within 2 years from the date on which the cause of action has arisen. D) Within 1 year from the date on which the cause of action has arisen. Show Answer Correct Answer: C) Within 2 years from the date on which the cause of action has arisen. 22. Additionally the Consumer Protection Act has cast a duty upon The District Collector has to inquire or investigate complaints regardingconsumer protection, unfair trade practices and false or misleading advertisements. What section of the CPA, 2019 provides the same? A) Section 16. B) Section 26. C) Section 35. D) Section 15. Show Answer Correct Answer: A) Section 16. 23. True or False. The Financial Ombudsman Service is funded by compulsory fees charged to all regulated financial institutions? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 24. Consumer protection laws exist to help sellers make more profit. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 25. Which international body is mentioned as a comparison for the CCPA? A) Federal Trade Commission. B) World Trade Organization. C) European Consumer Centre. D) International Consumer Protection Agency. Show Answer Correct Answer: A) Federal Trade Commission. 26. Which of the following will help you protect yourself from identity theft and fraud? A) Regularly monitor your credit report. B) Contact lenders and credit bureaus to address incorrect information. C) Freeze your credit. D) All of the above. Show Answer Correct Answer: D) All of the above. 27. Which of the following is not a function of Non government organisations (NGOs)? A) Accelerating consumer awareness. B) Filing suits, complaints on behalf of consumers. C) Solving personal and marital problems of consumers. D) Collecting data on different products and testing them. Show Answer Correct Answer: C) Solving personal and marital problems of consumers. 28. How does the FDIC contribute to the stability of the financial system? A) By issuing currency. B) By insuring deposits and examining financial institutions. C) By setting interest rates. D) By providing tax incentives. Show Answer Correct Answer: B) By insuring deposits and examining financial institutions. 29. Fraud is defined as: A) Unintentional error in billing. B) A protective law for consumers. C) Legal investment with high returns. D) Intentional deception for financial or personal gain. Show Answer Correct Answer: D) Intentional deception for financial or personal gain. 30. What is a 'prohibition notice' under the Consumer Protection Act 1987? A) A notice allowing the sale of unsafe goods. B) A notice for product pricing. C) A notice prohibiting the supply of unsafe goods. D) A notice for marketing approval. Show Answer Correct Answer: C) A notice prohibiting the supply of unsafe goods. 31. Which is a way to gain customer satisfaction? A) Slow service. B) Long queues. C) Not dealing with problems. D) Confidence in service. Show Answer Correct Answer: D) Confidence in service. 32. The consumer has the right to get compensation against unfair trade practices under right to A) Right to choose. B) Right to seek redress. C) Right to safety. D) None of the above. Show Answer Correct Answer: B) Right to seek redress. 33. What is the CCPA's approach to consumer rights violations? A) To act only on individual complaints. B) To focus solely on e-commerce issues. C) To protect consumer rights as a class. D) To ignore minor violations. Show Answer Correct Answer: C) To protect consumer rights as a class. 34. What is the purpose of the OECD global recalls portal? A) To collect and share information about product recall notices. B) To promote international cooperation in consumer protection. C) To develop policy recommendations for the digital marketplace. D) To educate consumers about their economic interests. Show Answer Correct Answer: A) To collect and share information about product recall notices. 35. A cease and desist order is a court-enforced order requiring a company to stop certain conduct A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 36. Financial services compensation scheme should be a last resort A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 37. When a business lures you into a store with a great bargain that doesn't really exist, and then tries to sell you something else more expensive. A) Bait and Switch. B) Fraudulent Misrepresentation. C) Interstate Commerce. D) None of the above. Show Answer Correct Answer: A) Bait and Switch. 38. What does the Children's Online Privacy Protection Act govern? A) The education of children about online safety. B) The advertising of children's products. C) The sale of children's toys. D) The collection of information from children under 13. Show Answer Correct Answer: D) The collection of information from children under 13. 39. Which of these is not guaranteed by sale of goods and supply of services Act. 1980 regarding services. A) Must be carried out with reasonable skill. B) Must use goods of merchantable quality. C) Must be done well. D) Must be carried out with due care and diligence. Show Answer Correct Answer: C) Must be done well. 40. Safety standards for goods are regulated under: A) Section 25 CPA. B) Section 27 CPA. C) Section 18 CPA. D) Section 20 CPA. Show Answer Correct Answer: D) Section 20 CPA. 41. What is the main goal of consumer protection laws? A) To support sellers. B) To protect buyers from fraud and unsafe products. C) To increase taxes. D) To advertise products. Show Answer Correct Answer: B) To protect buyers from fraud and unsafe products. 42. Independent agency of the US government that promotes consumer protection and the elimination of anti-competitive business practices? A) BBB. B) CPSC. C) FTC. D) IRS. Show Answer Correct Answer: C) FTC. 43. Bajaj Auto Ltd. purchased a machinery for Rs. 5 crore from Priya Ltd. and found it defective. Despite many complaints the defect was not rectified. Suggest Bajaj Auto Ltd. the appropriate forum to file their complaint in the three-tier machinery under the Consumer Protection Act. A) DISTRICT FORUM. B) STATE COMMISSION. C) SUPREME COURT. D) NATIONAL COMMISSION. Show Answer Correct Answer: D) NATIONAL COMMISSION. 44. Chase is concerned he will be turned down for a loan because he is a single male. What law protects him against this concern? A) Equal Credit Opportunity Act. B) Fair Credit Reporting Act. C) Fair Debt Collections Act. D) Fair Credit Billing Act. Show Answer Correct Answer: A) Equal Credit Opportunity Act. 45. Which agency enforces laws against deceptive advertising and unfair business practices? A) Better Business Bureau (BBB). B) Federal Deposit Insurance Corporation (FDIC). C) Securities and Exchange Commission (SEC). D) Federal Trade Commission (FTC). Show Answer Correct Answer: D) Federal Trade Commission (FTC). ← PreviousRelated QuizzesCommerce QuizzesClass 12 QuizzesClass 12 Business Studies Chapter 12 Consumer Protection Quiz 1Class 12 Business Studies Chapter 12 Consumer Protection Quiz 2Class 12 Business Studies Chapter 12 Consumer Protection Quiz 3Class 12 Business Studies Chapter 12 Consumer Protection Quiz 4Class 12 Business Studies Chapter 12 Consumer Protection Quiz 5Class 12 Business Studies Chapter 12 Consumer Protection Quiz 6Class 12 Business Studies Chapter 12 Consumer Protection Quiz 7Class 12 Business Studies Chapter 12 Consumer Protection Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books