This quiz works best with JavaScript enabled. Home > Cbse > Class 12 > Commerce > Business Studies > Class 12 Business Studies Chapter 12 Consumer Protection – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 12 Consumer Protection Quiz 3 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which scenario best illustrates price fixing as an unfair method of competition? A) An airline uses dynamic pricing during holidays. B) A firm lowers prices to clear excess inventory. C) Two companies agree to set identical fares to end price wars. D) Two rivals independently match seasonal discounts. Show Answer Correct Answer: C) Two companies agree to set identical fares to end price wars. 2. What is the age limit of members of State Consumer Dispute Redressal Forum? A) 67. B) 70. C) 56. D) 65. Show Answer Correct Answer: A) 67. 3. Statement I:In India, several consumer organisations and non-governmental organisations (NGOs) have been set up for the protection and promotion of consumers' interests. Statement II:They have a constitution of their own and are free from government interference. A) Statement I is true and II is false. B) Statement II is true and I is false. C) Both the statements are true. D) Both the statements are false. Show Answer Correct Answer: C) Both the statements are true. 4. Credit abuse includes: A) Using your own card responsibly. B) Predatory lending. C) Working extra ho. D) Saving money. Show Answer Correct Answer: B) Predatory lending. 5. Maximum monetary value against the complain of product and service in district forum is- A) 20 lakh. B) 25 lakh. C) 1 crore. D) 15 lakh. Show Answer Correct Answer: A) 20 lakh. 6. A customer buys a smartphone online and it stops working within 10 days. The seller refuses to replace it.Which consumer right is violated here? A) Right to trade. B) Right to education. C) Right to choice. D) Right to seek redressal. Show Answer Correct Answer: D) Right to seek redressal. 7. When a case is filed in the District Commission, it can be appealed in: A) National Commission and then to Supreme Court. B) National Commission. C) High Court. D) Supreme Court. Show Answer Correct Answer: C) High Court. 8. What are consumer responsibilities? A) To be dishonest and irresponsible. B) To be ignorant and negligent. C) To be careless and uninformed. D) To be informed, honest, responsible, and vigilant about their rights. Show Answer Correct Answer: D) To be informed, honest, responsible, and vigilant about their rights. 9. According to Section 3 Consumer Protection Act, 2019 read with Rule 3 of The Consumer Protection (Central Consumer Protection Council) Rules, 2020, the Central Council shall consist of number of members not exceeding ..... A) 36. B) 26. C) 20. D) 12. Show Answer Correct Answer: A) 36. 10. What is the primary purpose of the Truth in Lending Act? A) To regulate environmental standards. B) To ensure fair lending practices and transparency. C) To promote international trade. D) To manage public transportation systems. Show Answer Correct Answer: B) To ensure fair lending practices and transparency. 11. Dishonest, fraudulent, or anti-competitive business method. A) Encumbrance. B) Privity of contract. C) Unfair trade practice. D) Disclaimer. Show Answer Correct Answer: C) Unfair trade practice. 12. Which of the following statements is incorrect with respect to responsibilities of a consumer? A) Be aware about various goods and services available in the market. B) Do not take an action even when the amount involved is small. C) Buy only standardised goods as they provide quality assurance. D) Ask for a cash memo on purchase of goods or services. Show Answer Correct Answer: B) Do not take an action even when the amount involved is small. 13. Who can make a complaint under this act A) Consumer. B) 3rd person. C) Alien. D) None of the above. Show Answer Correct Answer: A) Consumer. 14. To make it harder for someone to get your information you should ..... A) Leave your phone unblocked. B) Leave your front door open all day. C) Shred your important papers when done with them. D) Find a friend's house to put your papers in. Show Answer Correct Answer: C) Shred your important papers when done with them. 15. Receiving information insufficiently leads to a ..... which can cause the consumers to make a wrong decision on the purchase of goods or services. A) Interpretation. B) Misconception. C) Misunderstanding. D) Agreement. Show Answer Correct Answer: C) Misunderstanding. 16. Which of the following is NOT one of the three main areas of focus for the FCA? A) Marketing. B) Authorisation. C) Supervision. D) Enforcement. Show Answer Correct Answer: A) Marketing. 17. Which of the the following is not a a consumer right summed up by John f Kennedy? A) Right to safety. B) Right to consume. C) Right to be informed. D) Right to choose. Show Answer Correct Answer: B) Right to consume. 18. How is a defective product defined for the purposes of product liability? A) Defective means unsafe. B) Unfit for purpose in the minds of right-thinking people. C) It is not of high quality. D) If the safety of a product is not such as persons generally are entitled to expect. Show Answer Correct Answer: D) If the safety of a product is not such as persons generally are entitled to expect. 19. Under modern product liability rules, who may be sued for injuries caused by a defective product? A) Only the retailer who sold directly to the consumer. B) Only parties when a written warranty exists. C) Only the manufacturer identified by the injured party. D) Any retailer, intermediary, and/or manufacturer involved. Show Answer Correct Answer: D) Any retailer, intermediary, and/or manufacturer involved. 20. Which type of fraud uses new investors' money to pay earlier investors? A) Ponzi Scheme. B) Data Breach. C) Phishing. D) Telemarketing Scam. Show Answer Correct Answer: A) Ponzi Scheme. 21. What does the Right to Safety ensure? A) Products are safe for use. B) Consumers are safe from taxes. C) Sellers are protected from complaints. D) Discounts are available on all products. Show Answer Correct Answer: A) Products are safe for use. 22. In which year consumer protection act was passed by central government in India? A) 1995. B) 1984. C) 1986. D) 1996. Show Answer Correct Answer: C) 1986. 23. When a government agency acts on behalf of an injured party and puts out an order requiring a company to stop a specified conduct that is injuring consumers. A) Stop-and-go. B) Cease-and desist. C) Puffing. D) Consent order. Show Answer Correct Answer: B) Cease-and desist. 24. A consumer may not be entitled to a full refund if they use, wear or try to repair faulty goods-true or false? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 25. An unfair trade practice that is illegal in South Africa a 'get-rich-quick' money making scheme. A) Multi-level-marketing. B) Micro-lending. C) Stokvel. D) Pyramid scheme. Show Answer Correct Answer: D) Pyramid scheme. 26. Who determines whether there has been a significant imbalance in a contract, as per Dexia Nederland? A) Arbitrator. B) Consumer. C) Regulatory body. D) The court. Show Answer Correct Answer: C) Regulatory body. 27. As per the ..... the consumer has right to acquire knowledge and skills to be a well informed consumer. A) Right to choose. B) Right to be informed. C) Right to consumer education. D) Right to be heard. Show Answer Correct Answer: C) Right to consumer education. 28. Investigators confirm the risk from the lens-cleaning solution. What is the most appropriate FDA directive to the manufacturer? A) Cease marketing the solution and initiate a full recall. B) Limit sales to online retailers with warning labels. C) Offer coupons and rebates to affected consumers. D) Delay action until independent lawsuits conclude. Show Answer Correct Answer: A) Cease marketing the solution and initiate a full recall. 29. In case, the aggrieved party is not satisfied with the order of the district forum, he can appeal in: A) High Court. B) National Commission. C) Supreme Court. D) State Commission. Show Answer Correct Answer: D) State Commission. 30. National consumer right day is observed in- A) 2023-08-15 00:00:00. B) 2023-06-05 00:00:00. C) 14th february. D) 2023-03-15 00:00:00. Show Answer Correct Answer: D) 2023-03-15 00:00:00. 31. Which of the following is NOT a consumer right under CPA 2019? A) Right to be informed. B) Right to redressal. C) Right to profit. D) Right to choose. Show Answer Correct Answer: C) Right to profit. 32. Independent agency of the US Government that protects the public against unreasonable risks of injuries and deaths associated with consumer products. A) CPSC. B) SEC. C) IRS. D) BBB. Show Answer Correct Answer: A) CPSC. 33. A complaint can be filed against a seller, manufacturer or a dealer of goods whose goods are ..... in any manner. A) Perfect. B) Flawless. C) Defective. D) None of these. Show Answer Correct Answer: C) Defective. 34. Once your identity is stolen, thieves can use it to ..... A) Spend all your money. B) Obtain a driver's license. C) Get arrested. D) All of the above. Show Answer Correct Answer: D) All of the above. 35. How can regularly monitoring your credit report help protect against identity theft? A) It prevents all types of fraud. B) It allows you to detect unauthorized activities early. C) It automatically alerts authorities of theft. D) It increases your credit score. Show Answer Correct Answer: B) It allows you to detect unauthorized activities early. 36. ..... is celebrated as world consumer day A) 24th December. B) 26th January. C) 15th March. D) None of the above. Show Answer Correct Answer: C) 15th March. 37. Apa tujuan utama Literasi Keuangan? A) Untuk menyediakan layanan asuransi. B) Untuk mengatur pasar saham. C) Untuk meningkatkan keuntungan lembaga keuangan. D) Untuk meningkatkan kualitas pengambilan keputusan dan manajemen keuangan. Show Answer Correct Answer: D) Untuk meningkatkan kualitas pengambilan keputusan dan manajemen keuangan. 38. District Consumer Disputes Redressal Commission is established by? A) State Government. B) District Collector. C) Central Government. D) National Commission. Show Answer Correct Answer: A) State Government. 39. A written article stating guarantee of product to repair or replace during a span or period of time A) Receipt. B) Services. C) Warranty. D) Proof of purchase. Show Answer Correct Answer: C) Warranty. 40. Distric Fourm If the value of goods, services and claim is ..... A) 20 Lakh. B) 20 Lakh to 1 cr. C) Upto 1 cr. D) None of the above. Show Answer Correct Answer: A) 20 Lakh. 41. (i) The District forum can deal with complaints which involve value of goods and compensation amounting to not more than ..... A) Rs. 5 lakhs,. B) Rs. 20 lakhs,. C) Rs. 1 Crore). D) None of the above. Show Answer Correct Answer: B) Rs. 20 lakhs,. 42. Products that can be used instead of another product (e.g. margarine can be used instead of butter), are called A) Substitute products. B) Complement products. C) Fake products. D) None of these. Show Answer Correct Answer: A) Substitute products. 43. In which clause the rule of district forum has been mentioned? A) U/s 12. B) U/s 14. C) U/s 10. D) None of these. Show Answer Correct Answer: C) U/s 10. 44. If amount of compensation is up to 20 lakhs in which forum case can be filled? A) National commission. B) District forum. C) Supreme Court of India. D) State forum. Show Answer Correct Answer: B) District forum. 45. A supplier is not required to provide spare parts once goods are sold. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 46. Apa peran OJK dalam mencegah penipuan keuangan? A) OJK mencegah penipuan keuangan dengan mengatur lembaga keuangan, memantau kepatuhan, dan mendidik masyarakat. B) OJK hanya fokus pada peluang investasi tanpa menangani penipuan. C) Peran utama OJK adalah memberikan pinjaman kepada individu. D) OJK mempromosikan penipuan keuangan dengan membiarkan praktik yang tidak diatur. Show Answer Correct Answer: A) OJK mencegah penipuan keuangan dengan mengatur lembaga keuangan, memantau kepatuhan, dan mendidik masyarakat. 47. Mrs. Jain should check the following standardisation mark while purchasing a gold ring for her daughter. A) Agmark. B) Hallmark. C) ISI. D) FPO. Show Answer Correct Answer: B) Hallmark. 48. How is the unfairness of a contractual term determined? A) Considering only the economic impact. B) Assessing the nature of goods and services and all circumstances. C) Based on the popularity of the product. D) Ignoring the date of contract conclusion. Show Answer Correct Answer: B) Assessing the nature of goods and services and all circumstances. 49. True or False. The Consumer Credit Act sets out consumer rights when they borrow money? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 50. What does "validation" of debt mean? A) Changing the payment date. B) Ignoring the debt. C) Proof that a debt is real. D) Removing the debt. Show Answer Correct Answer: C) Proof that a debt is real. 51. What does the district forum mean according to the consumer Protection Act? A) Munsif Court. B) City Civil Court. C) First class judicial magistrate. D) Consumer disputes redressal forum. Show Answer Correct Answer: D) Consumer disputes redressal forum. 52. Who handles complaints related to consumer protection in Thailand? A) Tourism Authority. B) Consumer Protection Board. C) Local Government. D) Business Association. Show Answer Correct Answer: B) Consumer Protection Board. 53. Which of the following is a legal form of collective investment in South Africa? A) Pyramid scheme. B) Get-rich-quick scheme. C) High-yield investment program. D) Stokvel. Show Answer Correct Answer: D) Stokvel. 54. What does the Fair Housing Act of 1968 prohibit? A) Discrimination by direct providers of housing based on race, color, religion, sex, national origin, familial status, or disability. B) Discrimination by indirect providers of housing based on age. C) Discrimination based on employment status. D) Discrimination based on income level. Show Answer Correct Answer: A) Discrimination by direct providers of housing based on race, color, religion, sex, national origin, familial status, or disability. 55. Where is the office of Central Consumer Protection Authority located? A) Consumer Affairs ministry office. B) IIM, New Delhi. C) IIT, New Delhi. D) IIPA, New Delhi. Show Answer Correct Answer: D) IIPA, New Delhi. 56. Which of the following is NOT considered to be a billing error? A) Charge not incurred. B) Charge billed with the wrong description. C) Charge for goods damaged by the consumer. D) Charge for goods never delivered. Show Answer Correct Answer: C) Charge for goods damaged by the consumer. 57. You should give your social security number, address, and phone number to an unknown person or business asking for this information online A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 58. What is the purpose of the Dodd-Frank Act? A) To enforce laws against deceptive advertising. B) To insure bank deposits. C) To prevent another financial crisis by increasing regulation of banks. D) To protect the privacy of consumer credit reports. Show Answer Correct Answer: C) To prevent another financial crisis by increasing regulation of banks. 59. The Government has established ..... to settle the consumer disputes by compromise A) Lok Adalat. B) Consumer organisation. C) District Commission. D) Non Governmental Organisation NGO. Show Answer Correct Answer: A) Lok Adalat. 60. A retailer's rules for returning or exchanging merchandise. A) Fraud. B) Return policy. C) Product safety. D) Customer service. Show Answer Correct Answer: B) Return policy. ← PreviousNext →Related 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 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 8Class 12 Business Studies Chapter 12 Consumer Protection Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books