This quiz works best with JavaScript enabled. Home > Cbse > Class 12 > Commerce > Business Studies > Class 12 Business Studies Chapter 12 Consumer Protection – Quiz 7 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 12 Consumer Protection Quiz 7 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Name one role of consumer protection agencies. A) To limit consumer access to information about products. B) To regulate the prices of goods and services directly. C) To promote corporate interests over consumer needs. D) To enforce consumer rights and ensure fair trade practices. Show Answer Correct Answer: D) To enforce consumer rights and ensure fair trade practices. 2. What is the main issue with "bait and switch" advertising? A) It involves sending unordered goods. B) It uses deceptive words in advertisements. C) It quickly runs out of advertised products. D) It directs customers to higher-priced items. Show Answer Correct Answer: D) It directs customers to higher-priced items. 3. The consumer must be assured access to a variety of goods and services at competitive prices. A) Right to choose. B) Right to be heard. C) Right to safety. D) Right to Consumer Protection Act. Show Answer Correct Answer: A) Right to choose. 4. If the value of goods or services is less than ₹ 50 lakh, the complaint should be filed in- A) State Commission. B) National Commission. C) District Commission. D) Supreme Court. Show Answer Correct Answer: C) District Commission. 5. Under the Consumer Protection Act, complainant means: A) Consumer. B) State Government. C) Central Government. D) All of these. Show Answer Correct Answer: D) All of these. 6. The Central Authority may after receiving information or complaint or directions from central Government conduct preliminary inquiry and it is satisfied that prima facie case is of violation of consumer rights, it will cause investigation by: A) Director General. B) Central Government. C) District Commission. D) Supreme Court. Show Answer Correct Answer: A) Director General. 7. What is sale or return? A) A sale that calls for payment at a later date. B) A completed sale which buyer has option to return goods. C) A public sale to the highest bidder. D) A sale in which goods are delivered on a satisfactory basis. Show Answer Correct Answer: B) A completed sale which buyer has option to return goods. 8. To claim damages for defective products, a consumer must prove damage, defect, and a causal link. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 9. How many members will be there in District Forum? A) 3. B) 2. C) 5. D) 4. Show Answer Correct Answer: A) 3. 10. The problem with warranties before the Magnuson-Moss Warranty Act was they were vague and left out critical information. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 11. What rights do Financial Consumers have regarding their personal information? A) Right to be informed and access their information. B) No rights at all. C) Only the right to complain. D) None of the above. Show Answer Correct Answer: A) Right to be informed and access their information. 12. A consumer buys a pair of glasses and drops them resulting in the frame being damaged, do they have any rights? A) Yes. B) No. C) All the above. D) None of the above. Show Answer Correct Answer: B) No. 13. Prakahar purchased an ISI mark electric iron from Bharat Electricals. While using it, he found that it was not working properly. He approached the seller and complained about the same. The manufacturer refused to replace and Bharat Electrical decided to file a complaint in the consumer court. Can Bharat Electricals do this? Why? A) YES, IT IS HIS RIGHT. B) NO, HE IS NOT A CONSUMER. C) YES, HE CAN FILE ON BEHALF OF CONSUMER. D) NONE OF THE ABOVE. Show Answer Correct Answer: B) NO, HE IS NOT A CONSUMER. 14. What is a credit report? A) A Report card. B) Statement of every payment ever. C) Nothing. D) None of the above. Show Answer Correct Answer: B) Statement of every payment ever. 15. In a tenancy by the entireties the co-owners must always be husband and wife. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 16. The National Commission consists of how many total memebers? A) Five. B) Six. C) Four. D) Three. Show Answer Correct Answer: A) Five. 17. Which of the following is a responsibility of a consumer? A) To ignore safety instructions. B) To misuse consumer rights. C) To check quality marks before purchase. D) To buy goods without bills. Show Answer Correct Answer: C) To check quality marks before purchase. 18. True or False. The Consumer Credit Act ensures that creditors must send you regular statements and arrears letters if you fall behind on regulated debts? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 19. What does adulteration refer to? A) Mixing inferior substances with goods. B) Selling products at a higher price. C) Offering discounts on products. D) Providing false information about products. Show Answer Correct Answer: A) Mixing inferior substances with goods. 20. What does TILA primarily require lenders to disclose? A) Key terms and costs of loans. B) Credit scores. C) Loan repayment terms. D) Property values. Show Answer Correct Answer: A) Key terms and costs of loans. 21. Statement I:Consumer education is essential for the empowerment of consumers. Statement II:Lack of consumer education leads to exploitation of consumers. A) Statement I is correct and Statement II is wrong. B) Statement II is correct and Statement I is wrong. C) Both the statements are correct. D) Both the statements are incorrect. Show Answer Correct Answer: C) Both the statements are correct. 22. A consumer can complain about goods for up to 6 years, as along as it is reasonable for these goods to last this long-what goods could this include? A) Sweets. B) Electrical goods. C) Clothes. D) Stationary. Show Answer Correct Answer: B) Electrical goods. 23. A responsible consumer must: A) Exercise his/her rights. B) Insist on cash memo. C) Be quality conscious. D) All of these. Show Answer Correct Answer: D) All of these. 24. Why do producers often lack concern for consumer welfare? A) Producers aim to enhance consumer education. B) Producers prioritize profit over consumer welfare. C) Producers are primarily focused on environmental sustainability. D) Producers believe consumer welfare is guaranteed by market competition. Show Answer Correct Answer: B) Producers prioritize profit over consumer welfare. 25. If aggrieved party is not satisfied with the National Commission, appeal against the same can be made in the Supreme Court within ..... (subjected to original pecuniary jurisdiction, i.e. 10 crore) A) 15 days. B) 30 days. C) 15. D) 45 days. E) 60 day. Show Answer Correct Answer: B) 30 days. 26. Which of the following is a right of consumers? A) Right to be heard. B) Right to be ignored. C) Right to pay more. D) Right to be cheated. Show Answer Correct Answer: A) Right to be heard. 27. Which scenario best illustrates strict product liability allowing recovery without proving negligence? A) Buyer proves retailer promised specific performance but failed. B) Consumer demonstrates manufacturer intended to deceive purchasers. C) Injured party shows intermediary breached an express warranty. D) User shows a defect caused injury despite proper product use. Show Answer Correct Answer: D) User shows a defect caused injury despite proper product use. 28. What does CAI stand for? A) Consumer agency Information. B) Consumer advertising information. C) Customer association Ireland. D) Consumer association Ireland. Show Answer Correct Answer: D) Consumer association Ireland. 29. Mia bought a new phone, but it stopped working after a week. Which of the following is a consumer's right under the Consumer Rights Act? A) The right to receive free products. B) The right to choose any price. C) The right to return faulty goods. D) The right to demand discounts. Show Answer Correct Answer: C) The right to return faulty goods. 30. Who is not a consumer under consumer Protection Act? A) Any person who buys any goods for a consideration. B) Any person who buys goods and uses them exclusively for the purpose of earning his livelihood by means of self employment. C) Any person who obtains goods for resale or commercial purposes. D) All of the above. Show Answer Correct Answer: C) Any person who obtains goods for resale or commercial purposes. 31. Which of the following are roles of a consumer organization?A. filing complaints in appropriate forums on behalf of a consumerB. Educate Consumer through trainings, workshops etcC. Stop Consumer on raising a complaint about a defective productD. Providing legal assistance to consumer regarding any consumer issue A) A, B, C & D. B) A & B ONLY. C) A, B & D. D) B & C. Show Answer Correct Answer: C) A, B & D. 32. What role do associations play in consumer protection? A) Associations advocate for consumer rights and provide education and resources for consumer protection. B) Associations are responsible for enforcing laws against consumers. C) Associations only provide financial support to businesses in need. D) Associations primarily focus on business interests rather than consumer rights. Show Answer Correct Answer: A) Associations advocate for consumer rights and provide education and resources for consumer protection. 33. What does Caveat Emptor mean? A) Let the buyer beware. B) Let the buyer receive amazing offers. C) Beware of the dog. D) None of the above. Show Answer Correct Answer: A) Let the buyer beware. 34. Who can be appointed as President of National Commission? A) Judge of high court. B) Judge of supreme court. C) Chief Justice of India. D) District judge. Show Answer Correct Answer: B) Judge of supreme court. 35. From the point of view of business which one of the following is a reason because of which consumer protection is important? A) Dynamic environment. B) Fast technological development. C) Government intervention. D) Competitive market. Show Answer Correct Answer: C) Government intervention. 36. The liability of a product manufacturer does not arise if A) The product was modified by the consumer after purchase. B) There is a defect in design but the manufacturer has exercised reasonable care during the manufacturing process. C) The manufacturer can show that he/she was not negligent. D) Warning instructions though were not given usage instructions were given. Show Answer Correct Answer: A) The product was modified by the consumer after purchase. 37. What is the meaning of 'Consumer Rights'? A) Rights that are not enforceable. B) Rights that only apply to businesses. C) Rights that limit consumer choices. D) Rights that protect consumers from unfair practices. Show Answer Correct Answer: D) Rights that protect consumers from unfair practices. 38. The Office of Fair Trading (OFT) is A) A government organisation. B) An independent organisation. C) All the above. D) None of the above. Show Answer Correct Answer: A) A government organisation. 39. Which federal agency mainly enforces consumer protection laws? A) FBI. B) FTC. C) IRD. D) Department of Labour. Show Answer Correct Answer: B) FTC. 40. What legal principle, enshrined in the Consumer Protection Act of India, mandates that goods and services offered to consumers must be of satisfactory quality and fit for purpose? A) Doctrine of strict liability. B) Doctrine of privity of contract. C) Doctrine of implied warranty. D) Doctrine of caveat emptor. Show Answer Correct Answer: C) Doctrine of implied warranty. 41. . Anjana wants to buy a gold ring. As an aware consumer, how can she be sure about the quality of gold ring she is going to buy? A) FPO MARK. B) HALLMARK. C) AGMARK. D) ISI MARK. Show Answer Correct Answer: B) HALLMARK. 42. In case, the aggrieved party is not satisfied with the order of the district commission, he can appeal in: A) The State Commission. B) High Court. C) National Commission. D) Supreme Court. Show Answer Correct Answer: A) The State Commission. 43. Receive objective, truthful and understandable information, from the tourist companies:Define which right is this? A) Right to safety. B) Right to information. C) Right to consumer education. D) None of the above. Show Answer Correct Answer: B) Right to information. 44. An implied warranty that goods will be fit for a specific use. A) Warranty of Fitness. B) Above and Beyond. C) Warranty of Merchantability. D) Firm Offer. Show Answer Correct Answer: A) Warranty of Fitness. 45. Identify the importance of consumer protection according to consumers point of view. A) Consumer ignorance. B) Government intervention. C) Social responsibility. D) Moral justification. Show Answer Correct Answer: A) Consumer ignorance. 46. IN HOW MANY DAYS APPEAL CAN BE FILED IN UPPER COMMISSION AGAINST ORDER OF LOWER COMMISSION UNDER CONSUMER PROTECTION ACT? A) 30. B) 20. C) 10. D) 40. Show Answer Correct Answer: A) 30. 47. Which of the following are both consumer responsibilities? A) Be aware, Speak out. B) Shout, complain. C) Make Mischief, Beware. D) Be silent at all time, Be ethical. Show Answer Correct Answer: A) Be aware, Speak out. 48. If there has been a failure in the services bought by a consumer, you are entitled to either the service repeated but better or a price reduction-true or false? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 49. What should you do if you receive an email asking for your bank account details? A) Reply with your information. B) Verify the sender and contact your bank directly. C) Ignore all emails from your bank. D) Forward the email to everyone you know. Show Answer Correct Answer: B) Verify the sender and contact your bank directly. 50. Can Consumer dispute redressal commission ask consumer to settle the case by mediation? if yes within how many days it needs to be informed? A) Yes within 4 days. B) Yes within 10 days. C) Yes within 5 days. D) No. Show Answer Correct Answer: C) Yes within 5 days. 51. Consumer should use ISI marked electrical appliance, is an example of: A) Right to choose. B) Right to be informed. C) Right to safety. D) Right to be heard. Show Answer Correct Answer: C) Right to safety. 52. Which of the following is NOT a protected class under the Fair Housing Act? A) Color. B) Religion. C) Race. D) Employment status. Show Answer Correct Answer: D) Employment status. 53. If goods require no testing, then complaint must be filed within: A) 3 months. B) 4 months. C) 1 month. D) 2 months. Show Answer Correct Answer: C) 1 month. 54. What is a 'Consumer' as defined in the context of the Consumer Protection Act? A) A government agency. B) A supplier of goods. C) An individual receiving goods or services. D) A business entity. Show Answer Correct Answer: C) An individual receiving goods or services. 55. The legal protections and agencies we've been studying are for people who are buying products for themselves and their families. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 56. Sophia bought a new laptop and wanted to know her rights as a consumer. She found out that the Consumer Rights Act came into effect in the UK in which year? A) 2010. B) 2020. C) 2015. D) 2005. Show Answer Correct Answer: C) 2015. 57. Goods under the CPA include all EXCEPT: A) Crops. B) Vehicles. C) Animals. D) Negotiable instruments. Show Answer Correct Answer: D) Negotiable instruments. 58. Pranav bought an iron of a reputed brand for rs 2000 but it caused an electric shock while it was being used. Pranav wants to exercise his 'Right'. Identify the 'Right' under which he can be protected. A) Right to consumer education. B) Right to be heard. C) Right to Safety. D) Right to seek Redressal. Show Answer Correct Answer: C) Right to Safety. 59. Which of the following are debt collectors allowed to do when they're attempting to collect debts? A) Call you late at night. B) Contact you at work. C) Contact you at home until a certain time. D) None of the above. Show Answer Correct Answer: C) Contact you at home until a certain time. 60. What is the maximum amount the Financial Services Compensation Scheme (FSCS) can compensate for deposits? A) £50, 000. B) £85, 000. C) £150, 000. D) £100, 000. Show Answer Correct Answer: B) £85, 000. ← 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 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 8Class 12 Business Studies Chapter 12 Consumer Protection Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books