This quiz works best with JavaScript enabled. Home > Class 12 > Class 12 Business Studies Chapter 12 Consumer Protection – Quiz 21 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 12 Consumer Protection Quiz 21 (25 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. A unique word, mark, or symbol identifying products is called a servicemark. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 2. What is not an unfair trade practice? A) Supply of cheap quality goods. B) Selling the rebuilt sofa as new sofa. C) Putting a false label of warranty. D) Entitling the company to terminate the contract unilaterally. Show Answer Correct Answer: D) Entitling the company to terminate the contract unilaterally. 3. The quasi-judicial machinery set up at the highest level for redressal of consumer disputes is: A) The District Forum. B) The State Consumer Commission. C) Consumers International. D) National Consumer Disputes Redressal Commission. Show Answer Correct Answer: D) National Consumer Disputes Redressal Commission. 4. The practice by which a store improperly advertises an understocked, low-priced "come on" to lure prospective buyers into the store and then tries to sell them something more expensive. A) Bait and switch. B) Swap tactic. C) Switcheroo technique. D) None of the above. Show Answer Correct Answer: A) Bait and switch. 5. When the seller manipulates the price, it is known as? A) Unfair trade practices. B) Restricted trade practices. C) Manipulated trade practices. D) All the above. Show Answer Correct Answer: B) Restricted trade practices. 6. Which of the following in NOT one of the 3 main areas in which The Consumer Affairs Division protects consumers: A) Providing Consumer Redress/Protection. B) Providing Consumer Research. C) Providing Consumer Financing. D) Providing Consumer Education. Show Answer Correct Answer: C) Providing Consumer Financing. 7. What is the primary mission of the Federal Deposit Insurance Corporation (FDIC)? A) To insure deposits and manage receiverships. B) To regulate stock markets. C) To provide loans to small businesses. D) To oversee international trade. Show Answer Correct Answer: A) To insure deposits and manage receiverships. 8. In the lawnmower scenario, which principle most strengthens the consumer's claim against the manufacturer? A) Comparative negligence of the parent. B) Foreseeable misuse under design defect. C) Open and obvious danger doctrine. D) Assumption of risk due to flap removal. Show Answer Correct Answer: B) Foreseeable misuse under design defect. 9. What is a 'suspension notice' under the Consumer Protection Act 1987? A) A notice allowing the sale of goods. B) A notice for marketing strategy. C) A notice prohibiting the supply of goods for a specified period. D) A notice for product approval. Show Answer Correct Answer: C) A notice prohibiting the supply of goods for a specified period. 10. An organization focused on advancing marketplace trust by setting ethical standards for businesses, sets standards for advertisements, and evaluates charities. A) IRS. B) SEC. C) BBB. D) CPSC. Show Answer Correct Answer: C) BBB. 11. What is the role of the committee on consumer policy in the digital marketplace? A) To develop policy recommendations and best practice guides. B) To enforce consumer protection laws. C) To educate consumers about their rights. D) To collect and share information about product recalls. Show Answer Correct Answer: A) To develop policy recommendations and best practice guides. 12. Isabella wants to purchase a new refrigerator. When she applies for an installment loan at the appliance store, her loan application is turned down. What consumer law says that a lender must give her the reason, in writing, that she was denied the loan? A) Truth-in-Lending Act. B) Equal Opportunity Act. C) Fair Debt Collection Practices Act. D) Fair Credit Reporting Act. Show Answer Correct Answer: D) Fair Credit Reporting Act. 13. What does product liability mean? A) The seller or distributor or manufacturer held responsible for the defect in the product due to which consumer has or might suffer damage. B) Complaint against the manufacturer, seller or distributor for producing or selling or distributing harmful or defective product. C) Dissatisfaction amongst the consumer. D) None of the above. Show Answer Correct Answer: A) The seller or distributor or manufacturer held responsible for the defect in the product due to which consumer has or might suffer damage. 14. The consumers has the forced to choose from the available variety of products. [ A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: B) FALSE. 15. If a business fails to comply with health and safety regulations, which organisation is likely to investigate in Great Britain? A) The Competition and Markets Authority (CMA). B) The Health and Safety Executive (HSE). C) The Environment Agency. D) The Office for National Statistics (ONS). Show Answer Correct Answer: B) The Health and Safety Executive (HSE). 16. Celebs or endorsers are equally liable for issuing false and misleading advertisement as the advertisers. This has been provided under A) Consumer Protection Act, 2019. B) Guidelines for prevention of misleading advertisements, 2022. C) Supreme Court in Patanjali Ayurved case. D) None of the options. Show Answer Correct Answer: C) Supreme Court in Patanjali Ayurved case. 17. What is one potential impact of the new data-driven economy on consumer protection? A) Increased personalization and enhanced product safety. B) Exposure to social biases and discrimination. C) Improved convenience and reduced environmental impact. D) Compromised safety due to software glitches or hackers. Show Answer Correct Answer: D) Compromised safety due to software glitches or hackers. 18. A small plastic card issued by a financial institution which can be used to make purchases. The amount charged is borrowed by the cardholder. A) Credit Card. B) Debit Card. C) Net card. D) Check. Show Answer Correct Answer: A) Credit Card. 19. Which of the following is important for effective teamwork? A) Communication. B) Self-Care. C) Arriving late. D) Being stubborn. Show Answer Correct Answer: A) Communication. 20. What is the role of the Consumer Financial Protection Bureau (CFPB)? A) Enforcing federal laws to protect consumers in the financial sector. B) Monitoring international trade agreements. C) Regulating the interest rates on savings accounts. D) Approving loan applications for businesses. Show Answer Correct Answer: A) Enforcing federal laws to protect consumers in the financial sector. 21. ..... consists of President and four other memebers. A) State Commission. B) National Commission. C) District Forum. D) All of the above. Show Answer Correct Answer: B) National Commission. 22. True or False. The Financial Conduct Authority uses powers to ensure standards are maintained? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 23. Which act provides for severe punishment for food adulteration? A) Monopolies and Restrictive Trade Practices Act, 1969. B) Essential Commodities Act, 1955. C) Prevention of Food Adulteration Act, 1954. D) Consumer Protection Act, 1986. Show Answer Correct Answer: C) Prevention of Food Adulteration Act, 1954. 24. ..... is the policy of the State to protect its citizens from a lack of awareness of the true cost of credit to the user by assuring a full disclosure of such cost with a view of preventing the uninformed use of credit to the detriment of the national economy. A) Fair Debt Collections Protection Act. B) Fair Credit Reporting Act. C) Fair Lending Act. D) Telephone Consumer Reporting Act. E) Truth in Lending Act. Show Answer Correct Answer: E) Truth in Lending Act. 25. What is the full name of National Commission? A) National Consumer Disputes Commission. B) National Consumer Redressal Commission. C) National Consumer Dispute Redressal Commission. D) National Consumer Development Redressal Commission. Show Answer Correct Answer: C) National Consumer Dispute Redressal Commission. ← PreviousNext →Related 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 8Class 12 Business Studies Chapter 12 Consumer Protection Quiz 9Class 12 Business Studies Chapter 12 Consumer Protection Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books