Ch44-TB1-WBL-10O¦êv-F to Eric

Ch44-TB1-WBL-10O¦Ã&ordf...

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Chapter 44 Consumer Law N.B.:   TYPE  indicates that a question is new, modified, or unchanged, as  follows. N A question  new  to this edition of the Test Bank. + A question  modified  from the previous edition of the Test Bank, = A question  included  in the previous edition of the Test Bank. TRUE/FALSE QUESTIONS 1.  A deceptive advertisement is one that is false or misleading. ANSWER: T PAGE: 888 TYPE: = 2.  Advertising that appears to be based on factual evidence, even if it is not,  will  not  be deemed deceptive. ANSWER: F PAGE: 888 TYPE: = 3.  The Federal Trade Commission is charged  with preventing unfair and  deceptive trade practices. 187
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188 TEST BANK 1—UNIT NINE: GOVERNMENT REGULATION ANSWER: T PAGE: 888 TYPE: = 4.  It   is   generally   illegal   to   send   an   ad   via   fax   without   the   recipient’s  permission. ANSWER: T PAGE: 890 TYPE: + 5.  Telephone solicitation using an automatic dialing system is prohibited. ANSWER: T PAGE: 890 TYPE: = 6.  Package labels must use words that the ordinary consumer understands. ANSWER: T PAGE: 890 TYPE: = 7. Every food product label must include a warning of the possible effects of  the product on consumer health. ANSWER: F PAGE: 891 TYPE: = 8. Under federal law, persons who receive unsolicited merchandise can use it  but must pay for it. ANSWER: F PAGE: 891 TYPE: = 9.  Under the Truth-in-Lending Act, credit terms must be clearly and con- spicuously disclosed. ANSWER: T PAGE: 892 TYPE: + 10. Regulation Z applies to any installment sales contract. ANSWER: F PAGE: 892 TYPE: N
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CHAPTER 44: CONSUMER LAW 189 11. An individual who loses a credit card is limited to liability of $500 per card  for unauthorized charges made before the issuer is notified. ANSWER: F PAGE: 892 TYPE: + 12. Those who lease consumer goods in the ordinary course of their business  are  not  subject to the Truth-in-Lending Act. ANSWER: F PAGE: 893 TYPE: = 13. A credit agency may not issue a credit report to any creditor without first  obtaining the borrower’s permission. ANSWER: F PAGE: 893 TYPE: = 14. A business that reports information to credit agencies and does not respond  adequately to a customer complaint may be liable for damages. ANSWER: T PAGE: 895 TYPE: N
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190 TEST BANK 1—UNIT NINE: GOVERNMENT REGULATION 15. The Fair Debt Collection Practices Act applies to anyone who tries to collect  a debt. ANSWER: F PAGE: 895 TYPE: = 16. If a debt is unpaid for more than thirty days, a creditor can use any means  to collect.
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This note was uploaded on 10/15/2010 for the course ACCT ACCT40 taught by Professor Birnbaum during the Fall '08 term at CUNY Brooklyn.

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Ch44-TB1-WBL-10O¦Ã&ordf...

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