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Flashcards in chapter 7 Deck (33)
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1
Q

In certain circumstances, it is okay to stretch the truth to get a bargain(t/f)

A

false

2
Q

The Federal Trade Commission found that people who reported having more debt than they could handle were more likely to be victims of consumer fraud involving

A

credit repair and debt consolidation

3
Q

Making informed choices as a consumer will usually yield savings(t/f)

A

true

4
Q

Most of the items at a pawnshop are stolen(t/f)

A

false

5
Q

Joe tries to bargain at an electronics store but is unable to negotiate the price down. What should be his next step?

A

walk away

6
Q

When buying things at an auction, it is important that you

A

all of the above

7
Q

Process by which the holder of a mortgage sells the property of a homeowner who has not made interest and/or principal payments on time as stipulated in the mortgage contract

A

forclosure

8
Q

The process of quantifying costs and benefits of a decision

A

cost-benefit analysis

9
Q

“The Lucky Sevenʺ rules can get you incredible deals on the stuff you buy every day, but they only work if you:

A

use them

10
Q

Which of the following statements is false about bargening

A

Your choices as a consumer have no impact on the larger social environment.

11
Q

To bargain for a lower price

A

neogatiate

12
Q

Excluding the United States, most countries use negotiating as a way of life(t/f)

A

true

13
Q

Shopping for bargains is part of a healthy financial plan because it makes your hard-earned money go further(t/f)

A

true

14
Q

Using cash gives you more bargaining power than using credit.(t/f)

A

true

15
Q

The ability to walk away from a purchase when negotiating

A

walk-away power

16
Q

The good guy, bad guy technique is a negotiating tool that you should be aware of.(t/f)

A

true

17
Q

Which of the following is true about the ʺIf Iʺ take-away technique?

A

This technique involves negotiating the lowest price possible, then throwing something else into the deal.

18
Q

Which of the following describes why using cash is a great bargaining tool?

A

all of the above

19
Q

Getting the best deal on a purchase involves doing all of the following except

A

Being first in line for a new product

20
Q

The difference between the wholesale price and retail price

A

markup

21
Q

The exchange of goods or services without the use of money

A

barber

22
Q

Which of the following is typically not a good place to find a deal?

A

mall

23
Q

Learning to be quiet is actually a powerful tool in negotiation(t/f)

A

true

24
Q

Which of the following is not recommended when selling something you own?

A

Find an uninformed buyer and charge the highest price possible.

25
Q

Having to do with a person’s honesty and moral attributes

A

intergrity

26
Q

Which of the following statements is false?

  1. Negotiation involves a conversation of back-and-forth, give-and-take
  2. A great deal often just happens by accident.
  3. If negotiation is done correctly, it will end up being a win -win deal.
  4. Just asking for a great deal doesn’t always mean that you’ll get one.
A

a great deal often just happens by accident

27
Q

Being married (or emotionally attached) to a purchase will cause you to lose bargaining power.(t/f)

A

true

28
Q

Type of yard sale with more items, usually the entire contents of a household

A

estate sale

29
Q

Store return policies must balance customer service and profits. As a consumer, to ensure the best possible store return process, you should:

A

All of the above

30
Q

Retail store where people sell items and the owner of the shop gets a percentage of the sale

A

consignment shop

31
Q

A public sale in which property or items of merchandise are sold to the highest bidder

A

auction

32
Q

If you’re trying to buy something, it’s not your job to come up with a good price. Make the seller work for your business.(t/f)

A

true

33
Q

Which of the following is not recommended if you are trying to make your money go further?

A

buying only name brand products