Post Test 2.05B

1. A warranty that covers the entire product is known as a(n) ___________________ warranty.

Express

Limited

Full

Implied

2. "Your money back if not satisfied" is an example of a

Warranty

Guarantee

Recourse

Strategy

3. Sam's new car came with a warranty that ended after 12,000 miles or one year. The warranty covered major parts. This is an example of a(n) _______________________ warranty.

Full

Implied

Illegal

Limited

4. When customers buy televisions, they expect them to transmit pictures. This is an example of a(n) ____________________ warranty.

Full

Implied

Express

Limited

5. Which of the following is a purpose of warranties and guarantees:

To increase customer anxiety about purchases

To protect the producer and the seller

To decrease feedback from customers

To avoid a customer-oriented focus for the business

6. A promise made by the seller to the customer that the seller will repair or replace a product that does not perform as expected is defined as a

Market

Warranty

Guarantee

Strategy

7. One way in which customers benefit from warranties and guarantees is

A business-oriented focus

Feedback from businesses

Increased profits

Reduced anxiety about purchases

8. A promise made by the seller to the customer that the seller will refund the customer's purchase price if the product does not perform as expected is defined as a

Guarantee

Recourse

Warranty

Full Warranty

9. The Federal Trade Commission has the authority to regulate warranties on any products that sell for more than

$15

$25

$1,000

$100

10. One way in which a business can benefit from warranties and guarantees is

Free repairs

Reduced business standards

Feedback from customers

The elimination of product liability

11. The Magnuson-Moss Warranty Act of 1975 provides that warranties must be

Clearly expressed

Interpreted

Written using complex language

Developed by consumers

12. Giving customers a list of locations at which they can obtain repair or replacement as part of a warranty or a guarantee provides the customer benefit of

Increased profits

Service information

Legal recourse

Reduced anxiety about purchases

13. Holiday Inn Express uses the slogan "No excuses, guaranteed" as a money-back promise to guests. This is an example of a

Warranty on goods

Guarantee on goods and services

Warranty on service

Guarantee on service

14. Companies that build a reputation for carrying out the terms of their warranties and guarantees generally have higher sales and more repeat customers, which result in

Unclear standards for the business

Decreases feedback from customers

A business-oriented focus

Increased profits

15. A customer buys an mp3 player and receives a printed warranty card stating the actions the company will take if the mp3 player does not work properly. This is an example of a(n) __________________________ warranty.

Express

Full

Implied

Limited

16. L.L.Bean promises "100% satisfaction in every way" to those who buy its goods. Items can be returned for refund or credit. This is an example of a(n)

Unconditional guarantee

Conditional guarantee

Unconditional warranty

Conditional warranty

17. Two characteristics of a good guarantee are that it should be

Conditional and understandable

Conditional and easy to implement

Unconditional and understandable

Unconditional and difficult to collect

18. True or False: Only express warranties hold up in court.

True. Only written evidence can be submitted in court.

True. Implied warranties cannot be verified.

False. Express warranties must be in writing.

False. Implied warranties are valid.

19. In its catalogs, a clothing manufacturer states: "If you are not completely satisfied with any item you buy from us, at any time during your use of it, return it and we will refund your full purchase price." This is an example of a

Warranty on goods

Guarantee on goods and service

Guarantee on goods

Warranty of service

20. Is an express warranty an oral promise given by the salesperson?

Yes. An express warranty is an oral promise given by a salesperson, but its extent is limited.

Yes. Whether the promise is limited or full, the seller must fulfill the promise to the customer.

No. An express warranty must be expressed verbally, and it also must me in written form.

Post Test 2.05b

1. A warranty that covers the entire product is known as a(n) ___________________ warranty.

2.

What first name or nickname would you like us to use?

2. "Your money back if not satisfied" is an example of a

3. Sam's new car came with a warranty that ended after 12,000 miles or one year. The warranty covered major parts. This is an example of a(n) _______________________ warranty.

4. When customers buy televisions, they expect them to transmit pictures. This is an example of a(n) ____________________ warranty.

5. Which of the following is a purpose of warranties and guarantees:

6. A promise made by the seller to the customer that the seller will repair or replace a product that does not perform as expected is defined as a

7. One way in which customers benefit from warranties and guarantees is

8. A promise made by the seller to the customer that the seller will refund the customer's purchase price if the product does not perform as expected is defined as a

9. The Federal Trade Commission has the authority to regulate warranties on any products that sell for more than

10. One way in which a business can benefit from warranties and guarantees is

11. The Magnuson-Moss Warranty Act of 1975 provides that warranties must be

12. Giving customers a list of locations at which they can obtain repair or replacement as part of a warranty or a guarantee provides the customer benefit of

13. Holiday Inn Express uses the slogan "No excuses, guaranteed" as a money-back promise to guests. This is an example of a

14. Companies that build a reputation for carrying out the terms of their warranties and guarantees generally have higher sales and more repeat customers, which result in

15. A customer buys an mp3 player and receives a printed warranty card stating the actions the company will take if the mp3 player does not work properly. This is an example of a(n) __________________________ warranty.

16. L.L.Bean promises "100% satisfaction in every way" to those who buy its goods. Items can be returned for refund or credit. This is an example of a(n)

17. Two characteristics of a good guarantee are that it should be

18. True or False: Only express warranties hold up in court.

19. In its catalogs, a clothing manufacturer states: "If you are not completely satisfied with any item you buy from us, at any time during your use of it, return it and we will refund your full purchase price." This is an example of a

20. Is an express warranty an oral promise given by the salesperson?