Consumer Smarts Study Guide

Which of the following statements is true about subscription services?

• Annual billing is always cheaper than monthly billing.

• Annual billing is always more expensive than monthly billing.

• Subscriptions may come with hidden fees and automatic renewal.

• Subscriptions don’t require contracts, so you can cancel anytime.

What’s the best way to compare the true price of two similar products, like different boxes of crackers?

• Look at the price per ounce.

• Look at the product to dollar ratio.

• Look at the cost savings differential.

• Look at the price of the generic vs. name brand box.

What is a raincheck at the grocery store?

• A guarantee that the sale item you want will be back in stock by the end of the week.

• A guarantee that you can purchase the item at the sale price for the next week.

• A guarantee that a store will set aside the item you are looking for when it’s back in stock.

• A guarantee that you can purchase an out-of-stock sales item at a future date for the sales price.

Because influencers are sometimes paid to promote products, it’s a best practice to:

• Never follow an influencer’s purchase recommendations.

• Only purchase recommendations that are also available in physical stores so it’s easier to return.

• Do your own research into product recommendations before purchasing.

• Only take recommendations from influencers you trust.

Which statement about online product reviews is true?

• Look at the star ratings for the most unbiased information.

• Older reviews are always the most reliable.

• Newer reviews are always the most reliable.

• People may post reviews about products they’ve never purchased.

When shopping online, it’s a good idea to...

• Read every review so you really know what you’re getting.

• Look at reviews that focus on product features that matter to you.

• Search online then find the same product in a physical store so you can see it in person and purchase it there.

• Buy the least expensive product to minimize risk.

Why do grocery store sales cycles matter?

• They help consumers know the best time of year to stock up on particular products.

• They help employees know when to put items on sale.

• They don’t matter if you choose grocery pick-up or delivery.

• They don’t matter if you’re meal planning to save money.

The opportunity cost of spending $25 on a concert ticket instead of a new video game is:

• The time you spent researching the new video game.

• The $25 you don’t have for a new video game.

• The $25 you don’t have a new video game plus the time you spent researching games.

• The $25 spent on the concert ticket.

When is it worth it to pay less money for a lower quality product?

• When you’re willing to take a chance that it might not last as long as you hope.

• When you only need it to last a short time and it fits in the budget.

• When you want to spend as little money as possible.

• It’s never worth it to buy a low-quality product.

Which statement about quality and quantity is true?

• Quality is subjective, quantity is objective.

• Quality is objective, quantity is subjective.

• Increased quality comes with decreased quantity.

• Increased quantity leads to increased quality.