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WorksheetsPersonal Finance Chapter 6
Total questions: 36
Worksheet time: 18mins
Name
Class
Date
1.
Identify which method companies are using to compete for your money: "90-days-same-as-cash"
a)
Personal selling
b)
Financing
c)
Media
d)
Product Positioning
2.
Identify which method companies are using to compete for your money: Reputation for holding its value
a)
Personal selling
b)
Financing
c)
Media
d)
Product positioning
3.
What concept is best explained by the statement, "Money spent here cannot be spent there"?
a)
Law of diminishing return
b)
Opportunity cost
c)
Significant purchases
d)
Delayed gratification
4.
What is a safe assumption to make regarding companies and their marketing practices?
a)
Companies know that competition is fierce for consumer dollars
b)
Companies spend millions of dollars and do extensive research on advertising
c)
Companies use all angles to aggressively compete for your money
d)
All of the above
5.
When a company places an ad and offers no interest on your purchase for three years:
a)
They are not interested in making a profit
b)
They are showing their appreciation to you by giving you free money
c)
The cost of the financing is built into the price of the item
d)
All of the above
6.
Which of the following is not a common marketing strategy?
a)
Providing financing options
b)
Repetition
c)
Making the customer do product research
d)
Personal selling
7.
The purpose of advertising is to:
a)
Tease the consumer
b)
Inform the consumer
c)
Persuade the consumer
d)
All of the above
8.
Which of the following is not a need?
a)
Housing
b)
Eating out
c)
Utilities
d)
Food
9.
Which is not a "power over purchase" tactic?
a)
Compare your purchase with a friend's
b)
Consider the opportunity cost
c)
Wait overnight
d)
Seek counsel
10.
Which of the following is not a form of product positioning?
a)
Shelf positioning
b)
Packaging and color
c)
Financing
d)
Brand recognition
11.
Which of the following should you consider when making a significant purchase?
a)
Your buying motives
b)
If you can't pay with cash, don't buy it
c)
The opportunity cost
d)
All of the above
12.
Dave tells the story of a man who bought his dream car, drove it home, but then returned it the next day after some money calculations. This story is an example of:
a)
Brand recognition
b)
"Be backs" in the car business
c)
Buyer's remorse
d)
Opportunity cost
13.
Four common marketing tactics are:
a)
Repetition, buyer's remorse, product positioning, significant purchase
b)
Competition, financing, opportunity cost, personal selling
c)
Branding, personal selling, opportunity cost, financing
d)
Personal selling, financing, repetition, product positioning
14.
Identify which method companies are using to compete for your money: TV commercials
a)
Personal selling
b)
Financing
c)
Media
d)
Product positioning
15.
Identify which method companies are using to compete for your money: Car salesman
a)
Personal selling
b)
Financing
c)
Media
d)
Product positioning
16.
Inflation has no effect on your buying power.
a)
True
b)
False
17.
A good salesperson will answer a question with a question.
a)
True
b)
False
18.
Young single adults should find an accountability partner with whom to discuss big purchases.
a)
True
b)
False
19.
Never buy something you do not fully understand.
a)
True
b)
False
20.
The amount of stuff a person has is directly related to contentment and happiness.
a)
True
b)
False
21.
Zero percent financing is nothing more than a really good marketing tool.
a)
True
b)
False
22.
Repetition has proven to be an ineffective marketing technique.
a)
True
b)
False
23.
Teens have cited "friends" as the strongest influence over their purchase decisions.
a)
True
b)
False
24.
You should never wait overnight before making a big purchase if there is only one item left.
a)
True
b)
False
25.
A budget has little effect on a person's financial success unless he or she also develops power over purchase.
a)
True
b)
False
26.
The promotion of a product or service by identifying it with distinct characteristics; usually associated with public perception, quality or effectiveness
a)
product positioning
b)
branding
27.
To buy an item with credit; paying over time
a)
financing
b)
marketing plan
28.
Refers to the financial opportunity that is given up because you choose to do something else with your money
a)
opportunity purchase
b)
opportunity cost
29.
An amount of money you spend, usually $300, that causes some pain to part with
a)
significant purchase
b)
opportunity cost
30.
The process of communicating the value of a product or service to customers
a)
product positioning
b)
marketing
31.
Refers to the public's ability to recall and recognize a brand by its logo, jingles, packaging, etc.
a)
brand recognition
b)
marketing exposure
32.
Feeling regret or concern after making a large purchase
a)
buyer's remorse
b)
consumerism
33.
An economic system based on a free market, profit motive, open competition and private ownership of the means of production
a)
communism
b)
capitalism
34.
The persistent increase in the cost of goods and services or the persistent decline in the buying power of money
a)
deflation
b)
inflation
35.
A spur-of-the-moment, unplanned decision to buy a product or service
a)
impulse buy
b)
buyer's remorse
36.
What are the five steps you should take before making a significant purchase?
a)
Wait overnight, consider your buying motives, make sure you understand what you are buying, consider the opportunity cost, pay the asking price
b)
Wait overnight, consider your buying motives, make sure you understand what you are buying, consider the opportunity cost, and seek wise counsel
c)
Wait overnight, consider your buying motives, make sure you understand what you are buying, consider the opportunity cost, don't seek wise counsel
d)
Wait overnight, consider your buying motives, make sure you understand what you are buying, consider the opportunity cost, consider inflation
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