1. What is the minimum amount that a product must cost to require a label stating the condition of the warranty under the Magnuson-Moss Act?

Multiple Choice

• $5

• $10

• $15

• $20

2. Which of the following is not one of the FDA's powers?

Multiple Choice

• Ordering mandatory recalls.

• Stepping in and closing a business.

• Seizing contaminated products.

• Filing civil enforcement lawsuits.

3. Which piece of legislation prohibits denying an applicant credit on the basis of discrimination?

Multiple Choice

• Equal Credit Opportunity Act.

• U.S. Constitution.

• Fair Credit Act.

• Truth in Lending Act.

4. The purpose of the FTC in relation to consumers is

Multiple Choice

• nonexistent, since the FTC does not apply to consumers.

• to prevent unfair or deceptive acts in commercial transactions.

• to ensure that the UCC is followed.

• to promote interstate commerce.

5. The Truth in Lending Act covers creditors that

Multiple Choice

• regularly engage in extending credit for goods and services.

• occasionally extend credit for goods and services.

• extend credit for real estate.

• lend money to their relatives.