Test Your Advertising Knowledge

Question 1

Informercials are a type of "bait and switch" fraud.

Accepted Answer

False

Question 2

In America, markets require "buyer beware" or Caveat Emptor & advertisers are not responsible.

Accepted Answer

False

Question 3

Credit repair services can be fraudulent due to promises made to fix credit problems.

Accepted Answer

True

Question 4

Bait and Switch is consumer fraud that:

Accepted Answer

Tricks us into coming in for one product and buying another

Question 5

Advertisers are, by law, responsible for misunderstandings over their ads.

Accepted Answer

False

Question 6

Infomercials (program-length commercials) can be spotted by:

Accepted Answer

Feature one company's product(s)/service(s) as best

Question 7

The hardest part about proving criminal fraud is demonstrating intent to deceive.

Accepted Answer

True

Question 8

While advertisers are responsible for the accuracy of their ads, consumers need to be careful.

Accepted Answer

True

Question 9

When commercials feature citizens saying they like a product, it is usually useful information.

Accepted Answer

False

Question 10

What are 2 ways to protect yourself when buying from an informercial?

Accepted Answer

Pay by credit card, order & ship U.S. mail

Question 11

Bargain appeals can mislead consumers because:

Accepted Answer

"Bargains" can cost consumers more than they saved

Question 12

The law does not require all advertisements to be literally true.

Accepted Answer

True

Question 13

If an ad appears often enough, the law assumes people learn it is "puffery" and legal.

Accepted Answer

False

Question 14

Out-of-stock advertised specials are unethical, but may not be illegal fraud.

Accepted Answer

True

Question 15

An unfinished comparison says something is better, but not what it is better than.

Accepted Answer

True

Questions 15