| A | B |
|---|
| Jenny has the option of borrowing $300 at a %3 interest rate. Which loan option would cost her the most money? | Loan for 1 year |
| Josh saved over $10,000 in a local bank while working on his job for the past six years. Which "C" of credit is he MOST LIKELY to meet? | Capacity |
| Which is an example of a service provided by a credit bureau? | Credit reports to other businesses |
| A Sears Department Store sales associate gave a customer a form to complete to apply for a credit card. Which factor examined by creditors did the customer receive? | Credit application |
| Walden Book Store obtained information about Ann's reputation for paying her bills. Which factor examined by creditors did the store receive? | Credit report |
| ABC Rental Company requires applicants to verify reputation for paying bills in order to determine potential credit risk. Which factor examined by creditors does the company require? | Credit report |
| Capital Bank reported John has both saving and checking accounts with its financial institution. Which factor for granting credit related to documentation is this institutions' actions? | Credit data |
| Chase Mortgage Company sends quarterly summaries of transactions. Which type of document does the company send? | Statement of account |
| Which is an example of content for a credit contract? | Repair services fee may apply statement |
| Mary paid only $50 for unauthorized charges made to her Capital One MasterCard. Which regulation protected her? | Truth-in-Lending Law |
| JCPenney makes sure all applicants are creditworthy before issuing any of them credit cards. Which regulation is JCPenney adhering? | Equal Credit Opportunity Act |
| Han sued a furniture store that verified it provided inaccurate information about his credit history. Which regulation would protect him in having the information corrected? | Fair Credit Reporting Act |
| After talking with a Sears customer representative about her overdue balance, Tina implemented a strategy that will minimize her debt. Tina used which type of credit assistance? | Debt repayment plan |
| Sky Blue Credit Repair Company assists clients with spending less on debt and eliminating credit problems. With which type of credit assistance does the company provide? | Credit counseling |
| Tim has the option of borrowing $5,000 at a 3% interest rate from a local bank. Which loan option would allow Tim to pay the LEAST amount of money? | Option 1: loan for 6 months |
| A local food company filed an insurance claim to compensate employees who lost personal belongings in a company fire. This is an example of which type of insurance risk? | Economic |
| A company agreed to compensate customers with $30 for those who experienced damages while using irons produced by the company. This is an example of which type of insurance risk? | Economic |
| A store relocated to a large building with plans to increase its profits and target market. This is an example of which type of insurance risk? | Speculative |
| A distributor remodeled its facilities in order to offer a variety of supplies to its customers. This is an example of which type of insurance risk? | Speculative |
| A chef allowed potential customers to taste sample dishes with plans for them to purchase several after the tasting.This is an example of which type of insurance risk? | Speculative |
| A sales associate encouraged customers to try on outfits in order to have an experience with the clothes. He/she planned for the experiences to convince the customers to purchase the clothes. This is an example of which type of insurance risk? | Speculative |
| ABC Investment Company invested over $300,000 obtained from their clients. The company gained 5% as a return on its investment.This is an example of which type ofinsurance risk? | Speculative |
| It would cost a cosmetic company at least $1.49 to produce a new line of shampoo. The company decided to continue with its original production instead of adding a new product. How did the company handle the potential risks? | Avoid |
| Fred's Electric Company receives over thirty service orders daily. The company's manager refers some of the orders to another company, since she wants to maintain a reputation of completing orders in a timely manner. How did the company handle the risks? | Transfer |
| The Electronics Company hires local delivery companies to set up equipment. How does the company handle the risks of setting up equipment? | Transfer |
| A-1 Cleaning Company has a contract with another company to take care of its customers' delicate fabrics. How does the company handle these risks? | Transfer |
| A real estate agent has the responsibility to showcase several homes in order to sell to potential customers. How is the agent currently handling the risks? | Assume |
| ABC Television Station changed its lineup of shows in response to a survey completed viewers. The station planned to increase its number of viewers for a season. How has the company handled the risks? | Assume |
| Barry's Pawn Shop accepts jewelry and electronics from customers all the time. The pawn shop waits the designated time for customers to return and retrieve their items. How does the shop handle risks? | Assume |
| Which is an example of uninsurable risks? | PDQ's competitors are now picking up packages from residential homes. |
| Cashiers can now manage several registers from a computerized station that will allow several customers to check out their groceries at one time. Which uninsurable risk is this? | Technology change |
| The Whole Foods Market provides workshops on how to prepare healthy meals. During the past three months, the attendance increased over 40%. This is an example of which type uninsurable risk? | Consumer demand |
| Home Depot has to reorder Scott's Lawn Care seeds more often than planned due to purchases by customers. This is an example of which type of uninsurable risk? | Consumer demand |
| GEICO Insurance Company opened several new offices to accommodate requests of policy holders for face-to-face contact.This is an example of which type uninsurable risk? | Consumer demand |
| Many newspapers are experiencing fewer subscribers since more subscribers are now obtaining news from the Internet. This is an example of which type uninsurable risk? | Technology change |
| What do insuring personnel and property have in common? | Both provide coverage for cost of risks. |
| What do hospital and surgical types of insurance have in common? Both are available through: | A comprehensive policy. |
