66) Which of the following would come under the purview of the Medicinal Device Amendment
to the FDCA?
A) a new oral medication for depression
B) a new range of cosmetics to reduce signs of aging
C) a new and compact heart pacemaker
D) a revolutionary drug therapy for cancer
67) Which of the following consumer products comes under the purview of the CPSC?
A) aircrafts
B) motor vehicles
C) firearms
D) children’s toys
68) The Consumer Product Safety Commission is ________.
A) a communion of two state-funded regulatory bodies working together to ensure consumer
safety
B) a federal body created to ensure the safety of few consumer products like motor vehicles,
boats, aircraft, and firearms
C) an independent federal administrative agency that regulates potentially dangerous consumer
products
D) a federal agency working to ensure product safety standards for food, poultry, medicines, and
medical devices
69) Which of the following is true of seeking injunctions on consumer products under the CPSC?
A) The CPSC can only seek an injunction once a private party has lodged a complaint with it.
B) Only the CPSC can sue for an injunction when CPSC rules are violated.
C) A private party can sue for an injunction to prevent violations of the act or of CPSC rules and
regulations.
D) Injunctions cannot be pursued on products that have not yet been sold or marketed.
70) Which of the following is a function that the Consumer Product Safety Commission is
empowered to execute?
A) collecting data regarding injuries caused by consumer products
B) regulating the distribution of genetically modified food products
C) recalling drugs that have been found to be harmful from the market
D) accepting petitions from consumers on wrongly labeled food products
71) Which of the following federal agencies is authorized to adopt and enforce the Family
Smoking Prevention and Tobacco Control Act?
A) the Consumer Product Safety Commission
B) the Federal Trade Commission
C) the Food and Drug Administration
D) the Agency for Healthcare Research and Quality
72) Which of the following is a requirement of the Family Smoking Prevention and Tobacco
Control Act?
A) a 2 percent increase in excise tax per cigarette package
B) a warning on the top 50 percent of both the front and back of each cigarette package
C) a tax exemption for companies that voluntarily display warning labels on their packages
D) a hotline number to the FDA for apparent violations of the provisions of this Act
73) Which of the following is true of the Health Care Reform Act?
A) Excise taxes for pharmaceuticals are reduced.
B) Employers of big corporations are given subsidies for providing health insurance to their
employees.
C) All employers are mandatorily required to provide health insurance coverage to their
employees.
D) Persons who do not obtain coverage will be required to pay a tax penalty to the federal
government.
74) The Health Care Reform Act is an amendment of the ________ Act.
A) Consumer Product Safety
B) Patient Protection and Affordable Care
C) Medical Device Amendment
D) Federal Trade Commission
75) Which of the following is a new protection provided by the Health Care Reform Act for
people seeking health coverage?
A) imposition upon the insurers to provide a lifetime limit on health benefits to all legal citizens
B) continuation of medical insurance for people who have developed a terminal disease
C) prevention of insurance companies from providing health care insurance to individuals with
preexisting health conditions
D) provision of mandatory medical insurance for health coverage for illegal immigrants
76) The ________ prohibits health insurance companies from terminating health insurance
coverage when a person gets sick.
A) Health Care Reform Act
B) Drug Amendment of the FDCA Act
C) Medical Device Amendment Act
D) Food, Drug, and Cosmetic Act
77) Which of the following is true of the FTC?
A) The FTC can only sue in state courts.
B) The FTC’s decision can be appealed in a state court.
C) The FTC can sue to obtain compensation on behalf of the consumer.
D) The FTC is not allowed to directly disclose its findings to the public.
78) Which of the following would constitute a false advertising according to the Federal Trade
Commission?
A) sales talk
B) unsubstantiated claims
C) minimal commercial speech
D) statements of opinion
79) The FTC states that a bait and switch occurs if ________.
A) the buyer comes to the store to buy unadvertised merchandise
B) the buyer is not aware of the discounted merchandise in the store
C) the seller shows the customer only the advertised merchandise that is on discount sale
D) the seller refuses to show consumers the advertised merchandise
80) The Do-Not-Call Registry was provided by the ________ to protect consumers from
unsolicited commercial telephone calls.
A) Federal Trade Commission
B) Food and Drug Administration
C) Consumer Product Safety Commission
D) Federal Communications Commission
81) Which of the following is true of the do-not-call registry for consumers?
A) The registration is valid for the lifetime of the customer who opted for it.
B) Telemarketers have three days to remove the customer’s name upon registry.
C) Charitable and political organizations are exempted from the registry.
D) Customers cannot choose the companies that they do not wish to receive calls from.
82) The ________ Act of 2010 is a federal statute that requires increased disclosure of credit
information and terms to consumers and regulates consumer credit providers and others.
A) Fair Credit Billing
B) Consumer Leasing
C) Mortgage Reform and Anti-Predatory Lending
D) Consumer Financial Protection
83) Which of the following Acts is particularly designed to regulate the home loan market, and
put the burden on lenders to verify that a borrower can afford to repay the loan for which he or
she has applied?
A) Fair Credit Reporting Act
B) Consumer Financial Protection Act of 2010
C) Truth-in-Lending Act
D) Mortgage Reform and Anti-Predatory Lending
84) Which of the following federal statutes requires creditors to disclose finance charge,
including interest, points, and other fees paid for the extension of credit to debtors?
A) Fair Debt Collection Practices Act
B) Consumer Financial Protection Act of 2010
C) Mortgage Reform and Anti-Predatory Lending Act of 2010
D) Truth-in-Lending Act
85) Regulation Z is an administrative agency regulation that sets forth detailed rules for
compliance with the ________ Act.
A) Fair Credit Reporting
B) Truth-in-Lending
C) Fair Credit Billing
D) Fair Debt Collection Practices
86) Creditors that violate the Consumer Lease Act are subject to the civil and criminal penalties
provided in the ________ Act.
A) Truth-in-Lending
B) Fair Credit Billing
C) Fair Credit and Charge Card Disclosure
D) Fair Debt Collection Practices
87) Which of the following legislations protects consumers in challenging information contained
in a credit file?
A) Fair Credit Billing Act
B) Equal Credit Opportunity Act
C) Fair Debt Collection Practices Act
D) Fair Credit Reporting Act
88) The ________ Act of 2003 permits consumers to place fraud alerts in their credit files.
A) Fair Debt Collection Practices
B) Fair Credit Billing
C) Fair and Accurate Credit Transactions
D) Fair Credit Reporting
89) Melissa owes her bank money for her credit card bills. For the past two weeks, debt
collectors have been harassing her for bill payment by sending people over to her workplace. Her
boss expressly asks her to not have such meetings at the workplace. But despite requesting the
collection agency, the collectors continue to visit her at her workplace. Which of the following
Acts has provisions that would help protect Melissa from such harassment?
A) Fair and Accurate Credit Transactions Act
B) Fair Credit Reporting Act
C) Fair Debt Collection Practices Act
D) Fair Credit and Charge Card Disclosure Act
90) Tim has been approached by Kent regarding Tim’s credit card bill payment. Kent is aware of
Tim’s debt, and says he has come on behalf of the bank he owes to get assurance from Tim that
he will repay the credit bill within a specific period of time. Kent is an outside agent who does
not work for the bank. Which of the following legislations has the bank violated by contracting
Kent to contact Tim?
A) Fair Credit Reporting Act
B) Fair and Accurate Credit Transactions Act
C) Fair Credit and Charge Card Disclosure Act
D) Fair Debt Collection Practices Act
91) The ________ Act is a federal statute that prohibits discrimination in the extension of credit
based on sex, marital status, race, color, national origin, religion, age, or receipt of income from
public assistance programs.
A) Fair Debt Collection Practices
B) Equal Credit Opportunity
C) Fair Credit Billing
D) Truth-in-Lending
92) What is the United Nation’s Biosafety Protocol for genetically altered food?
93) Give an account of the regulation of medicinal devices in the United States?
94) What are the powers of the Consumer Product Safety Commission? Name some consumer
products excluded from the purview of the CPSC.
95) List out the new protections that are available under the Health Care Reform Act of 2010.
96) What is the bait and switch advertising model?
97) How does the Mortgage Reform and Anti-Predatory Lending Act of 2010 help regulate
mortgage transactions?
98) Give an account of the Consumer Financial Protection Act of 2010.
99) In the United States, the ________ is the federal administrative agency that is primarily
responsible for regulating meat, poultry, and other food products.
100) The ________, enacted in 1962, gives the FDA power to withdraw approval of any
previously licensed drug.
101) The ________ is the federal administrative agency empowered to enforce the FDCA.
102) The ________ Act of 2010 requires restaurants and retail food establishments with twenty
or more locations to disclose calorie counts of their food items to be made on menus and menu
boards.
103) The ________ is an independent federal administrative agency empowered to conduct
research on the safety of consumer products.
104) The Patient Protection and Affordable Care Act (PPACA) was amended by the Health Care
and Education Reconciliation Act. The amended act is commonly referred to as the ________
Act of 2010. The goal of this act was to increase the number of persons who have health care
insurance in the United States.
105) The federal administrative agencies–the Federal Trade Commission (FTC) and the FCC–
promulgated administrative rules that created the ________, on which consumers can place their
names and free themselves from most unsolicited commercial telephone calls.
106) ________ is a type of deceptive advertising under Section 5 of the FTC Act. It occurs when
a seller advertises the availability of a low-cost discounted item to attract customers to its store.
107) The ________ is a federal statute that requires creditors to make certain disclosures to
debtors in consumer transactions and real estate loans on the debtor’s principal dwelling and
covers only creditors that regularly extend credit for goods or services to consumers.
108) ________ is an administrative agency regulation that sets forth detailed rules for
compliance with the TILA.
109) Title XIV of the Dodd-Frank Act, called the ________ Act, is designed to eliminate many
abusive loan practices and mandates new duties and disclosure requirements for mortgage
lenders.
110) A person of a specific religion is protected from credit extension discrimination by the
________ Act.
111) The ________ expressly prohibits debt collectors from using certain practices like
harassing, abusing, or intimidating debtors.
112) The ________ Act permits consumers to place fraud alerts in their credit files.
113) The ________ Act is a federal law that prohibits banks from giving promotional items to
entice persons to sign up for a credit card.
114) The ________ is charged with regulating credit extended to older persons, members of the
armed services, and persons who are unlikely to understand the complexities of credit.
115) Lease creditors that violate the ________ Act are subject to the civil and criminal penalties
provided in the TILA.