When Critics Argue That Insurance, Real Estate, and Used Cars

question 55

Multiple Choice

When critics argue that insurance, real estate, and used cars are sold, not bought, they are accusing marketers of ________.

• A) deceptive promotions
• B) excessive markups
• C) high-pressure selling
• D) shoddy products
• E) excessive materialism

---

Definitions:

Savings Account

A deposit account held at a bank or financial institution that provides principal security and a modest interest rate.

Interest Rate

The percentage of a sum of money charged for its use, often expressed annually.

Economic Profits

The surplus gained by a firm when total revenue exceeds total costs, including both explicit and implicit costs, reflecting the financial advantage of a particular course of action.

Accounting Profits

The total revenue of a business minus explicit costs; also known as net income.