Bait-And-Switch Advertising

question 87

Multiple Choice

Bait-and-switch advertising:

• A) is illegal for all products retailing over $10. However, under the FTC Act, bait-and-switch is legal if puffery was also included in the advertisements and the product price is under $10.
• B) does not apply to services.
• C) is a form of deceitful diversion of patronage.
• D) is permissible if interstate commerce is not involved.
• E) occurs when a product is advertised at an unrealistically low price to serve as "bait" and then the salesperson tries to "switch" the customer to a higher-priced product.