When Car Salespersons Try to Get an Initial Commitment from Their

question 16

True/False

When car salespersons try to get an initial commitment from their customers and then change the deal they are using the door-in-the-face technique.

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Definitions:

Cash Surrender Value

Cash surrender value is the amount an insurance policyholder can receive if they decide to terminate the policy before its maturity or the insured event occurs.

Equity Funds

Mutual funds that primarily invest in company stocks, representing ownership in those companies.

Secured Loan

A loan that requires collateral as security for the lender.

Collateral

Assets that a borrower offers to a lender to secure a loan, which can be seized if the borrower fails to repay the loan.