An Automobile Company Published an Advertisement That Said That Prices

question 3

Multiple Choice

An automobile company published an advertisement that said that prices for the latest model on offer started at $10,000 with an interest rate of 10 percent.The ad showed the logo and picture of a new model.When an interested customer spoke with the authorized dealer mentioned in the ad, he was informed that the bargain price was only on the older model.This is an example of:

• A)price fixing.
• B)price discrimination.
• C)predatory pricing.
• D)misleading advertising.
• E)resale price maintenance.

---

Definitions:

Political Consultant

A professional advisor who helps politicians with campaign management, public relations, and strategic advice.

Economic Profit

The gap between a company's overall income and its combined direct and indirect expenses.

Mutual Fund

A financial vehicle made up of a pool of money collected from many investors to invest in securities like stocks, bonds, money market instruments, and other assets.

How Much Decision

Decisions relating to the quantity of goods or services to use, produce, or purchase, typically based on cost-benefit analysis.