Warning Labels Scenario In September 2011, Health Canada Came Out with New Rules

question 94

Multiple Choice

Warning Labels Scenario
In September 2011, Health Canada came out with new rules regarding the warning labels that are displayed on cigarette packages. The Tobacco Products Information Regulations, which fall under the Tobacco Act, were first introduced in 2000 and set the rules for the warnings and accompanying graphics that must appear on all packaging. Although the warnings had been considered successful, studies had shown that more needed to be done. The revised regulations are much stronger than the previous warnings. There are 16 new statements that include "A single stroke can leave you helpless," "This is what dying of cancer looks like," and "Your kids are sick of your smoking." These warnings all are accompanied with very vivid graphics and must cover 75% of the cigarette package. Some examples include a tongue with oral cancer, a child coughing, and several people who are dying of cancer. In addition, there are four different toxic emission statements that have been reworded to create a better understanding of the effects, as well as a toll-free number for those who want to get help with quitting.
-Refer to Warning Labels Scenario. Some smokers put their cigarette package in a plastic holder that covers up the information on the package. What is this decision by consumers to not even see the warning an example of?

• A) sensory denial
• B) selective retention
• C) selective exposure
• D) subliminal processing

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Definitions:

Retained Earnings

Profits that a company has reinvested in itself rather than paying out to shareholders as dividends.

Comprehensive Income

This term includes all changes in equity during a period except those resulting from investments by owners and distributions to owners.

Comprehensive Income

A measure of all changes in equity of a company that result from recognized transactions and other economic events of the period other than those resulting from investments by and distributions to owners.

Unrealized Gains

Profits from investments that have increased in value but have not yet been sold for cash.