The Purpose of a Service Contract Is To

question 53

Multiple Choice

The purpose of a service contract is to:

• A) prevent legal action due to a defective product.
• B) protect a product owner from expensive repairs.
• C) reduce the chance of needing repairs.
• D) obtain regular maintenance on a product.
• E) have legal assistance for consumer complaints.

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Definitions:

Rule of 70

A method to estimate the number of years it will take for a variable to double, by dividing 70 by the annual growth rate of the variable.

Interest Rate

The percentage of a sum of money charged for its use, reflecting the cost of borrowing or the return on saving.

Managed Mutual Funds

Investment funds that are operated by professional fund managers who allocate the fund's investments and attempt to produce capital gains for the fund's investors.

Stock Index

A measure designed to track the performance of a group of stocks, representing a specific segment of the market.