Several Companies,some of Them Operating Through the Internet,offer "Paycheque Advances

question 29

Multiple Choice

Several companies,some of them operating through the Internet,offer "paycheque advances." Consumers are encouraged to take out a loan against a paycheque they expect to receive in the near future.These short-term loans with high-interest rates,and high penalties for late payments,are often marketed to consumers who do not have traditional bank accounts.These companies could most easily be criticized for which of the following?

• A) Shoddy products
• B) Poor service to disadvantaged consumers
• C) High-pressure selling
• D) High advertising and promotion costs
• E) Excessive markups

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Definitions:

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how spread out the values are from the average.

Standard Deviation

A statistical measure of the dispersion or spread in a set of data, indicating how much variation exists from the average.

Index Fund

A type of mutual fund or exchange-traded fund (ETF) designed to replicate the performance of a specific benchmark index.

PHStat

A software program that enhances Microsoft Excel with the capability to perform statistical analysis.