Plus Two Business Studies Chapter Wise Questions and Answers Chapter 12 Consumer Protection

Kerala Plus Two Business Studies Chapter Wise Questions and Answers Chapter 12 Consumer Protection

Plus Two Business Studies Consumer Protection One Mark Questions and Answers

Question 1.
Consumer Protection Act was passed in the year ……………..
(a) 1964
(b) 1956
(c) 1932
(d) 1986
Answer:
(d) 1986

Question 2.
When did the provisions of consumer Protection Act come into force?
Answer:
1 July 1987

Question 3.
Which is acclaimed to be the ‘Magna Carta’ of Indian consumers?
Answer:
Consumer Protection Act 1986

Question 4.
Consumer’s right to information means
(a) Right to advocate consumer’s interest.
(b) Right to be informed about the quality, quantity, price, etc. of the product.
(c) Right to be protected against marketing of hazardous goods.
Answer:
(b) Right to be informed about the quality, quantity, price, etc. of the product.

Question 5.
World consumer rights day is observed on ……………
Answer:
March 15

Question 6.
“Cigaratte smoking is injurious to health”. This information is mandatory in all cigarette packets. From this example identify consumer rights.
Answer:
Right to be Informed

Question 7.
Which consumer right gives the business firm freedom to set up their own consumer service & grievances cell?
Answer:
Right to be heard

Question 8.
Which consumer right entitles the consumer to get relief in case the product or service falls short of his expectation?
Answer:
Right to seek redressal

Question 9.
Which consumer right have access to a variety of products and services?
Answer:
Right to choose

Question 10.
Which consumer right suggests that a consumer must be protected from goods and services hazardous to life and health?
Answer:
Right to safety

Question 11.
Which judicial machineries are available to deal with consumer grievances?
Answer:

1. District Forum
2. State Commission
3. National Commission

Question 12.
Mr. X purchased a car for Rs.15 lakh but he is not satisfied with the quality and performance of the car. The company of the car did not provide any remedy to him. Under which authority of consumer protection Act 1986 can file an appeal?
Answer:
District Forum

Question 13.
Maximum amount of compensation that can be claimed in District consumer forum should not exceed:
Answer:
20 Lakhs

Question 14.
If a consumer is not satisfied with the order of the District forums, where can he appeal?
Answer:
State Commission

Question 15.
Find the odd one and state reason District Forum, State Commission, Law Adalats, National commission
Answer:
Law Adalats. All others are redressel agencies.

Question 16.
Within what period of purchase can the complaint be filed under Consumer Protection Act?
Answer:
Within 3 months

Question 17.
Name the apex institution to seek redressal under Consumer Protection Act, 1986.
Answer:
National Commission

Question 18.
When the value of compensation claimed is in between 20 lakhs and 1 crore complaints can be filled with:
(a) District Forum
(b) State Commission
(c) National Commission
Answer:
(b) State Commission

Question 19.
ISI mark is given by
(a) Ministry of Finance.
(b) Ministry of Environment and Forest.
(c) Bureau of Indian Standard
(d) State Government.
Answer:
(c) Bureau of Indian Standard

Question 20.
…………………… is a means of consumer protection
to provide legal representation to previously represented groups and interest.
Answer:
Public Interest Litigation (PIL)

Question 21.
Amit wants to buy Gold Jewellery. As a knowledgeable customer how can he be sure about the quality of the jewellery?
Answer:
Hallmark

Question 22.
Which quality certification mark is used in case of electrical goods?
Answer:
ISI

Question 23.
Name the quality certification mark used is case of food products.
Answer:
F.P.O.

Question 24.
On which type of products can Eco Mark is used?
Answer:
Eco-friendly products

Question 25.
Smt. Sindhu purchased a silk saree costing Rs. 5,000. After first wash, it has lost the colour and caused huge loss to her. She lodged a complaint to the redressal forum. It was held that she will be given a sum of Rs. 5,000 as compensation. Identify the redressal forum she might have lodged the complaint.
Answer:
District Forum

Question 26.

Answer:

Question 27.
Demand the bill on purchase is the ………………. of a consumer.
Answer:
Responsibility

Question 28.
Where can a customer appeal within 30 days, if he is not satisfied with the order of National Commission?
Answer:
In Supreme Court

Plus Two Business Studies Consumer Protection Two Mark Questions and Answers

Question 1.
Mr. Bejoy purchases a new computer from Ajitha traders. They give two years replacement guarantee. After six months use, the computer system fails to perform. Mr. Bejoy approaches the traders for replacement. But the traders refuse replacement.

1. Identify the law violated by the traders.
2. Point out redressal agencies where Bejoy should complain against the traders.

Answer:
1. Consumer Protection Act 1986.
2. Mr. Bejoy can approach the following redressal agencies for compensation.

• District Forum
• State Commission
• National Commission.

Question 2.
Mrs. Fathima, a house wife, while cooking food, the pressure cooker exploded, causing a big injury. She lodged a complaint to the redressal forum. Accordingly, the forum’s verdict was to pay a sum of Rs. 10,000/- as compensation.

1. Identify the right which has been violated.
2. In which redressal forums she might have lodged the complaints.

Answer:

1. Right to safety
2. District Forum

Question 3.
Cite a few examples of practices usually adopted by businessmen with view to deceiving the consumers and thereby exploit the poor customers to the maximum.
Answer:
Adulteration, black marketing, false weights, Poor quality of goods, duplication of brands, increasing the price of the product, etc.

Question 4.
If a case is decidedly the District Forum, can it be appealed before the Supreme Court.
Answer:
No. It can be challenged in the State Commission.

Question 5.
Name any two consumer organizations engaged in protecting and promoting consumers interest.
Answer:
Some of the important consumer organisations and NGOs engaged in consumer protection are

• Consumer Co-ordination Council, Delhi.
• Voluntary Organisation in Interest of Consumer Education (VOICE).
• Common Cause, Delhi.
• Consumer Protection Council, Ahmedabad.
• Consumer Guiderice Society of India, Mumbai.
• Consumer’s Association, Kolkatta, etc.

Question 6.
Who is a Consumer?
Answer:
Consumer: Under the Consumer Protection Act, a consumer is defined as

1. Any person who buys any goods for consideration.
2. Any person who hires or avails of any service, for a consideration.

Plus Two Business Studies Consumer Protection Three Mark Questions and Answers

Question 1.
Anju while on her shopping time is always vigilant to see that the products purchased come under “Eco mark”.

1. Why does she look for ‘eco mark’ while shopping? State its merits?
2. Cite a few examples of products which come under eco mark system.

Answer:
The ‘Eco mark’ label ensures consumers environment-friendly products. Such products are not harmful to the environment in their manufacture, use and disposal.
E.g. AGMARK for wheat, flour, spices, etc.

Question 2.
Explain, in brief, any 3 reasons as to why consumer protection is needed in India.
Answer:

1. To protect consumers against products that are unsafe to health and hygiene.
2. To protect the consumer against deceptive and unfair trade practices and to provide him with ad-equate means to get his grievance redressed.
3. To prevent abuse of monopoly position.

Question 3.
Mr. Balu gave a new dictionary as a gift to Manu, one of his friends. Manu found that some of its pages are unreadable due to over spreading of ink. He approached the shop keeper and demanded to replace it. But the shop keeper refused to replace the dictionary on the argument that Manu is not a consumer for him. Suggest your opinion.
Answer:
No. The argument of the shopkeeper is wrong. Manu is also a consumer. The term consumer means:

1. A person who buys any goods for consideration.
2. A person who hires or avails of any services for consideration.
3. Anyone who uses goods bought or services hired exclusively for earning a livelihood by self-employment.

Plus Two Business Studies Consumer Protection Four Mark Questions and Answers

Question 1.

1. Which is acclaimed to be the ‘Magna Carta’ of Indian Consumers?
2. Explain its importance.

Answer:

1. Consumer Protection Act, 1986.
2. Importance of Consumer Protection Act

a. From Consumers’ point of view:

• It is necessary to educate the customers about their rights.
• Consumers need to be organised in the form of consumer organisations which would take care of their interests.
• To protect the consumers from unscrupulous, exploitative and unfair trade practices.

b. From the Point of View of Business:

• Business firms should aim at long-term profit maximization through customer satisfaction.
• Business organisations use resources which belong to the society.
• A business has social responsibilities towards various interest groups.
• It is the moral duty of any business to take care of consumer’s interests and avoid any form of their exploitation.
• A business engaging in any form of exploitative trade practices would invite government intervention or action.

Question 2.
Who can file a complaint under Consumer Protection Act,1986?
Answer:
Complaint before the appropriate consumer forum can be made by

1. Any consumer.
2. The Central Government or any State Government.
3. One or more consumers, on behalf of numerous consumers having the same interest.
4. A legal heir or representative of a deceased consumer.

Question 3.
Explain any four functions of consumer association.
Answer:
Role of Consumer Organisations and Non-governmental Organizations (NGOs.)

1. Educating the general public about consumer rights by organising training programmes, seminars and workshops.
2. Publishing periodicals and other publications.
3. Collecting various samples of different goods and testing their quality.
4. Encouraging consumers to protest against exploitative and unfair trade practices of sellers.
5. Providing legal assistance to consumers by way of providing aid, legal advice, etc.
6. Filing complaints in appropriate consumer courts on behalf of the consumers.
7. Encouraging consumers to boycott defective goods.
8. Encouraging consumers to purchase consumer-friendly products.
9. Taking an initiative in filing cases in consumer courts in the interest of the general public.

Plus Two Business Studies Consumer Protection Five Mark Questions and Answers

Question 1.
What are the various remedies available to a consumer under Consumer Protection Act, 1986?
Answer:
Relief Available to Consumers (Remedies)

1. To remove the defect in goods or deficiency in service.
2. To replace the defective product with a new one, free from any defect.
3. To refund the price paid for the product.
4. To pay a reasonable amount of compensation for any loss or injury suffered by the consumer.
5. To discontinue the unfair/restrictive trade practice.
6. Not to offer hazardous goods for sale.
7. To withdraw the hazardous goods from sale.
8. To issue corrective advertisement to neutralise the effect of a misleading advertisement.

Question 2.
Consumers are often exploited by profiteering business. What are the measures available to safeguard them?
Answer:
Ways and Means of Consumer Protection
1. Self Regulation by Business:
Many firms have set up their customer service and grievance cells to redress the problems and grievances of their consumers.

2. Business Associations:
The Associations of trade, commerce and business-like Federation of Indian Chambers of Commerce of India (FICCl) and Confederation of Indian Industries (CII) have laid down their code of conduct for their members in their dealings with the customers.

3. Consumer Awareness:
A consumer, who is well informed about his rights, responsibilities and the reliefs available to him, would be in a position to raise his voice against any unfair trade practices or unscrupulous exploitation.

4. Consumer Organisations:
Consumer organisations play an important role in educating consumers about their rights and providing protection to them.

5. Government:
The government can protect the interests of the consumers by enacting various legislations.

Question 3.
What are the responsibilities of a consumer?
Answer:
Consumers Responsibilities

1. Be aware about various goods and services available in the market.
2. Buy only standardised goods as they provide quality assurance.
3. Learn about the risks associated with products and services, follow manufacturer’s instructions and use the products safely.
4. Read labels carefully so as to have information about prices, net weight, manufacturing and expiry dates, etc.
5. Choose only from legal goods and services.
6. Ask for a cash memo on purchase of goods or services.
7. File a complaint in an appropriate consumer forum in case of poor quality of goods or services.
8. Form consumer societies which would play an active part in educating consumers.

Plus Two Business Studies Consumer Protection Eight Mark Questions and Answers

Question 1.
In a classroom discussion Vinod argues that Consumers have no right while purchasing or using a product.

1. Do you agree?
2. Explain various rights of consumers.

Answer:
Consumer Rights:
1. Right to Safety: The consumer has a right to be protected against goods and services which are hazardous to life and health.

2. Right to be Informed: The consumer has a right to have complete information about the product he intends to buy including its ingredients, date of manufacture, price, quantity, directions for use, etc.

3. Right to Choose: The consumer has the freedom to choose from a variety of products at competitive prices.

4. Right to be Heard: The consumer has a right to file a complaint and to be heard in case of dissatisfaction with goods or services.

5. Right to seek Redressal: The consumer has a right to get relief in case the product or service falls short of his expectations.

6. Right to Consumer Education: The consumer must be educated about the rights and remedies available under different laws.

Question 2.
Prepare an assignment on various consumer responsibilities.
Answer:
Consumers’ Responsibilities:

1. Be aware about various goods and services available in the market.
2. Buy only standardised goods as they provide quality assurance.
3. Learn about the risks associated with products and services, follow manufacturer’s instructions and use the products safely.
4. Read labels carefully so as to have information about prices, net weight, manufacturing and expiry dates, etc.
5. Choose only from legal goods and services.
6. Ask for a cash memo on purchase of goods or services.
7. File a complaint in an appropriate consumer forum in case of poor quality of goods or services.
8. Form consumer societies which would play an active part in educating consumers.

Plus Two Business Studies Chapter Wise Questions and Answers