Business Studiess Class 12 MCQs | Chapter 12 Consumer Protection Act 2019

[Business Studies MCQs, Consumer Protection Act, AHSEC, CBSE, Class 12, Objective Questions and Answers]

Business Studies Class 12 MCQs
Chapter 12: Consumer Protection Act
Multiple Choice Questions and Answers

Objective Questions (1 Mark):

1. What is the purpose of enacting the consumer protection Act 1986?

Ans: To protect and promote the interest of consumer.

2. Which consumer right gives the business firm freedom to set up their own consumer service and grievance cell?

Ans: Right to be heard.

3. Mohit filed a case against ‘Domestic Cooling ltd.’ in the ‘District Forum’, but was not satisfied with the orders of the District Forum. Where can he appeal further against the decisions of District Forum and in how many days?

Ans: Mohit can further appeal against the decision of District Forum in the ‘State Commission’ within 30 days.

4. Mohit filed a case against ‘Volvo Ltd.’ in the ‘State Commission’. But he was not satisfied with the orders of the ‘State Commission’. Name the authority to which he can appeal against the decisions of ‘State Commission’.

Ans: Amrit can further appeal in ‘National Commission’.

5. Ankit filed a case against ‘Mahindra Ltd.’ in the ‘National Commission’. But he was not satisfied with the orders of the ‘National Commission’. Name the authority to which he can appeal against the decisions of ‘National Commission’.    2013

Ans: He can appeal in Supreme Court within 30 days.

6. Which claim can be approach before the Supreme Court under Consumer Protection Act?

Ans: An order passed by the national commission in a matter of its original claims exceeding Rs. 1 Crore can appear before the Supreme Court.

7. Ram wants to buy ghee. How can he check the quality of product?

Ans: Through ‘AGMARK’ symbol. “AGMARK” symbol is used for food products.

8. Ram wants to buy an iron. As an aware customer, how can he be sure about the quality of iron?        2012, 2020

Ans: Through “ISI” mark. “ISI” mark is used for electronic items.

9. Can a consumer file complaint in consumer court without having cash memo?

Ans: No, without cash memo he cannot file a complaint. Cash memo is the proof of the transaction.

10. List any three consumer organizations in India.

Ans: (i) Consumer Guidance Society of India (Mumbai), (ii) Common Cause (New Delhi), (iii) Citizen Action Group (Mumbai)

12. In what type of activities is Consumer Coordinating Council involved?

Ans: It is the main body of the Consumer Organizations of India. It conducts several programmes on consumer education for activists, etc. It has published training manuals on Consumer Protection Act

13. Name two consumer rights defined by UNO.

Ans: (i) Right to Basic Need. (ii) Right to Healthy Environment.

14. Rajiv, a vegetarian was traveling in Rajdhani Express was served food and later he found out that it had a non-vegetarian content. His sentiments were hurt Will Rajiv be able to claim compensation, which right of the consumer is violated?

Ans: Yes, Rajiv will be able to claim the compensation as the railways have violated the Right to Information.

15. Mr. A suffers a loss of Rs.20, 00,000 due to bad quality of goods. Name the commission to which Mr. A approach for claim?

Ans: District Commission

16. Mr. A suffers a loss of Rs.1, 00, 00,000 due to bad quality of goods. Name the commission to which Mr. A approach for claim?

Ans: State Commission

17. Mr. A suffers a loss of Rs.1, 10, 00,000 due to bad quality of goods. Name the commission to which Mr. A approach for claim?

Ans: National Commission

Q.18. Define Grades, Grading and Standards of a product.

Ans: Meaning of grades: Grade is a category assigned to the product based on its technical configuration. This means different configurations are kept in different grades.

Meaning of Grading: Grading is the process of dividing the products into lots which are similar characteristics in shape and size, type, weight, quality and performance etc.

Meaning of standards: Product Standards means all safety, quality and other specifications and standards applicable to any Product, including all medical device and other standards promulgated by Standards Bodies.

Q.19. What is the significance of the concept called ‘consumer welfare’? 2023

Ans: Consumer welfare refers to the well-being and satisfaction of consumers in the marketplace. It encompasses various factors such as product quality, safety, affordability, choice, and access to information. Essentially, it revolves around ensuring that consumers are able to make informed decisions, receive value for their money, and are protected from unfair or harmful business practices.

The significance of the concept of consumer welfare:

1. Protection of Rights: Consumer welfare emphasizes the protection of consumer rights, ensuring that consumers are treated fairly and honestly by businesses. This includes safeguarding against fraud, deception, and exploitation.

2. Enhanced Competition: Prioritizing consumer welfare fosters healthy competition among businesses. When consumers have access to transparent information and a variety of choices, it incentivizes businesses to improve their products and services to meet consumer demands effectively.

3. Social Welfare: Consumer welfare contributes to overall social welfare by ensuring that essential goods and services are accessible and affordable to all segments of society. This helps to reduce inequality and improve the standard of living for individuals and communities.