MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Consumer Protection Class 12 MCQ Questions With Answers

Consumer Protection Class 12 MCQ Chapter 12 Question 1.

‘The consumer has the right to acquire knowledge and to be a well-informed consumer throughout life’. Identify the right stated in the above lines.

(A) Right to Seek Redressal
(B) Right to be Heard
(C) Right of Consumer Awareness
(D) Right to Choose
Answer:
(C) Right of Consumer Awareness

Explanation:
A consumer, who is well informed about his rights and the relief available to him, would be in a position to raise his voice against any unfair trade practices or unscrupulous exploitation. In addition to this, an understanding of his responsibilities would also enable a consumer to safeguard his interests.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

MCQ On Consumer Protection Class 12 Chapter 12 Question 2.

Pragya bought an iron of reputed brand for ₹1,500 but it caused an electric shock while it was being used. Pragya wants to exercise her ‘Right’. Identify the right which she can exercise.

(A) Right to Choose
(B) Right to be Informed
(C) Right to be Heard
(D) Right to be Protected
Answer:
(D) Right to be Protected

Question 3.

“Bhuvan, who was a vegetarian went to a snack bar for having French fries and later found out that it had non-vegetarian content. Neither the advertisement nor the packing of the product displayed that the product has non-vegetarian content.” Which right of consumer is violated?

(A) Right to Choose
(B) Right to be Informed
(C) Right to be Heard
(D) Right to Seek Redressal
Answer:
(B) Right to be Informed

Explanation:
The right to be informed is an important component of consumer protection, The consumer must be provided with adequate and accurate information about quality, quantity, purity, standard and the price of the goods and services. Such information helps the consumers in their buying decision and use of the product.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 4.

Ronit Raj, a marketing manager is a patient of diabetes for which he takes medicines regularly. One day, on his tour to Patna, he met with an accident and was hospitalised. Due to doctors’ negligence a delicate nerve of his right leg was cut rendering him crippled throughout his life. Identify the consumer right that has been violated by the doctors under the Consumer Protection Act, 2019 in the above situation.

(A) Right to Choose
(B) Right to be Informed
(C) Right to be Heard
(D) Right to be Protected
Answer:
(D) Right to be Protected

Question 5.

Your mother purchased a washing machine for ₹10,000 from an authorised dealer of the manufacturer with a verbal guarantee that the machine will be replaced with a new one if any of its parts becomes defective within 3 months from the date of purchase. The motor of the machine was burnt within 15 days of its purchase. On complaining, the seller refused to replace the machine. Name the redressal agency under Consumer Protection Act where your mother can file the complaint.

(A) District Commission
(B) State Commission
(C) National Commission
(D) None of the above
Answer:
(A) District Commission

Explanation:
Under the Consumer Protection Act, 2019, the District CDRC will entertain complaints when the value of goods or services is upto crore.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 6.

Mr. X purchased a car for ₹15 lakhs 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, 2019 can he file an appeal?

(A) District Commission
(B) State Commission
(C) National Commission
(D) None of the above
Answer:
(A) District Commission

Explanation:
Under the Consumer Protection Act, 2019, the District CDRC will entertain complaints when the value of goods or service is upto ₹1 crore.

Question 7.

Which of the following statements is true?

(A) Asserting oneself to ensure that one gets a fair deal is the right of a consumer.
(B) Right to seek redressal entitles the consumer to get relief in case the product or service falls short of his expectation.
(C) Right to be heard empowers a consumer to have access to a variety of products and services.
(D) A case decided by the District Commission, can be appealed before the Supreme Court.
Answer:
(B) Right to seek redressal entitles the consumer to get relief in case the product or service falls short of his expectation.

Explanation:
The consumers have been given the right of redressal of their grievances relating to the performance, grade, quality etc. of the goods and services. If required, the product must be repaired replaced by the seller manufacturer. The Consumer Protection Act has duly provided for fair settlement of genuine grievances of the consumers. It has also set up a proper mechanism for their redressal at district, state and national levels.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 8.

Under The Consumer Protection Act, 2019, can be approached to file a complaint by the legal heir of a deceased consumer if compensation claimed is ₹ 3 crores.

(A) District Commission
(B) State Commission
(C) National Commission
(D) All of the above
Answer:
(B) State Commission

Explanation:
Under the Consumer Protection Act, 2019 the State CDRC will hear complaints when the value is more than ₹ 1 crore but less than ₹ 10 crores.

Question 9.

Sandeep purchased a packet of biscuits from a nearby shop. He observed that the ingredients given on the label were not legible. He complained about it to the customer care of the company. The company sent a written apology besides stating that it will be ensured that the existing packets in the market will be withdrawn with immediate effect and new packets with legible labels will be made available. Which consumer right did Sandeep exercise?

(A) Right to be Informed
(B) Right to be Heard
(C) Both (A) and (B)
(D) Neither (A) nor (B)
Answer:
(C) Both (A) and (B)

Question 10.

Samaira went to a free eye-camp and got her eye treatment done for ‘glaucoma’. But the treatment has resulted in consistent pain and discomfort in her eyes forcing her to seek further medical attention.Samaira can file a complaint with under Consumer Protection Act.

(A) District Commission
(B) State Commission
(C) National Commission
(D) None of the above
Answer:
(D) None of the above

Question 11.

A consumer has which of the following?

(A) Only rights
(B) Only responsibilities
(C) Either rights or responsibilities
(D) Both rights and responsibilities
Answer:
(D) Both rights and responsibilities

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 12.

Match the REDRESSAL AGENCY as per Consumer Protection Act in Column I with the COMPENSATION CLAIMED in Column II.

Column I Column II
(a) District Commission (i) Exceeds ₹ 10 crores
(b) National Commission (ii) Exceeds ₹ 1 crore but does not exceed ₹ 10 crores
(c) State Commission (iii) Does not exceed ₹ 1 crore

(A) (ii), (iii), (i)
(B) (iii), (ii), (i)
(C) (ii),(i),(iii)
(D) (iii), (i), (ii)
Answer:
(D) (iii), (i), (ii)

Question 13.

Match the CONSUMER RIGHTS as per Consumer Protection Act in Column I with the appropriate EXPLANATION in Column II.

Column I Column II
(a) Right to be Protected (i) Wide variety of products in terms of quality, brand, prices, size, etc. should be offered to the consumer.
(b) Right to Choose (ii) Protection to consumer against goods and services which are hazardous to life and health.
(c) Right to Seek Redressal (iii) Consumer to get relief in case the product or service falls short of his expectations.

(A) (ii), (iii), (i)
(B) (iii), (ii), (i)
(C) (ii), (i), (iii)
(D) (iii), (i), (ii)
Answer:
(C) (ii), (i), (iii)

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Assertion and Reason Based MCQs

Directions: In the following questions, a statement of Assertion (A) is followed by a statement of Reason (R). Mark the correct choice as:
(A) Both (A) and (R) are true, and (R) is the correct explanation of (A).
(B) Both (A) and (R) are true, but (R) is not the correct explanation of (A).
(C) (A) is true, but (R) is false.
(D) (A) is false, but (R) is true.

Question 1.

Assertion (A): Many enlightened business firms have set up their own consumer service and grievance cells.
Reason (R): The consumer has a right to file a complaint and to be heard in case of dissatisfaction with a good or a service. 3

Answer:
(A) Both (A) and (R) are true, and (R) is the correct explanation of (A).

Explanation:
According to the Right of the Consumer Awareness, the consumer has the right to represent him or to be heard or right to advocate his interest. In case a consumer has been exploited or has any complaint against the product or service then he has the right to be heard and be assured that his/her interest would receive due consideration. Under this right, the companies must have complaint cells to attend the complaints of customers.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 2.

Assertion (A): The Consumer Protection Act, 2019 has not defined the criteria of Consumer Disputes Redressal Commission (CDRCs).
Reason (R): Under the Consumer Protection Act, 2019 the National CDRC will hear complaints worth more than ₹ 10 crores.

Answer:
(D) (A) is false, but (R) is true.

Explanation:
The Act has defined the criteria of Consumer Disputes Redressal Commission (CDRCs). The National CDRC will hear complaints worth more than ₹ 10 crores. The State CDRC will hear complaints when the value is more than ₹ 1 crore but less than ₹10 crore. While the District CDRC will entertain complaints when the value of goods or service is upto ₹ 1 crore.

Question 3.

Assertion (A): It is the responsibility of the consumer to buy only standardised goods as they provide quality assurance.
Reason (R): The consumers have certain responsibilities to follow and should keep a few things in mind while purchasing goods and services.

Answer:
(A) Both (A) and (R) are true, and (R) is the correct explanation of (A).

Explanation:
To put a stop to adulteration and corrupt practices of the manufacturers and traders, it is the duty of every consumer to be conscious of the quality of product they buy They should look for the standard quality certification marks like ISI, Agmark, FPO, Woolmark, Eco-mark, Hallmark, etc. while making the purchases.

Case-Based MCQs

I. Read the following text and answer the following questions on the basis of the same :
Piyali purchased an ISI marked Heater from Bharti Appliances. She made cash payment, but failed to get a Cash Memo. While making use of the heater she observed that it was not working properly. She contacted the shopkeeper immediately and told him the problem. Shopkeeper paid no heed to her complaint.

Rather he marked that the good in question was not bought from his shop. Piyali had no evidence of proving that the heater was purchased from his shop only. She discussed the problem with her friend Sohini who advised her to approach Consumer Forum and lodge the complaint. Piyali was convinced with the idea of lodging the complaint against the shopkeeper but due to lack of cash memo it was difficult for her to proceed.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 1.

Identify the right of the consumer as referred to in the above paragraph.

(A) Right to be Informed
(B) Right to be Protected
(C) Right to be Heard
(D) Right to Choose
Answer:
(B) Right to be Protected

Question 2.

Identify the responsibility of the consumer referred in the above case.

(A) Quality Conscious
(B) Must Obtain Cash Memo
(C) Cautious Consumer
(D) Ready to Lodge Complaint .
Answer:
(B) Must Obtain Cash Memo

Explanation:

The consumer should ask for a cash memo on purchase of goods or services. This would serve as a proof of the purchase made.

Question 3.

Piyali cannot lodge a complaint against the shopkeeper. Why?

(A) She do not have the right.
(B) She was aware of the fact.
(C) She do not have the cash memo.
(D) She was happy with the product.
Answer:
(C) She do not have the cash memo.

Question 4.

Under which Act Piyali can seek to protect her rights being a consumer?

(A) Consumer Protection Act, 2019
(B) Consumer Protection Act, 1986
(C) The Indian Contract Act, 1872
(D) The Competition Act, 2002
Answer:
(A) Consumer Protection Act, 2019

Explanation:
The basic aim of the Consumer Protection Act, 2019 is to save the rights of the consumers by establishing authorities for timely and effective administration and settlement of consumers’ disputes.

II. Read the following text and answer the questions given below:

Sameer planned to buy a new car and did a lot of market research. He finally purchased a car for ? 15 lakhs from ‘Lance Motors’ in his city. The car was delivered to him and he was really excited to own a brand new car. Later on after speaking with few of his friends, he got to know that though the car’s performance was good from all aspects, people generally faced problems with the car’s suspension over a period of time. When he observed his own car, he found that its suspension was also faulty and would start giving issues soon during driving. Thus, he decided to report the issue to the company.

He complained multiple times with the company but they were not responded to. This forced him to take further action and he decided to approach the three-tier machinery existing under The Consumer Protection Act. He filed a case at tier one. Since he was not satisfied with the orders of this public authority, he appealed before tier two and on being dissatisfied with the orders at this level, he appealed before tier three. Sameer was not content with the orders at the third level also and decided to appear in the Supreme Court of India.

Question 1.

Which tier one authority did Sameer approach?

(A) District Commission
(B) State Commission
(C) National Commission
(D) None of the above
Answer:
(A) District Commission

Explanation:
A complaint can be made to the appropriate District Commission when the value of the goods and services in question along with the compensation claimed, does not exceed ₹ 1 crore.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 2.

Which tier two authority did Sameer approach?

(A) District Commission
(B) State Commission
(C) National Commission
(D) None of the above
Answer:
(B) State Commission

Explanation:
In case aggrieved party is not satisfied with the order of the District Commission, he can appeal before the State Commission within 45 days of the passing of order.

Question 3.

Which tier three authority did Sameer approach?

(A) District Commission
(B) State Commission
(C) National Commission
(D) None of the above
Answer:
(C) National Commission

Explanation:
In case aggrieved party is not satisfied with the order of the District Commission, he can appeal before the National Commission within 30 days of the passing of order.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 4.

Can Supreme Court of India entertain Sameer’s appeal?

(A) Yes
(B) No
(C) Depends on the Supreme Court’s discretion.
(D) Only if tier three authority recommends his case to the Supreme Court.
Answer:
(B) No

III. Read the following text and answer the questions given below:

In a colony, several people bought mosquito rackets from a company. Most rackets became useless within two months. Rishab, one of the residents of the colony, decided to submit the case to the Consumer Court, but the residents did not unite. He felt very lonely on this issue. The price of the racket is ₹450. At the same time, a friend of Rishab is a journalist and he reported the incident in the daily newspaper. When the company learned of this situation, it decided to take a milestone step. The company decided to take back or repair all faulty rackets of the community residents. The whole story took an interesting twist, when a technician of the company told the management that in the instruction manual it is specified to clean racket every month. When questioned, it was found that residents who had problems with the rackets, including Rishab, did not clean their rackets for a month atleast.

Question 1.

Which important aspect from the consumer’s point of view is highlighted in the above case?

(A) Unorganised consumers
(B) Instruction manual
(C) Moral justification
(D) Sue the company
Answer:
(A) Unorganised consumers

Explanation:
Consumers need to be organised in the form of consumer organisations which would take care of their interests.

Question 2.

At which level of consumer court could Rishab apply for the claim of his loss?

(A) District Commission
(B) State Commission
(C) National Commission
(D) None of the above
Answer:
(A) District Commission

Explanation:
The Consumer Protection Act, 2019 has defined the criteria of Consumer Disputes Redressal Commission (CDRCs). The District CDRC will entertain complaints when the value of goods or services is upto ₹ 1 crore.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 3.

Which consumer responsibility was not followed by the residents of Rishab’s colony?

(A) Taking cash memo
(B) Following manual instructions
(C) Buy only standardised goods
(D) Assert yourself to ensure that you get a fair deal
Answer:
(B) Following manual instructions

Explanation:
It is the responsibility of a consumer to learn about the risks associated with products and services, follow manufacturer’s instructions and use the products safely.

MCQ Questions for Class 12 Business Studies Chapter 12 Consumer Protection

Question 4.

Which consumer right helped protect the company?

(A) Right to be Informed
(B) Right to be Protected
(C) Right to Consumer Awareness
(D) Right to Choose
Answer:
(A) Right to be Informed

Explanation:
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. It is because of this reason that the legal framework in India requires the manufactures to provide such information on the package and label of the product.

MCQ Questions for Class 12 Business Studies with Answers