1. Nonprofit service organizations use them, but public service announcements (PSAs)

tie up a very large percentage of the advertising budget.

alone are not a good foundation because their timing and location are controlled by others.

are boring and rarely well designed; consumers usually tune them out.

have a very limited reach and frequency.

are an ineffective form of advertising because social messages are not perceived as persuasive.

2. Sweep account refers to:

a. an account that sweeps cash from checking to personal savings.

b. an account that sweeps zero balance account to an interest bearing account.

c. an account that allows the small business owner to sweep funds between personal and business accounts.

d. All of these

3. In which of the following circumstances was the implied warranty of merchantability breached?

a. In defendant’s restaurant, plaintiff bought a martini with an unpitted olive. Plaintiff broke a tooth when he attempted to eat the olive.

b. Plaintiff is bitten by a spider concealed in a pair of blue jeans sold by defendant’s store.

c. Seller sold cattle feed that contained the female hormone stilbestrol. It causes cattle to grow more rapidly than normal but also causes abortion in pregnant cows and sterility in bulls. The plaintiff farmer raises cattle for breeding rather than for slaughter, so he sues. The label on the cattle feed package did not mention that it contained stilbestrol.

d. Plaintiff bought a used a power lawn mower. While the plaintiff was mowing, an unknown object was hurled out of the grass chute and penetrated the eye of the plaintiff’s five-year-old son.

e. Plaintiff’s Ford Pinto’s gas tank exploded on impact.

f. Plaintiff bought a cookbook from defendant retail book dealer. Four days later, while following a recipe in the book, plaintiff ate a small slice of one of the ingredients, a plant commonly known as elephant’s ear, and became violently ill. The Plaintiff sued for breach of the implied warranty of merchantability.

g. Plaintiff bought a product that caused her to have an allergic reaction.