Questions: Question 12 (1 point) Which of the following statements describes a consumer? A) A consumer is a member of the business group. B) A consumer is the central player in the financial planning environment. C) A consumer is an important force in the government. D) A consumer is an advocacy group that fights corruption in the government. E) A consumer is relatively unimportant to business or the government.

The answer is B: A consumer is the central player in the financial planning environment.

Explanation for each option:

A) A consumer is a member of the business group.

• This statement is incorrect. A consumer is not typically considered a member of a business group. Instead, a consumer is someone who purchases goods or services for personal use.

B) A consumer is the central player in the financial planning environment.

• This statement is correct. Consumers are central to the financial planning environment because their purchasing decisions drive demand for products and services, influencing economic activity and business strategies.

C) A consumer is an important force in the government.

• This statement is partially correct but not the best answer. While consumers can influence government policies through voting and advocacy, they are not primarily defined by their role in government.

D) A consumer is an advocacy group that fights corruption in the government.

• This statement is incorrect. A consumer is an individual who purchases goods and services, not an advocacy group.

E) A consumer is relatively unimportant to business or the government.

• This statement is incorrect. Consumers are very important to both businesses and governments. Businesses rely on consumers for revenue, and governments consider consumer behavior when making economic policies.