Answered

A broker advertised the sale of discounted trust deeds. In her ad, she stated a specific yield based on previous performance over the last year. Is she permitted to advertise this information?

A. She can't, because the Truth in Lending Act doesn't allow such guarantees.
B. She can't unless the Bureau of Real Estate has verified the specific yield.
C. She can if she also includes the interest rate specified in the note and the amount of the discount from the original principal balance.
D. She can if the claim is an estimate made in good faith.



Answer :

GinnyAnswer

Final answer:

Advertisers must ensure that claims presented as facts in advertisements are truthful and accurate according to the Federal Trade Commission (FTC) regulations.


Explanation:

In advertising, the Federal Trade Commission (FTC) allows a certain amount of exaggeration but demands that claims presented as facts must be true. Factual claims about a product's performance are often checked by the FTC. Language and images that are exaggerated or ambiguous, as long as they are not false, are permitted.


Learn more about Advertising regulations here:

https://brainly.com/question/41872596


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