Advanced Placement (AP) Middle School

I will give you 70 points I need this in 5 mins

What is the difference between a Pyramid Scheme and a Multi-Level Marketing (MLM) company?



a. A pyamid scheme is legal whereas a MLM company is illegal


b. A pyramid scheme does not sell a product whereas a MLM company does


c. A pyramid scheme sells an actual product whereas a MLM company does not


d. There is no difference between a pyramid scheme and a MLM

Question 2 (1 point)

What is a "pump and dump" scam?



a. A scheme which pools investors’ money together but only a small percentage of the pool is actually invested


b. A scheme that attempts to boost the price of a stock through recommendations based on false or misleading statements


c. A scheme where an investor collects your money for investment but never actually makes a purchase and instead keeps the money for themselves


d. A scheme that attempts to beat the overall market's return by investing in high-cost index funds

Question 3 (1 point)

What is phishing?


a

Phishing is a business model that recruits members via a promise of payments or services.

b

Phishing is a fraudulent attempt to obtain sensitive information such as usernames, passwords and financial information via electronic communication.

c

Phishing is a fraudulent attempt to take over or delete your presence on social media.

d

Phishing is a fraudulent attempt to deposit funds into an FDIC insured bank account for later use.

Question 4 (1 point)

You receive a call from a company that tells you that there is a problem with your order or account. What should you do?




a. Answer any questions they have and allow them to fix the issue



b. Hang up and call the official number of the company

Question 5 (1 point)

You should be careful anytime you scan a QR code.


True

False

Question 6 (1 point)

If you are scammed and pay someone money, you should contact your bank immediately and try to reverse the charge.


True

False

I will give you 70 points I need this in 5 mins

Answers

Answer 1

Answer:

Here is for question one (an explanation)

Pyramid Schemes are fraudulent schemes, disguised as an MLM strategy. The difference between a pyramid scheme and a lawful MLM program is that there is no real product that is sold in a pyramid scheme. Participants attempt to make money solely by recruiting new participants into the program.

Question 2:

Phishing is a type of social engineering attack often used to steal user data, including login credentials and credit card numbers. It occurs when an attacker, masquerading as a trusted entity, dupes a victim into opening an email, instant message, or text message.

These explanations should help you choose some answers! :)

Answer 2
The answer for this question would be C because a pyramid scheme does sell an actual product but the MLM company does not sell a real product, hence the difference is as such.

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