阅读理解. In Western countries people have been using the installment plan since the first half of the twentieth century. Today, a large number of families in Great Britain buy furniture, household goods 题目和参考答案——青夏教育精英家教网—

阅读理解。

     In Western countries people have been using the installment plan since the first half of the twentieth
century. Today, a large number of families in Great Britain buy furniture, household goods and cars by
installments. In the U. S., the figure is much higher than in Great Britain, and people there spend over 10
percent of their income on the installment plan.
     The price of an article bought on installments is always higher than the price that would be paid by cash.
There is a charge for interest. The buyer pays one quarter or one third of the price as a down payment when
the goods are delivered to him. He then makes regular payments, weekly or monthly, until the full price is paid
up. The legal ownership of the goods remains with the seller until the final payment has been made.
    Installment buying has advantages and disadvantages. It can help couples with small incomes to furnish
their homes and start housekeeping. It increases the demand for goods, and in this way helps business and
employment. There is, however, the danger that when business is bad, installment buying may end suddenly,
making business much worse. This may result in a great increase in unemployment. If the people on the
installment plan lose their jobs, they will probably not be able to make their payments. If great numbers of
people are not able to pay their installment debts there is a possibility that businessmen cannot collect their
debts and will therefore lose money. If businessmen lose money or fail to make a satisfactory profit, it
becomes more likely to have a depression. This is why, in some countries, the government controls the
installment plan by fixing the amount of the down payment and installments to discourage people from
buying more than they can pay for on the installment plan.

1. Which of the following is NOT true about the installment plan?

A. A lot of British families use the installment plan.
B. More than 10 percent American families buy things on installments.
C. Americans depend more on installment than British people do.
D. Americans spend one tenth of their income on installment buying.

2. Goods bought on installments are more expensive than goods bought by cash because _____.

A. the buyer has to pay extra money as interest
B. the delivery of the goods charges extra money
C. the buyer has to pay a down payment
D. the service offered by installment plan charged extra money

3. What will happen to a buyer if he fails to make the full payment for an item bought on installments?

A. He might lose his job.
B. He will stop owning the item he has bought.
C. He will have to sell what he has bought.
D. He will go into debt.

4. The advantage of installment buying might include all the following EXCEPT that _____.

A. purchasing power is strengthened
B. employment might be increased
C. people develop a good habit of saving money
D. young couples are able to furnish their homes

5. In some countries, the governments control the installment plan to _____.

A. increase employment
B. avoid depressions
C. ensure that businesses make good profits
D. ensure that people can pay for what hey buy

1-5: BABCB

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