Jewelry Design Jewelry Business and Professional Practices 1 — Questions and Answers
Question 1: What does karat (kt) measure in gold jewelry in the United States?
- The weight of the gold piece
- The purity of gold as a fraction of 24 parts (Correct answer)
- The hardness of the gold alloy
- The market price of the gold
Correct answer: The purity of gold as a fraction of 24 parts
Karat measures gold purity as parts per 24; 24kt is pure gold, 18kt is 18/24 (75%) gold, and 14kt is 14/24 (58.3%) gold, with the remainder being alloy metals.
Question 2: Under US Federal Trade Commission (FTC) guidelines, what is the minimum gold karat that can be legally sold as 'gold' without a karat qualifier?
- 8 karat
- 10 karat (Correct answer)
- 14 karat
- 18 karat
Correct answer: 10 karat
The FTC requires that jewelry sold as 'gold' in the US must be at least 10 karat (41.7% gold), the lowest quality legally sold without additional disclosure.
Question 3: What is the term for the system of marks stamped on precious metal jewelry in many countries to certify metal purity?
- Branding
- Hallmarking (Correct answer)
- Certification
- Assaying
Correct answer: Hallmarking
Hallmarking is the official system of stamping independently verified marks on precious metal items to certify their metal content, used extensively in the UK, Europe, and elsewhere.
Question 4: What is 'gold-filled' jewelry, and how does it differ from 'gold-plated'?
- Gold-filled has more karat gold than gold-plated; they are applied the same way
- Gold-filled has a thick layer mechanically bonded to a base metal; gold-plating is electrodeposited and much thinner (Correct answer)
- Gold-filled is solid gold inside; gold-plated has only a surface coating
- There is no regulatory difference between the two terms
Correct answer: Gold-filled has a thick layer mechanically bonded to a base metal; gold-plating is electrodeposited and much thinner
Gold-filled jewelry has a thick layer of karat gold (at least 1/20 by weight) mechanically bonded to a base metal core, while gold-plated is a very thin electrodeposited layer that wears off more quickly.
Question 5: What is the significance of the 'four Cs' in evaluating diamonds?
- Cut, Color, Clarity, and Carat weight — the universal grading criteria for diamond quality (Correct answer)
- Cost, Country, Certification, and Cut — commercial factors affecting price
- Crystal, Core, Color, and Carat — geological properties of diamonds
- Chemical purity, Clarity, Cut, and Circumference — technical measurements
Correct answer: Cut, Color, Clarity, and Carat weight — the universal grading criteria for diamond quality
The four Cs—Cut, Color, Clarity, and Carat weight—are the universally adopted standard criteria developed by GIA for evaluating and communicating diamond quality.
Question 6: What is an 'appraisal' in the jewelry industry, and what is its primary legal purpose in the US?
- A certificate proving a gem is natural
- A professional written valuation documenting a piece for insurance or estate purposes (Correct answer)
- A government-issued certificate of metal purity
- A grading report from a gemological laboratory
Correct answer: A professional written valuation documenting a piece for insurance or estate purposes
A jewelry appraisal is a written document by a certified appraiser estimating a piece's replacement or fair market value, primarily used for insurance coverage or estate settlement.
Jewelry Design Jewelry Business and Professional Practices 1
What does karat (kt) measure in gold jewelry in the United States?