Question 1

Identification is one of the concepts involved in determining the rights and liabilities of parties to a sales contract.

Accepted Answer

A) True 
 B)False

Question 2

When a bailee is holding goods that are to be delivered under a contract without being moved, risk of loss passes when the bailee acknowledges the buyer's right to the goods.

Accepted Answer

A) True 
 B)False

Question 3

Quality Computer Company agrees to sell one hundred servers to Social Media Networks, Inc. The servers, which Social Media Networks expressly requires to have certain amounts of memory, are to be shipped "F.O.B. Social Media Networks distribution center in Memphis, TN." When the servers arrive, Social Media Networks rejects them and informs Quality Computer, claiming that the servers do not conform to Social Media Networks' memory requirement. A few hours later, the servers are destroyed in a fire at Social Media Networks' distribution center. Will Quality Computer succeed in a suit against Social Media Networks for the cost of the goods?

Accepted Answer

No, because the goods were nonconforming...

Question 4

An owner in common of fungible goods can pass title and risk of loss to the buyer only by actually separating the goods.

Accepted Answer

A) True 
 B)False

Question 5

Generally, all contracts are assumed to be destination contracts if nothing to the contrary is stated in the contract.

Accepted Answer

A) True 
 B)False

Question 6

A trucking company that normally issues documents of title for goods it receives is a bailee.

Accepted Answer

A) True 
 B)False

Question 7

A seller's title to goods being sold is voidable if the goods

Accepted Answer

A)   were bought on credit.
B)   were obtained by fraud.
C)   were delivered to a buyer but have not yet been paid for.
D)   must be sold to a good faith purchaser for value.E) All of the above
F) None of the above

Question 8

Outdoor Outfitters Store contracts to buy fifty tents from Pitched Camp, Inc. Unless the contract states otherwise, this document is assumed to be

Accepted Answer

A)   a bill of lading.
B)   a destination contract.
C)   a shipment contract.
D)   a warehouse receipt.E) A) and B)
F) A) and C)

Question 9

EverSafe Corporation in New York sells a truckload of protective suits, masks, and other safety gear to Foundry Inc. in Connecticut, "F.O.B. New York." EverSafe arranges with Go Truckline to transport the goods. The cost of the transport will be paid by

Accepted Answer

A)   the seller.
B)   the buyer.
C)   the carrier.
D)   businesses by an increase in the prices of safety gear.E) A) and B)
F) C) and D)

Question 10

Risk of loss cannot pass from seller to buyer unless the goods are identified to the contract.

Accepted Answer

A) True 
 B)False

Question 11

Regional Freight LLC delivers a receipt issued by Storage Warehouse for goods stored in its facility to Transnational Inc., a buyer of the goods. This is

Accepted Answer

A)   a bill of lading.
B)   a destination contract.
C)   a shipment contract.
D)   a warehouse receipt.E) B) and C)
F) None of the above

Question 12

In a sales contract, the passage of risk of loss from a seller to a buyer gives the buyer the right to insure the goods.

Accepted Answer

A) True 
 B)False

Exam 20: Title and Risk of Loss

An owner in common of fungible goods can pass title and risk of loss to the buyer only by actually separating the goods.

Correct Answer
verified

Correct Answer
verified
No, because the goods were nonconforming...
View Answer

Generally, all contracts are assumed to be destination contracts if nothing to the contrary is stated in the contract.

Correct Answer
verified

Risk of loss cannot pass from seller to buyer unless the goods are identified to the contract.

Correct Answer
verified

EverSafe Corporation in New York sells a truckload of protective suits, masks, and other safety gear to Foundry Inc. in Connecticut, "F.O.B. New York." EverSafe arranges with Go Truckline to transport the goods. The cost of the transport will be paid by

Correct Answer
verified

In a sales contract, the passage of risk of loss from a seller to a buyer gives the buyer the right to insure the goods.

Correct Answer
verified

A seller's title to goods being sold is voidable if the goods

Correct Answer
verified

When a bailee is holding goods that are to be delivered under a contract without being moved, risk of loss passes when the bailee acknowledges the buyer's right to the goods.

Correct Answer
verified

A trucking company that normally issues documents of title for goods it receives is a bailee.

Correct Answer
verified

Outdoor Outfitters Store contracts to buy fifty tents from Pitched Camp, Inc. Unless the contract states otherwise, this document is assumed to be

Correct Answer
verified

Regional Freight LLC delivers a receipt issued by Storage Warehouse for goods stored in its facility to Transnational Inc., a buyer of the goods. This is

Correct Answer
verified

Identification is one of the concepts involved in determining the rights and liabilities of parties to a sales contract.

Correct Answer
verified

Exam 20: Title and Risk of Loss

An owner in common of fungible goods can pass title and risk of loss to the buyer only by actually separating the goods.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedNo, because the goods were nonconforming...View AnswerShow Answer

Generally, all contracts are assumed to be destination contracts if nothing to the contrary is stated in the contract.

Correct AnswerverifiedShow Answer

Risk of loss cannot pass from seller to buyer unless the goods are identified to the contract.

Correct AnswerverifiedShow Answer

EverSafe Corporation in New York sells a truckload of protective suits, masks, and other safety gear to Foundry Inc. in Connecticut, "F.O.B. New York." EverSafe arranges with Go Truckline to transport the goods. The cost of the transport will be paid by

Correct AnswerverifiedShow Answer

In a sales contract, the passage of risk of loss from a seller to a buyer gives the buyer the right to insure the goods.

Correct AnswerverifiedShow Answer

A seller's title to goods being sold is voidable if the goods

Correct AnswerverifiedShow Answer

When a bailee is holding goods that are to be delivered under a contract without being moved, risk of loss passes when the bailee acknowledges the buyer's right to the goods.

Correct AnswerverifiedShow Answer

A trucking company that normally issues documents of title for goods it receives is a bailee.

Correct AnswerverifiedShow Answer

Outdoor Outfitters Store contracts to buy fifty tents from Pitched Camp, Inc. Unless the contract states otherwise, this document is assumed to be

Correct AnswerverifiedShow Answer

Regional Freight LLC delivers a receipt issued by Storage Warehouse for goods stored in its facility to Transnational Inc., a buyer of the goods. This is

Correct AnswerverifiedShow Answer

Identification is one of the concepts involved in determining the rights and liabilities of parties to a sales contract.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
No, because the goods were nonconforming...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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