Ch21-TB2-WBL-10e

Ch21-TB2-WBL-10e - Chapter21 Title,Risk,andInsurableInterest

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 21 Title, Risk, and Insurable Interest N.B.:   TYPE  indicates that a question is new, modified, or unchanged, as  follows. N A question  new  to this edition of the Test Bank. + A question  modified  from the previous edition of the Test Bank, = A question  included  in the previous edition of the Test Bank. TRUE/FALSE QUESTIONS 1. Before any interest in specific goods can pass from the seller to the buyer,  the goods must exist and be identified to the contract. ANSWER: T PAGE: 410 TYPE: = 2. If a contract calls for the lease of specific and ascertained goods that are  already in existence, identification takes place  at the time payment is  made. ANSWER: F PAGE: 410 TYPE: = 3. Fungible goods are goods that are alike by physical nature, agreement, or  trade usage. ANSWER: T PAGE: 411 TYPE: = 4. In all circumstances, title passes to the buyer at the time and place at  which the seller physically delivers the goods. ANSWER: F PAGE: 411 TYPE: = 209
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
210 TEST BANK 2—UNIT FOUR: DOMESTIC AND INT’L SALES AND LEASE CONTRACTS 5. A bill of lading is a receipt for goods that is signed by a carrier and serves  as a contract for the transportation of goods. ANSWER: T PAGE: 411 TYPE: =
Background image of page 2
TITLE, RISK, AND INSURABLE INTEREST 211 6. Unless a contract provides otherwise, it is assumed to be a destination  contract. ANSWER: F PAGE: 411 TYPE: N 7. An innocent buyer from a thief acquires title to the goods as a good faith  purchaser. ANSWER: F PAGE: 412 TYPE: = 8. Entrusting goods to a merchant who deals in goods of that kind gives the  merchant the power to transfer all rights to a buyer in the ordinary course  of business. ANSWER: T PAGE: 412 TYPE: = 9. When the risk of loss for goods passes from a seller to a buyer is generally  determined by the contract between the parties. ANSWER: T PAGE: 414 TYPE: = 10. Under a  shipment  contract, the risk of loss passes to the buyer only when  the   seller   tenders   conforming   goods   to   the   buyer   at   the   specified  destination. ANSWER: F PAGE: 415 TYPE: = 11. C.I.F. stands for cost, insurance, freight. ANSWER: T PAGE: 415 TYPE: = 12. If a seller is a merchant, the risk of loss to goods held by the seller passes to  a buyer when the buyer takes physical possession of the goods. ANSWER: T PAGE: 417 TYPE: + 13. If a seller is   not   a merchant, the risk of loss  to goods held by the seller  passes to a buyer only when the buyer takes physical possession of the  goods. ANSWER:
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 10/15/2010 for the course ACCT ACCT40 taught by Professor Birnbaum during the Fall '08 term at CUNY Brooklyn.

Page1 / 13

Ch21-TB2-WBL-10e - Chapter21 Title,Risk,andInsurableInterest

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online