TJ_Comp 20_TB_Ch23

TJ_Comp 20_TB_Ch23 - Chapter 23NATURE AND FORM OF SALES...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon

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

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

Unformatted text preview: Chapter 23NATURE AND FORM OF SALES TRUE/FALSE 1. The transferor of goods is the buyer or vendee, while the transferee of goods is the seller or vendor. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 2. The subject matter of a sale of goods may be anything that is movable at the time that it is identified as the subject of the transaction. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 3. Goods physically existing and owned by a seller at the time of a transaction are called existing goods. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 4. A bailment is a special form of sale in which possession is transferred to a bailee. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 5. A gift is a free transfer of the title of property. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 6. A contract that has elements of both goods and services is always classified as a contract for the sale of goods. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 7. When a patient receives a filling at a dentist, there is a sale of goods. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 8. A firm offer is effective only if the merchant receives consideration to keep the offer open. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 9. Sales law has special rules that apply to merchants. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 10. An offer to buy or sell goods may be accepted in any manner that is reasonable under the circum- stances. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 11. When a term of an acceptance conflicts with a term of an offer to buy goods, the conflicting terms are canceled out and ignored when it is clear that the parties intended to be bound by a contract. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 12. In most situations, the timing rules of common law that determine when a contract has been formed are identical to those used under Article 2. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 13. A contract for the sale of goods is not enforceable unless the contract clearly expresses the price. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 14. An output or requirement contract is not enforceable unless the parties include an estimate of prospect- ive amounts. ANS: F TOP: AICPA BB-Legal MSC: AACSBAnalytic 15. A contract of indefinite duration may be terminated on notice by either party. ANS: T TOP: AICPA BB-Legal MSC: AACSB Analytic 16. Any modification of a sales contract must be supported by some form of consideration. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 17. The parol evidence rule does not apply to the sale of goods. ANS: F TOP: AICPA BB-Legal MSC: AACSB Analytic 18. Patterns of doing business in a sales transaction may be used to indicate intent of the parties when ex- press terms are unclear or missing....
View Full Document

This note was uploaded on 02/22/2012 for the course BUS BUS212 taught by Professor Manney during the Spring '12 term at FSU.

Page1 / 7

TJ_Comp 20_TB_Ch23 - Chapter 23NATURE AND FORM OF SALES...

This preview shows document pages 1 - 3. Sign up to view the full document.

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