Question 1

Which of the following is not considered "goods" within the meaning of Article 2?

Accepted Answer

A)   An unborn calf
B)   A field of corn still in the field
C)   Timber which is still standing
D)   All of these are goods under Article 2.

Question 2

What does Article 2 say with regard to the following?
a. Good faith.
b. Unconscionability.
c. Expansion of commercial practices.
All parties who enter into a contract or duty within the scope of the Code must perform their obligations in good faith. The Code defines good faith as "honesty in

Accepted Answer

a. fact in the conduct or transaction co...

Question 3

The CISG supersedes the UCC in any situation to which either could apply.

Accepted Answer

A) True 
 B)False

Question 4

The UCC treats merchants more leniently than others in transactions involving goods.

Accepted Answer

A) True 
 B)False

Question 5

For $100 each, Helen agrees with Troy Tech to knit 14 sweaters for the soccer team in their school colors with their names on the front and "Go Tech" on the back. After Helen has almost finished the last sweater, Troy Tech decides it should spend the money on repairs to the locker room instead of on the sweaters. Does Helen's contract have to be in writing for her to enforce it?

Accepted Answer

A)   No, because each sweater only cost $100
B)   No, because they are specially manufactured sweaters
C)   Yes, because the total cost is $1,400
D)   Yes, because they are specially manufactured sweaters

Question 6

In determining whether a contract containing both a sale of goods and a service is a UCC or general contract, the majority of states follow the:

Accepted Answer

A)   CISG.
B)   predominant purpose test.
C)   parol evidence test.
D)   procedural or bargaining scrutiny.

Question 7

Ari makes a written offer to Linville, who replies with a conditional acceptance. Ari ships the goods, which Linville accepts. A contract:

Accepted Answer

A)   was formed when Linville conditionally accepted.
B)   consists of the written terms to which Ari and Linville agreed, along with supplementary provisions of the UCC.
C)   consists only of the written terms to which Ari and Linville agreed.
D)   was never formed.

Question 8

Unless an auction is advertised or announced as being without reserve, the sale is with reserve, and the auctioneer may withdraw the goods at any time until he announces completion of the sale.

Accepted Answer

A) True 
 B)False

Question 9

With regard to uncertainty in a contract that falls within the scope of Article 2, which of the following is true?

Accepted Answer

A)   Uncertainty will usually make the contract unenforceable.
B)   Missing terms cannot be supplied at a later date.
C)   Uncertainty as to incidental matters will seldom be fatal as long as the parties intend to form a contract.
D)   Missing terms will cause the contract to be voidable, but the parties will have a chance to fill them in later.

Question 10

Under Article 2 of the UCC, which of the following would be considered a sale?

Accepted Answer

A)   Bill trades his car for a motorcycle.
B)   Bill lends his car to his friend.
C)   Bill puts up his car as security for a $500 loan.
D)   Bill gives his car to his sister.

Question 11

Mary and Renaldi Co. have dealt with each other for many, many years. Mary's Boutique orders 100 assorted lipsticks at $3.00 each from Renaldi Co. Renaldi sends back a confirmation letter stating that the shipment will be made by UPS rather than by U.S. mail as usual. There is:

Accepted Answer

A)   no contract, but a counteroffer.
B)   a contract for shipment by UPS unless Mary objects.
C)   a contract for shipment by UPS only if Mary agrees.
D)   a contract for shipment by U.S. mail.

Question 12

Which of the following is true about the CISG?

Accepted Answer

A)   The full title is The United States Convention on Contracts for the International Sale of Goods.
B)   It does not apply to contracts in which the primary obligation of the party furnishing the goods consists of supplying labor or services.
C)   The CISG governs the formation of the contract, the rights and obligations of the seller and buyer arising from such contract, and the validity of the contract provisions.
D)   All of these.

Question 13

Shannon orally agrees to buy 500 telephone answering machines from Thomas for $25,000. Thomas delivers 300 answering machines to Shannon, who receives and accepts them. Which of the following is correct with regard to this transaction?

Accepted Answer

A)   Shannon can enforce the contract for the additional 200 machines.
B)   The contract is enforceable only to the extent of the 300 machines that have been received and accepted.
C)   The entire contract is in violation of the statute of frauds and cannot be enforced.
D)   This is a bad deal and therefore unconscionable and unenforceable from the beginning.

Question 14

The UCC provides rules, where the parties do not set forth terms in their contract, to cover:

Accepted Answer

A)   terms of payment.
B)   place of delivery.
C)   particulars of performance.
D)   All of these.

Question 15

The firm offer provision in Articles 2 and 2A of the UCC covers only merchant sellers.

Accepted Answer

A) True 
 B)False

Question 16

The CISG governs contracts for the international sale of goods between parties located in different nations that have ratified the CISG.

Accepted Answer

A) True 
 B)False

Question 17

A(n)  is a type of transaction generally involving three parties instead of two.

Accepted Answer

A)   finance lease
B)   consumer lease
C)   sale
D)   None of these.

Question 18

A court faced with an unconscionable lease contract may refuse to enforce the entire contract.

Accepted Answer

A) True 
 B)False

Question 19

List four areas of contract law where the common law of contracts and the law of sales differ. Give both the common law rule and the rule under Article 2.

Accepted Answer

There are at least nine possible answers...

Question 20

Where there is no course of performance, usage of trade, or course of dealing, and where a contract is silent as to the place of delivery, the place for delivery is:
a. the seller's place of business.
b. wherever the goods were manufactured.
c. wherever the goods are located.
d. the buyer's place of business.

Accepted Answer

The answer of Where there is no course of performance,...

Exam 21: Introduction to Sales and Leases

A(n) is a type of transaction generally involving three parties instead of two.

Correct Answer
verified

A court faced with an unconscionable lease contract may refuse to enforce the entire contract.

Correct Answer
verified

Unless an auction is advertised or announced as being without reserve, the sale is with reserve, and the auctioneer may withdraw the goods at any time until he announces completion of the sale.

Correct Answer
verified

Correct Answer
verified

With regard to uncertainty in a contract that falls within the scope of Article 2, which of the following is true?

Correct Answer
verified

List four areas of contract law where the common law of contracts and the law of sales differ. Give both the common law rule and the rule under Article 2.

Correct Answer
verified
There are at least nine possible answers...
View Answer

Mary and Renaldi Co. have dealt with each other for many, many years. Mary's Boutique orders 100 assorted lipsticks at $3.00 each from Renaldi Co. Renaldi sends back a confirmation letter stating that the shipment will be made by UPS rather than by U.S. mail as usual. There is:

Correct Answer
verified

The CISG supersedes the UCC in any situation to which either could apply.

Correct Answer
verified

Shannon orally agrees to buy 500 telephone answering machines from Thomas for $25,000. Thomas delivers 300 answering machines to Shannon, who receives and accepts them. Which of the following is correct with regard to this transaction?

Correct Answer
verified

In determining whether a contract containing both a sale of goods and a service is a UCC or general contract, the majority of states follow the:

Correct Answer
verified

Which of the following is true about the CISG?

Correct Answer
verified

What does Article 2 say with regard to the following? a. Good faith. b. Unconscionability. c. Expansion of commercial practices. All parties who enter into a contract or duty within the scope of the Code must perform their obligations in good faith. The Code defines good faith as "honesty in

Correct Answer
verified
a. fact in the conduct or transaction co...
View Answer

The firm offer provision in Articles 2 and 2A of the UCC covers only merchant sellers.

Correct Answer
verified

Which of the following is not considered "goods" within the meaning of Article 2?

Correct Answer
verified

The UCC treats merchants more leniently than others in transactions involving goods.

Correct Answer
verified

The UCC provides rules, where the parties do not set forth terms in their contract, to cover:

Correct Answer
verified

The CISG governs contracts for the international sale of goods between parties located in different nations that have ratified the CISG.

Correct Answer
verified

Ari makes a written offer to Linville, who replies with a conditional acceptance. Ari ships the goods, which Linville accepts. A contract:

Correct Answer
verified

Correct Answer
verified

Under Article 2 of the UCC, which of the following would be considered a sale?

Correct Answer
verified

Exam 21: Introduction to Sales and Leases

A(n) is a type of transaction generally involving three parties instead of two.

Correct AnswerverifiedShow Answer

A court faced with an unconscionable lease contract may refuse to enforce the entire contract.

Correct AnswerverifiedShow Answer

Unless an auction is advertised or announced as being without reserve, the sale is with reserve, and the auctioneer may withdraw the goods at any time until he announces completion of the sale.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

With regard to uncertainty in a contract that falls within the scope of Article 2, which of the following is true?

Correct AnswerverifiedShow Answer

List four areas of contract law where the common law of contracts and the law of sales differ. Give both the common law rule and the rule under Article 2.

Correct AnswerverifiedThere are at least nine possible answers...View AnswerShow Answer

Mary and Renaldi Co. have dealt with each other for many, many years. Mary's Boutique orders 100 assorted lipsticks at $3.00 each from Renaldi Co. Renaldi sends back a confirmation letter stating that the shipment will be made by UPS rather than by U.S. mail as usual. There is:

Correct AnswerverifiedShow Answer

The CISG supersedes the UCC in any situation to which either could apply.

Correct AnswerverifiedShow Answer

Shannon orally agrees to buy 500 telephone answering machines from Thomas for $25,000. Thomas delivers 300 answering machines to Shannon, who receives and accepts them. Which of the following is correct with regard to this transaction?

Correct AnswerverifiedShow Answer

In determining whether a contract containing both a sale of goods and a service is a UCC or general contract, the majority of states follow the:

Correct AnswerverifiedShow Answer

Which of the following is true about the CISG?

Correct AnswerverifiedShow Answer

What does Article 2 say with regard to the following? a. Good faith. b. Unconscionability. c. Expansion of commercial practices. All parties who enter into a contract or duty within the scope of the Code must perform their obligations in good faith. The Code defines good faith as "honesty in

Correct Answerverifieda. fact in the conduct or transaction co...View AnswerShow Answer

The firm offer provision in Articles 2 and 2A of the UCC covers only merchant sellers.

Correct AnswerverifiedShow Answer

Which of the following is not considered "goods" within the meaning of Article 2?

Correct AnswerverifiedShow Answer

The UCC treats merchants more leniently than others in transactions involving goods.

Correct AnswerverifiedShow Answer

The UCC provides rules, where the parties do not set forth terms in their contract, to cover:

Correct AnswerverifiedShow Answer

The CISG governs contracts for the international sale of goods between parties located in different nations that have ratified the CISG.

Correct AnswerverifiedShow Answer

Ari makes a written offer to Linville, who replies with a conditional acceptance. Ari ships the goods, which Linville accepts. A contract:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Under Article 2 of the UCC, which of the following would be considered a sale?

Correct AnswerverifiedShow Answer

Correct Answer
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There are at least nine possible answers...
View Answer

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Correct Answer
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Correct Answer
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Correct Answer
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a. fact in the conduct or transaction co...
View Answer

Correct Answer
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