Exhibit 14-2 in Exhibit 14-2, If a Consumer Gathers

question 113

Multiple Choice

Exhibit 14-2 In Exhibit 14-2, if a consumer gathers an amount of information equal to I₂,

• A)he has made the optimal search
• B)he has avoided the cost of acquiring information
• C)he has searched too much
• D)further information will be costless to him
• E)he should increase his search

---

Definitions:

Ultra Vires Rule

A legal doctrine that acts performed beyond the scope of a corporation's or entity's powers are invalid.

Business Judgment Rule

A legal principle that protects the decisions made by a corporation's board of directors from being challenged in court, provided they were made in good faith and with reasonable care.

Oppression

The exercise of authority or power in a burdensome, cruel, or unjust manner.

Novation

is the process of substituting a new obligation or contract for an old one, with consent from all parties involved.