Both Rescission and Damages Are Available Remedies for Misrepresentation Only

question 69

Multiple Choice

Both rescission and damages are available remedies for misrepresentation only when the misrepresentation is

• A)fraudulent or negligent.
• B)innocent or fraudulent.
• C)innocent only.
• D)innocent,negligent,and fraudulent.
• E)innocent or negligent.

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Definitions:

Economic Profit

The difference between total revenue and total costs, including both explicit and implicit costs, often indicating the degree of profitability.

Marginal Decision Rule

A principle stating that an action should be taken if and only if the marginal benefits exceed the marginal costs.

ATC

Average Total Cost, which represents the total cost per unit of output, calculated by dividing the total cost by the quantity of output produced.

MR

Stands for Marginal Revenue, which is the additional income earned from selling one more unit of a good or service.