Which of the Following Is True Regarding the Definitions of "Reasonable

question 74

Multiple Choice

Which of the following is true regarding the definitions of "reasonable" and "commercial reasonableness" in Articles 2 and 2A of the UCC?

• A) The UCC specifically defines those terms in section 2-103.
• B) The UCC defines those terms in the context of common usage only.
• C) The UCC defines those terms by reference to a special UCC glossary.
• D) The UCC does not specifically define the terms. Instead, their meaning is determined by reference to such matters as the course of performance or the course of dealing between the parties, and usage of trade.
• E) The UCC specifically defines "reasonable," but not "commercial reasonableness."

---

Definitions:

Year 2

The term defines the sophomore year in any given context, often seen in fiscal, educational, or chronological timelines.

Operating Cycle

The period of time it takes for a business to buy inventory, sell products, and collect cash from customers, effectively turning inventory into cash.

Year 2

Year 2 typically refers to the second year in a sequence or series, such as the second year of operation for a business, the second calendar year of an entity’s existence, or a specific fiscal year designated as "Year 2."

Debt-to-Equity Ratio

This metric illustrates the proportionate use of equity and debt in financing a company's asset base.