The 'Neighbour Principle' Formulated in the Decision of Donoghue V

question 29

Multiple Choice

The 'neighbour principle' formulated in the decision of Donoghue v Stevenson (1932) AC 562 provides:

• A)One must take reasonable care to avoid acts or omissions that are reasonably foreseeable to likely injure any person one would reasonably have foreseen would be so injured.
• B)A decomposed snail might reasonably be expected to enhance the flavour of ginger beer.
• C)Manufacturers will not generally be liable to consumers for defects in their products because there is no contract between the manufacturer and the consumer.
• D)Every person has a non-delegable duty not to cause harm to their next-door neighbour.

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Definitions:

Return On Investment

A measure used to evaluate the efficiency of an investment or compare the efficiencies of several different investments.

Residual Income

The amount of income that an entity has after all costs and expenses, including the cost of capital, have been deducted.

Return On Investment

A measure of the profitability of an investment, calculated by dividing the gain from the investment by the cost of the investment.

Combined Margin

A metric that combines multiple types of profit margins (such as gross, operating, or net margin) to assess overall performance.