You Purchase a Computer for $1,500, Having Being Told by the Vendor

question 6

Multiple Choice

You purchase a computer for $1,500, having being told by the vendor that it is a 2002 model. After receiving it, you discover that it is a 2001 model, worth only about $1,200. What are your remedies?

• A)If the vendor was honest but mistaken, you can return the computer and get your $1,500 back.
• B)If the vendor should have known that facts, you cannot return the computer but you can get $300 back.
• C)If the vendor knew the facts and lied about them, you can return the computer and get damages of $300.
• D)If the vendor wasn't sure about the model, you cannot return the computer, but you can get $300 in damages
• E)Buyer beware, there is nothing you can do you should have checked it out more carefully

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Definitions:

Market Value

The current price at which an asset or service can be bought or sold in an open market.

Future Earnings

The projected income a company or individual is expected to generate in upcoming periods.

Investing Human Capital

The process of improving the workforce's skills and knowledge through education, training, and experience to enhance productivity and economic value.

Present Discounted Value

The current value of a future sum of money or stream of cash flows given a specified rate of return, used in time value of money calculations.