Which of the Following Members of the Chain of Distribution

question 26

Multiple Choice

Which of the following members of the chain of distribution cannot be strictly liable in a products lawsuit?

• A) The manufacturer
• B) The wholesaler
• C) The retailer
• D) The occasional seller

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Definitions:

IRR

Internal Rate of Return, a financial metric used to estimate the profitability of potential investments by calculating the interest rate at which the net present value of all cash flows (both positive and negative) from a particular project equals zero.

Required Rate

The minimum return needed from an investment to compensate for its risk.

Annual Cash Flows

The total amount of cash that a company receives and spends within one year.