Joann Makes Doll Clothing and Jesse Makes Custom Glue in His

question 30

Multiple Choice

Joann makes doll clothing and Jesse makes custom glue in his basement. Joann wants to buy some of Jesse's glue. Joann visits Jesse and says she needs a glue that will work on fabric. Jesse sells her a tube of Super Special Glue, but it does not work on fabric at all. Does Joann have a warranty claim?

• A) Yes, an implied warranty of fitness for a particular purpose.
• B) Yes, an express warranty.
• C) No, because Jesse is not a merchant.
• D) No, because Jesse couldn't possibly know if the glue would work on fabric.
• E) It depends upon whether the glue works on any other materials or not.

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Definitions:

Variable Costs

Expenses that change in proportion to the activity or volume of business, such as materials and labor costs.

Fixed Costs

Rephrased: Expenses that remain constant regardless of the company's level of production or business activity.

Trucking Department

A specialized division within a company responsible for the management and operation of trucking logistics, including transportation and delivery services.

Peak-Period Requirements

The increased demand or resources needed during the busiest or most active times for a business or service.