Which of the Following Was the Result in Melissa Kahn

question 54

Multiple Choice

Which of the following was the result in Melissa Kahn v. Volkswagen of America, Inc., the case in the text in which the plaintiff attempted to hold the manufacturer liable for problems with a vehicle she leased from a dealership?

• A) The court ruled that the plaintiff could recover from the manufacturer based upon the implied warranty of merchantability.
• B) The court ruled that the plaintiff could recover from the manufacturer based upon the implied warranty of fitness for a particular purpose.
• C) The court ruled that the plaintiff could recover from the manufacturer based upon the theory of express warranty.
• D) The court ruled that the plaintiff could recover from the manufacturer based upon the implied warranty of trade usage.
• E) The court ruled that the plaintiff could not recover from the manufacturer.

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Definitions:

Computation

The process of performing mathematical calculations or processing information to achieve a result.

Debt-equity Ratio

A metric that evaluates the financial leverage of a company, determined by dividing the total amount of its liabilities by its shareholder equity.

Weighted Average Cost

A financial metric that calculates the average price of various sources of capital (debt, equity, etc.), weighted by their respective use in the financing mix of a company.

Cost of Equity

The return a company requires to decide if an investment meets capital return requirements, often calculated using models like the Capital Asset Pricing Model (CAPM).