Fay, Age 17, Ordered a Pair of Skis on the Installment

question 43

Multiple Choice

Fay, age 17, ordered a pair of skis on the installment plan. She paid $20 every month until she turned 18, the age of majority. The next day, she sold the skis to Sharon and disaffirmed the contract. Fay is:

• A) still liable since she had to disaffirm before her 18th birthday.
• B) still liable because selling the skis amounted to a ratification.
• C) still liable because she used the skis.
• D) not liable because skis are not necessaries.

Recognize the role and arguments for and against advertising in monopolistically competitive markets.

Identify the strategies monopolistically competitive firms use to gain market power and differentiate their products.

Comprehend the importance of product differentiation and the forms it can take (horizontal and vertical).

Analyze the impact of the Internet on advertising and market behavior.

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Definitions:

Olfactory Nerve

The first cranial nerve responsible for the sense of smell, transmitting sensory information from the nose to the brain.

Sacral Plexus

A network of nerves originating from the lower spine, providing motor and sensory nerves for the pelvis, buttocks, genitals, thighs, calves, and feet.

Sciatic Nerve

The largest nerve in the body, running from the lower back through the buttocks and down the legs, providing sensory and motor function.

Reflex Arc

A reflex arc is the neural pathway that controls a reflex action, typically consisting of a sensory neuron, a motor neuron, and sometimes one or more interneurons.