When Delivery Is to Be Made Without Moving the Goods

question 40

Multiple Choice

When delivery is to be made without moving the goods, unless otherwise agreed, title passes:

• A) at the time and place of contracting under all circumstances.
• B) when a document of title is created if a negotiable document of title is involved.
• C) when the goods are identified if they were not identified at the time of contracting.
• D) at the time the seller completes performance.

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Definitions:

Capital Investment Evaluation

The process of assessing the profitability and risk of potential investment opportunities, using methods such as net present value, return on investment, or payback period.

Net Present Value

The calculation used to determine the current value of a series of future cash flows, discounted back at a particular rate.

Required Rate of Return

The minimum percentage return an investor expects or requires from an investment to compensate for its risk.

Expected Cash Flows

Forecasted cash receipts and payments over a specified period, often used for investment appraisal.