Inga Runs a Swedish Health Spa in Connecticut

question 39

Multiple Choice

Inga runs a Swedish health spa in Connecticut.She orders 100 loofah sponges from a company in California.They are sent "F.O.B.Hartford, Connecticut," but they never arrive.What consequence?

• A) The California company is required to bear the loss since the sponges had not yet reached the F.O.B. point.
• B) It cannot be determined who has the risk of loss from the information given.
• C) The California company and Inga will have to split the loss since they did not specify in their contract when the risk of loss would pass to Inga.
• D) Inga has to pay anyway since it was a destination contract.

---

Definitions:

Tax-free Incentives

Financial benefits provided without tax liability, designed to encourage specific behaviors or investments.

Corporate Charitable Giving

The donation of funds, goods, or services to charitable causes by corporations to support various social, environmental, or community objectives.

Social Responsibility Strategy

An approach by a company to contribute to societal goals of a philanthropic, activist, or charitable nature by engaging in or supporting volunteering or ethically-oriented practices.

Corporate Misconduct

Unethical or illegal actions taken by a company or its employees, which can include fraud, insider trading, and environmental violations among others.