In Bringing a Warranty Action, the Buyer Must Prove That

question 38

Multiple Choice

In bringing a warranty action, the buyer must prove that:

• A) a warranty existed.
• B) the warranty has been breached.
• C) the breach of the warranty proximately caused the loss suffered.
• D) All of these.
• E) None of these.

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Definitions:

Aging Schedule

An aging schedule is an accounting table that shows the breakdown of accounts receivables according to the length of time an invoice has been outstanding.

Allowance for Doubtful Accounts

A contra-account reduced from accounts receivable on a company's balance sheet that represents the amount of sales that are expected not to be collected.

Accounts Receivable

Debts that customers have towards a business for items or services received but payment is outstanding.

Interest Calculation

The process of determining the interest charge on a loan or financial investment, based on the principal amount, rate, and time.