The Uniform Commercial Code (UCC) Was Designed To

question 392

Multiple Choice

The Uniform Commercial Code (UCC) was designed to:

• A) prevent copyright violations
• B) increase the number of inventions patented by U.S. inventors
• C) promote uniformity of the laws relating to commercial sales of goods
• D) promote inter-state trade
• E) promote intra-state trade

---

Definitions:

Net Working Capital

This reflects the variance between what a business owns in the short term versus what it owes, highlighting its financial robustness and operational productivity.

Accounts Payable

Money owed by a business to its suppliers shown as a liability on the company's balance sheet.

Inventory Increase

A situation where a company experiences a rise in the level of goods and materials on hand, reflecting either a buildup in anticipation of higher sales or slower sales than expected.

Depreciation Tax Shield

The tax saving achieved by a company from deducting depreciation expenses on its taxable income.