Under the UCC, Merchantable Means That Goods Must Be of a Quality

question 368

Multiple Choice

Under the UCC, merchantable means that goods must be of a quality comparable to:

• A) that generally acceptable in that line or trade
• B) the median standard of industry
• C) the highest recent quality of the trade
• D) defect-free goods in the industry
• E) none of the other choices

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Definitions:

Periodic Rate

Periodic rate is the interest rate applied to a financial product over a specific period, which could be daily, monthly, or quarterly, rather than annually.

Quarterly Payments

Payments that are made four times a year, usually for loans or investments, corresponding to each quarter of the year.

Compounded Semi-annually

Interest on an investment or loan is calculated and added to the principal two times a year.

Government of Canada Bond

A Government of Canada Bond is a secure investment issued by the Canadian government, which promises to pay the holder a fixed rate of interest over a specific period of time.