What Are the Requirements for the Doctrine of Entrustment to Apply

question 5

Multiple Choice

What are the requirements for the doctrine of entrustment to apply?

• A)The goods must be entrusted to a merchant who deals in goods of the kind.
• B)The entrustee may transfer the rights of the entruster only if the buyer is a purchaser in ordinary course.
• C)The owner must have delivered the goods to a merchant or permitted him to retain them.
• D)All of the above.

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Definitions:

Interest Rate

The cost, represented as a fraction of the principal, imposed by a creditor on a debtor for the borrowing of assets.

Processing

The action of performing a series of mechanical or chemical operations on something in order to change or preserve it.

Clearing

The process of reconciling purchases and sales of various options, futures, or securities, and the direct transfer of funds from one financial institution to another.

Net Float

The difference between checks written against and deposited in an account, before those checks have been cleared and settled.