In Relation to 'Conduct' Under S 18 of the ACL,Accounting

question 38

Multiple Choice

In relation to 'conduct' under s 18 of the ACL,Accounting Systems 2000 v CCH Australia Ltd (1993) 42 FCR 470 is authority for the principle that:

• A)pre-contractual representations can constitute misleading and deceptive conduct.
• B)silence can constitute misleading and deceptive conduct where there is a duty to disclose relevant facts.
• C)the act of making a contract containing a false warranty is sufficient to constitute misleading and deceptive conduct.
• D)an advertisement which compared a competitor's products unfavourably with the advertiser's products can constitute misleading and deceptive conduct.

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Definitions:

Cash Flows

The collective total of cash being injected into and withdrawn from a business, with a focus on liquidity impact.

IRR

The rate of return at which the sum of the present value of all cash inflows and outflows from an investment or project is zero.

MIRR

Modified Internal Rate of Return; a financial measure used to evaluate the attractiveness of investments, taking into account different financing costs and reinvestment rates.

Mutually Exclusive

Situations or events that cannot occur at the same time, indicating a choice must be made between them.