Which of the Following Statements Is TRUE with Respect to Misrepresentations

question 40

Multiple Choice

Which of the following statements is TRUE with respect to misrepresentations?

• A)An innocent misrepresentation may trigger an award of damages.
• B)A fraudulent misrepresentation may trigger rescission but not damages.
• C)A negligent misrepresentation may trigger damages but not rescission.
• D)An innocent misrepresentation may be rescinded.
• E)A pre-contractual misrepresentation may trigger relief in contract but not relief in tort.

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Definitions:

Planned Output

The expected or targeted level of production set by a company or economy, often based on demand forecasts and capacity planning.

Inventories

The total amount of goods and materials held by a company or business in anticipation of sale or completion.

Income-Expenditure Model

A relationship that shows how much people plan to spend at each income level; this model identifies, for a given price level, where the amount people plan to spend equals the amount produced in the economy.

Real GDP

Represents the total economic output of a country, adjusted for inflation, thereby providing a more accurate reflection of an economy's size and growth.