Whether an Implied Warranty Arises Out of the Circumstances Under

question 54

Multiple Choice

Whether an implied warranty arises out of the circumstances under which the parties enter into a contract may depend on:

• A)the type of contract entered into.
• B)the seller's merchant or non-merchant status.
• C)applicability of other statutes.
• D)All of the above.
• E)None of the above.

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Definitions:

Elastic Demand

Refers to a market situation where the quantity demanded of a product is highly responsive to changes in its price.

Price Discrimination

A pricing strategy where a company charges different prices for the same product or service depending on the customer, market, or region.

Airline Company

A business that provides air transport services for traveling passengers and freight.

Telephone Company

A business that provides telecommunications services such as voice calls and data transmission to customers.