A Sales Representative at Oxtren,Inc

question 19

Multiple Choice

A sales representative at Oxtren,Inc.orally tells the purchasing agent at Wety,Inc.that its industrial saw is exceptional.Which statement is correct concerning the claim that the saw is exceptional?

• A)The claim is an express warranty.
• B)The claim is an implied warranty of merchantability.
• C)The claim is not a warranty because it is not in writing.
• D)The claim is not a warranty because it is sales puffery.

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Definitions:

Assembly Worker

An individual employed in the manufacturing sector whose primary role involves assembling components or products.

Mixed Costs

Expenses that have both a fixed and a variable component, changing with the level of production or sales activity but also including a constant element.

Period Costs

Selling and administrative expenses incurred in marketing the product, delivering the product, or managing the company and not directly related to manufacturing the product.

Fixed Costs

Expenses that do not change in total regardless of changes in the volume of goods or services produced or sold.