Shelly,aged 15,sells a Car to Fiona,aged 25

question 9

Multiple Choice

Shelly,aged 15,sells a car to Fiona,aged 25.Fiona in turn sells the car to Raphael.Under section 2-403 of the Uniform Commercial Code,if Shelly chooses to disaffirm the contract with Fiona:

• A)Shelly can get the car back from Raphael.
• B)Raphael will have to sell it back to Shelly.
• C)Shelly can do so,since she is a minor.
• D)Shelly needs to file a breach of contract against both Fiona and Raphael.

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Definitions:

Actual Sales

This refers to the actual revenue generated from the sale of products or services, as opposed to projected sales or forecasts.

Break-even Point

The point at which total revenues equal total costs, meaning the company neither makes a profit nor incurs a loss.

Variable Costs

Costs that vary directly with the level of production or with volume of services provided.

Fixed Costs

Fixed costs are expenses that do not vary with the level of production or sales within a certain range, such as rent, salaries, and insurance.