In a Case Where a Merchant Mistakenly Sells a Good

question 44

Multiple Choice

In a case where a merchant mistakenly sells a good that was entrusted to it,under what theory can the entruster sue for damages?

• A)Trespass to chattels
• B)Conversion
• C)Theft
• D)Breach of contract

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Definitions:

Discount Rate

Within DCF analysis, it's the rate employed to compute the present economic value of expected future cash inflows.

Present Value

The current value of a future sum of money or stream of cash flows, discounted at a specific interest rate.

Compound Rate

The rate at which interest on an investment or loan is calculated on both the initial principal and the accumulated interest from previous periods.

Time Value of Money

The concept that a sum of money is worth more now than the same amount in the future due to its potential earning capacity.