"Tool for You" (TFY)is a Company That Sells Power Tools

question 22

Multiple Choice

"Tool For You" (TFY) is a company that sells power tools to consumers.The sales contract of TFY states that it will not be liable for any consequential damages that the consumer suffers as a result of using power tools purchased from them.Harry purchased a table saw from TFY for use in his hobby of woodworking.Harry was injured when the saw blade flew off.He wants to sue TFY but is not sure whether the contract provision limiting consequential damages will be enforced and seeks your opinion.Will TFY prevail?

• A)No,because this was a sale of a potentially dangerous product.
• B)No,because Harry is a consumer.
• C)Yes,because Harry agreed to this provision in the contract of sale.
• D)Yes,because the UCC allows parties to agree to limitations on damages.

Discuss the impact of disagreements among business partners on the operations and ultimate dissolution of a business.

Identify the legal basis for profit and capital distribution among business partners during dissolution.

Evaluate the consequences of lacking formal equity and investment agreements in partnerships.

Assess the importance of clear marketing strategies and territory assignments in partnership ventures.

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Definitions:

Selling

Activities or processes involved in promoting and exchanging goods or services for money, including marketing and negotiation.

Administrative

Relates to the daily operations and management tasks within an organization, including paperwork and office procedures.

Fixed Cost Element

A cost that does not vary with the level of production or sales, such as rent, salaries, and insurance expenses.

Mixed Cost

A cost that contains both fixed and variable components and changes with the level of activity, but not proportionately.