Which of the Following Is True Regarding Robin's Options in Regard

question 34

Multiple Choice

Which of the following is true regarding Robin's options in regard to the pontoon boat?

• A) She has no options in regard to recovery from the seller because she retained the pontoon boat knowing that the seller refused to grant relief.
• B) She has only 90 days in which to return the pontoon boat and seek either specific performance or monetary damages to give her the benefit of the bargain.
• C) She has only one year in which to return the pontoon boat and seek specific performance, but she cannot sue for damages.
• D) She has only one year in which to return the pontoon boat and seek monetary damages to give her the benefit of the bargain, but she may not seek specific performance.
• E) She may keep the pontoon boat and seek monetary damages to give her the benefit of the bargain.

---

Definitions:

Current Salvage Value

The estimated value that an asset can be sold for at the end of its useful life in its present condition.

Profitability Index

A measure comparing the present value of future cash flows to the initial investment, used to assess the attractiveness of a project.

Present Value

Present value is the current worth of a future sum of money or stream of cash flows given a specified rate of return, important in assessing the value of investments.

Initial Investment

refers to the initial amount of money invested in a project or venture to get it started.