Ann Chipped a Tooth on a Peach Pit While Eating

question 69

Multiple Choice

Ann chipped a tooth on a peach pit while eating a can of mixed fruit.She wants to sue the manufacturer of the fruit mix.Which of the following would be the manufacturer's best defense?

• A)That food products do not come with an implied warranty of merchantability.
• B)That no express warranty was made.
• C)That no implied warranty of fitness for a particular purpose was made.
• D)That the presence of the peach pit should not have been unexpected.
• E)That the injury was minor.

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Definitions:

Variable Selling

Refers to costs that vary directly with the level of sales, such as commissions and shipping charges.

Administrative Expense Budget

A projection of the costs associated with the general administration and management of a business.

Variable Cost

Costs that change in proportion to the level of production activity or business operations.

Monthly Fixed Cost

Regular, consistent costs that do not vary with production volume or business activity level, calculated on a monthly basis.