Good Tire Company and Hiway Auto Service Enter into a Contract

question 36

Multiple Choice

Good Tire Company and Hiway Auto Service enter into a contract for a sale of tires.Good Tire is a merchant who deals in goods of the kind sold.Under the UCC,an implied warranty of merchantability arises

• A)automatically in sales contracts.
• B)only if the buyer asks for it.
• C)only if the seller does not expressly disclaim it.
• D)only in conjunction with lease contracts,not sales contracts.

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Definitions:

Correlation Coefficient

A statistical measure that calculates the strength of the relationship between two variables, ranging from -1 to 1, where 1 indicates a perfect positive correlation and -1 indicates a perfect negative correlation.

Standard Deviation

A statistical measure that represents the dispersion or variability of a data set or investment returns, indicating how much the values in the set deviate from the mean.

Sharpe Ratio

A measure used to assess the risk-adjusted return of an investment by comparing its excess return to its standard deviation of returns.

Holding Period

The length of time an investment is held by an investor before being sold, which can affect tax treatment and investment strategy.