Why Was the Conduct Found Not to Be Misleading and Deceptive

question 15

Multiple Choice

Why was the conduct found not to be misleading and deceptive in McWilliam's Wines Pty Ltd v McDonald's System of Australia Pty Ltd [1980] ATPR 40-188?

• A)The target audience of the conduct would not be misled into thinking there was a connection between the two products.
• B)The conduct was found to be misleading and deceptive.
• C)Merely causing consumers to wonder if the product is made by the same manufacturer is not sufficient.
• D)The products were clearly labelled so there was nothing more the manufacturer could do.

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Definitions:

Bad Debt Expense

An expense reported on the income statement, representing the value of accounts receivable deemed non-collectible.

Accounts Receivable

Amounts owed to a company by customers for goods or services that have been delivered or used but not yet paid for.

Net Income

The residual income of a business following the subtraction of all taxes and costs from the total revenue.

Gross Profit

The financial metric calculated as sales revenue minus the cost of goods sold, indicating the efficiency of a company in producing and selling its goods.