If It Is Generally Accepted in the Trade That a Certain

question 36

Multiple Choice

If it is generally accepted in the trade that a certain product is always preassembled and shrink-wrapped, the failure of the seller to deliver the goods in that condition would be a breach of the _____________.

• A) Implied warranty of merchantability
• B) Implied warranty of fitness for a particular purpose
• C) Implied warranty of trade usage
• D) Implied warranty of merchantability, implied warranty of fitness for a particular purpose, and implied warranty of trade usage
• E) Implied warranty of merchantability and implied warranty of trade usage, but not the implied warranty of fitness for a particular purpose

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Definitions:

General Ledger

A comprehensive accounting record of all transactions that have taken place over the life of an organization, serving as the primary data source for the financial statements.

Labor Costs

Expenses related to the compensation of employees, including wages, salaries, benefits, and taxes associated with labor.

Time Tickets

The form on which the amount of time spent by each employee and the labor cost incurred for each individual job, or for factory overhead, are recorded.

Direct Labor Costs

The total cost of wages for employees who work directly on manufacturing a product or providing a service.