Jane Operates a Home Decorations Shop Selling Slightly Used Goods

question 62

Multiple Choice

Jane operates a home decorations shop selling slightly used goods. She bought a painting from Sally for the shop. Bob came into the shop and asked if the painting was by Bill, a local artist of some repute. Jane, without checking with Sally, says "I'm sure it is" because she really did think it looked like one of Bill's paintings. Bob bought the painting. A week or so later, he took the painting by Bill's studio. Bill just laughed and said that he never painted anything that horrible. Bob took the painting back to Jane and asked for a refund. Jane refused on the basis that she never gave refunds and that Bob took the risk that the painting was not done by Bill. Should Bob sue in small claims court, who will likely win and why?

• A) Bob on the basis of negligent misrepresentation.
• B) Bob on the basis of innocent misrepresentation.
• C) Bob on the basis of unilateral mistake.
• D) Jane on the basis that Bob accepted the risk of loss.
• E) Jane both on the basis that Bob accepted the risk of loss and on the basis that he agreed by verbal contract to purchase the painting.

Learn about the strategies monopolists can use to increase profits, including price discrimination and adjusting output.

Analyze how external changes like input cost variations affect monopolist's decisions on production inputs.

Grasp the concept of marginal revenue and its importance in monopolistic price setting.

Understand the impact of fixed and variable costs on monopolistic profit maximization.

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Definitions:

Audience's Perspective

The viewpoint or stance of the intended recipients of a message, considering their interests, needs, and expectations.

Level Of Understanding

Refers to the depth and breadth of knowledge an individual has on a particular subject.

Audience Members

Individuals who actively listen, watch, or engage with a performance, presentation, or piece of media.

Favorable Response

A positive reply or reaction to a request, proposal, or situation.