Which of the Following Is a Difference Between a Sale

question 36

Multiple Choice

Which of the following is a difference between a sale or return contract and a sale on approval contract?

• A) For sale or return, the risk of loss is borne by the buyer; while in a sale on approval, it is borne by the seller.
• B) For sale or return, the goods are sold to the buyer; while in a sale on approval, the buyer is allowed a time period to test the goods.
• C) For sale or return, failure to notify rejection is not acceptance; while in a sale on approval, failure to notify rejection is acceptance.
• D) For sale or return, goods sold can be returned; while in a sale on approval, goods sold can never be returned.

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Definitions:

Jurisdiction

The official power to make legal decisions and judgments, often defined by geographic area or type of case.

Concurrent Jurisdiction

Jurisdiction that exists when two different courts have the power to hear a case. For example, some cases can be heard in either a federal or a state court.

Federal

Federal refers to the national level of government, and the system of government that unites states or provinces within a country under a central authority.

State Court

A court that is established by the laws of a state within the United States, having jurisdiction over matters specific to that state.