Which of the Following Is True Under the Magnuson-Moss Act

question 73

Multiple Choice

Which of the following is true under the Magnuson-Moss Act if a written warranty is silent as to whether or not it is a full warranty?

• A)It is presumed to be a limited warranty.
• B)It is presumed to be an express,limited warranty.
• C)It is presumed to be a limited warranty of merchantability.
• D)It is presumed to be a limited usage of trade warranty.
• E)It is presumed to be a full warranty.

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Definitions:

Cash Payback Period

The time it takes for an investment to generate an amount of cash equal to the initial investment cost.

Negligible Residual Value

A term used to describe an asset's end-of-life value that is considered to be insignificantly small or practically zero.

Cash Payback Period

The cash payback period is the duration of time it takes for an investment to generate enough cash flow to recover its original cost.

Residual Value

The estimated salvage value of an asset at the end of its useful life.