Question

QUESTION 1

1. When no document of title is required and delivery is made without moving the goods, title to identified goods passes when a contract for their sale is made.

   True

   False

10 points   

QUESTION 2

1. In a sale on approval, title and risk of loss pass only when the buyer accepts the goods.

   True

   False

10 points   

QUESTION 3

1. A buyer has an insurable interest in identified goods.

   True

   False

10 points   

QUESTION 4

1. When fungible goods are held by owners as tenants in common, one owner can pass his or her title and risk of loss to a buyer without physically separating the goods.

   True

   False

10 points   

QUESTION 5

1. Under all circumstances, title passes to the buyer at the time and place at which the seller physically delivers the goods.

   True

   False

10 points   

QUESTION 6

1. Under a shipment contract, the risk of loss to goods held by the seller passes to a buyer when the seller places conforming goods in the hands of the carrier.

   True

   False

10 points   

QUESTION 7

1. An innocent buyer from a thief acquires title to the goods as a good faith purchaser.

   True

   False

10 points   

QUESTION 8

1. Entrusting goods to a merchant who deals in goods of the kind gives the merchant the power to transfer all rights to a buyer in the ordinary course of business.

   True

   False

10 points   

QUESTION 9

1. If a seller is a merchant, the risk of loss to goods held by the seller passes to a buyer when the buyer takes physical possession of the goods.

   True

   False

10 points   

QUESTION 10

1. If a sale involves crops that are to be harvested within twelve months, identification takes place when the crops are planted or begin to grow.

   True

   False

Answer 1

Answer1:

True

Answer2:

True

Answer3:

True

Answer4:

True

Answer5:

False

Answer6:

True

Answer7:

False

Answer8:

True

Answer9:

False

Answer 10:

True