BADM 201 FINAL EXAM QUESTIONS
AND ANSWERS GRADED A+ 2025/2026
A buyer in Atlanta enters into a sales contract with a seller in Chicago. If the contract does not
mention the place for delivery of the goods, the place of delivery will be - ANS at the seller's
business or residence in Chicago.
A buyer in Seymour's Bay enters into a sales contract with a seller in Quahog. If the contract
does not mention the place for delivery of the goods, the place of delivery will be: - ANS at
the seller's business or residence in Quahog.
A buyer's right to purchase, in good faith and without unreasonable delay, substituted goods
from Seller B when Seller A breaches a sales contract is: - ANS cover
A contract that does not satisfy the writing requirement of the Article 2 statute of frauds, but
which is otherwise valid, is enforceable in which of the following situations? - ANS All of
these are situations where the contract would be enforceable.
A manifestation by the buyer of his unwillingness to become the owner of the goods is -
ANS rejection.
A "merchant" is defined as a person who: - ANS All of these.
Andrews Manufacturing Company has repudiated its contract to sell 500 computers to a
computer store. What recourse does the retailer have under the circumstances? - ANS It can
"cover" by procuring goods elsewhere and then sue for any difference between the cost of
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
, cover and the contract price, plus incidental and consequential damages less expenses saved by
the breach.
An express warranty within the meaning of the Code is created by which of the following? -
ANS All of these.
A(n) __________ is a delivery of possession of personal property to an agent for sale by
theagent. - ANS consignment
A(n) __________ is a special type of lease transaction generally involving three parties insteadof
two. - ANS finance lease
A(n) ___________ is the voluntary transfer to a third party of the rights arising from a contract. -
ANS assignment
An obligation of the merchant-seller that the goods are reasonably fit for general purposes
forwhich they are manufactured and sold, and the goods are of fair average quality is known as:
- ANS a warranty of merchantability.
A promise or order is unconditional unless it states that: - ANS All of these.
A sale exists after the buyer takes: - ANS the title to the goods.
A "sale" of goods happens when: - ANS title to the goods is passed.
A seller has breached his contract by providing unfit seed for the planting of corn. Damages
would include: - ANS All of these.
A seller's incidental damages for a buyer's breach would include all but which one of
thefollowing? - ANS Cost to initially ship the gizmos tobuyer.
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
AND ANSWERS GRADED A+ 2025/2026
A buyer in Atlanta enters into a sales contract with a seller in Chicago. If the contract does not
mention the place for delivery of the goods, the place of delivery will be - ANS at the seller's
business or residence in Chicago.
A buyer in Seymour's Bay enters into a sales contract with a seller in Quahog. If the contract
does not mention the place for delivery of the goods, the place of delivery will be: - ANS at
the seller's business or residence in Quahog.
A buyer's right to purchase, in good faith and without unreasonable delay, substituted goods
from Seller B when Seller A breaches a sales contract is: - ANS cover
A contract that does not satisfy the writing requirement of the Article 2 statute of frauds, but
which is otherwise valid, is enforceable in which of the following situations? - ANS All of
these are situations where the contract would be enforceable.
A manifestation by the buyer of his unwillingness to become the owner of the goods is -
ANS rejection.
A "merchant" is defined as a person who: - ANS All of these.
Andrews Manufacturing Company has repudiated its contract to sell 500 computers to a
computer store. What recourse does the retailer have under the circumstances? - ANS It can
"cover" by procuring goods elsewhere and then sue for any difference between the cost of
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
, cover and the contract price, plus incidental and consequential damages less expenses saved by
the breach.
An express warranty within the meaning of the Code is created by which of the following? -
ANS All of these.
A(n) __________ is a delivery of possession of personal property to an agent for sale by
theagent. - ANS consignment
A(n) __________ is a special type of lease transaction generally involving three parties insteadof
two. - ANS finance lease
A(n) ___________ is the voluntary transfer to a third party of the rights arising from a contract. -
ANS assignment
An obligation of the merchant-seller that the goods are reasonably fit for general purposes
forwhich they are manufactured and sold, and the goods are of fair average quality is known as:
- ANS a warranty of merchantability.
A promise or order is unconditional unless it states that: - ANS All of these.
A sale exists after the buyer takes: - ANS the title to the goods.
A "sale" of goods happens when: - ANS title to the goods is passed.
A seller has breached his contract by providing unfit seed for the planting of corn. Damages
would include: - ANS All of these.
A seller's incidental damages for a buyer's breach would include all but which one of
thefollowing? - ANS Cost to initially ship the gizmos tobuyer.
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
