BUL 3320- CRN 11035 EXAM 2
QUESTIONS AND ANSWERS
What kinds of contracts fall under the UCC interpretations? - Correct Answers -Sales
and lease contracts for goods
What is a sales contract under the UCC? - Correct Answers -an agreement for the sale
of goods under the UCC
What is a merchant, and why is that designation significant? - Correct Answers -A
merchant is a person who regularly deals in goods of the kind and is significant because
they are held to a higher standard.
What is a lease contract? - Correct Answers -An agreement to transfer the right to use
goods for a period
What is the CISG? - Correct Answers -A treaty governing international business-to-
business sales contracts.
What is the concept of title? How does it pass? - Correct Answers -Ownership of goods;
passes when parties agree or upon delivery
What are the important definitions associated with secured transactions? - Correct
Answers -Loans backed by collateral
How are secured interests created? - Correct Answers -Through a security agreement
and attachment
How are security interests perfected? - Correct Answers -Filing, possession, or
automatic perfection
What is the scope of a security interest? - Correct Answers -Covers specified collateral
and sometimes proceeds
What is risk of loss? - Correct Answers -Determines who bears the financial loss if
goods are damaged before delivery.
QUESTIONS AND ANSWERS
What kinds of contracts fall under the UCC interpretations? - Correct Answers -Sales
and lease contracts for goods
What is a sales contract under the UCC? - Correct Answers -an agreement for the sale
of goods under the UCC
What is a merchant, and why is that designation significant? - Correct Answers -A
merchant is a person who regularly deals in goods of the kind and is significant because
they are held to a higher standard.
What is a lease contract? - Correct Answers -An agreement to transfer the right to use
goods for a period
What is the CISG? - Correct Answers -A treaty governing international business-to-
business sales contracts.
What is the concept of title? How does it pass? - Correct Answers -Ownership of goods;
passes when parties agree or upon delivery
What are the important definitions associated with secured transactions? - Correct
Answers -Loans backed by collateral
How are secured interests created? - Correct Answers -Through a security agreement
and attachment
How are security interests perfected? - Correct Answers -Filing, possession, or
automatic perfection
What is the scope of a security interest? - Correct Answers -Covers specified collateral
and sometimes proceeds
What is risk of loss? - Correct Answers -Determines who bears the financial loss if
goods are damaged before delivery.
