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BUL 3320- CRN 11035 EXAM 2 QUESTIONS AND ANSWERS

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BUL 3320- CRN 11035 EXAM 2 QUESTIONS AND ANSWERS

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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.

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