AFIP Certification Test Bank (New 2025/2026 Update) 500 Questions with Verified Answers | 100% Correct.

AFIP Certification Test Bank (New
2025/2026 Update) 500 Questions
with Verified Answers | 100% Correct.

Question:

The Statute of Frauds?
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Answer:
Generally requires that all contracts involving the sale of goods for a price
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of $500 or more be in writing.
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Question:
The Statute of Frauds requires a written contract for the sale of goods for
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a price of _______ or more.?
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Answer:
$500




Question:

What is required in order for the parties (the individuals entering into the
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contract) to have "legal capacity?"? i,- i,- i,- i,-




Answer:

,The parties to the contract must be of legal age under the laws of the
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state in which the contract is written.
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Question:
Criteria that can block the formation of a valid contract:?
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Answer:

1. The need for a written agreement under the Statute of Frauds and
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certain provisions of the Uniform Commercial Code (U.C.C.)
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2. The need for legal capacity of a party to contract
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3. The act of fraudulent inducement
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Question:

What is "consideration" as it applies to a contract??
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Answer:
The requirement that each party to the contract receives something of
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value in exchange for what is given.
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Question:

Finance Charge? i,-




Answer:

,The Finance Charge is the resulting dollar amount calculated by applying
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the Annual Percentage Rate to the Amount Financed over the term of the
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contract.




Question:

How the Itemization of Amount Financed is completed?
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Answer:

1. Cash Price (Agreed to price of vehicle)
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2. Total Downpayment
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3. Unpaid Balance of Cash Price(Cash Price-Downpayment)
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4. Other Charges (GAP, VSC, Etc.)
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5. Amount Financed
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Question:
4 Key Sections of an installment sale contract?
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Answer:
Section A) General Information -- Identifies the parties to the agreement.
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Section B) Mandated Disclosures -- Disclosures required by TILA
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Section C) Insurance-Related Disclosures --Credit insurance is optional
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, Section D) Signature Blocks - Notice to Buyer Disclosures --Bind all parties
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to contract
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Question:

The introductory information and promise to pay contained in Section A
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of Retail Installment Form?
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Answer:
Promise to Pay - This section outlines the purpose of the transaction and
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the primary obligations that will be incurred from signing the contract.
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Question:
The difference between full or partial recourse and no recourse
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assignments.?
Answer:
Essentially determines the length of time, if any, the seller is responsible
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for the actions of the buyer.
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Question:

Warranty disclaimers do not apply to _______ warranties on new or used
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vehicles to which that warranty still applies.?
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Answer: