BUSINESS LAW

TRUE/FALSE: (Place T or F at the end of the sentence in the blank)

5. Pre-established damages mentioned in a contract are known as liquidated damages. ____

6. A sellers or lessors statement of opinion or commendation of the goods creates an

express warranty. ______

7. A check is a type of promissory note. ______

8. Security posted by promissory note maker to the lender for repayment of money is known as collateral. ______

9. A person cannot be held contractually liable on a negotiable instrument unless his or her signature appears on it. ______

10. Fraud in the inception is a type of personal defense. ______