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Lazur Corp. entered into a contract with Baker Suppliers, Inc. to purchase a used word processor from Baker. Lazur is engaged in the business of

Lazur Corp. entered into a contract with Baker Suppliers, Inc. to purchase a used word processor from Baker. Lazur is engaged in the business of selling new and used word processors to the general public. Baker also represented in the contract that the word processor had been used for only 10 hours by its previous owner. The contract included the provision that the word processor was being sold "as is" and this provision was in a larger and different type style than the remainder of the contract. With regard to the contract between Lazur and Baker:
The "as is" provision effectively disclaims the implied warranty of title.
An implied warranty of merchantability does not arise unless both Lazur and Baker are merchants.
No express warranties are created by the contract.
The "as is" provision would not prevent Baker from being liable for a breach of any express warranties created by the contract.
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