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MCQ 'QUESTION 6 Henry is a carpenter by trade who has his own tools and his own truck. Henry works for a construction company, and

MCQ

'QUESTION 6

Henry is a carpenter by trade who has his own tools and his own truck. Henry works for a construction company, and after each job, he provides the company with an invoice for the work he has performed. In this case, Henry is

both an agent of the company and an independent contractor.

an employee of the company.

an independent contractor.

an agent of the company.

both an agent and an employee of the company.

QUESTION 7

The principle of caveat emptor applies only to situations where

the seller has made no misrepresentation about the goods.

the goods can be inspected by the buyer.

the goods are specific items.

the goods are in existence.

all of the above

QUESTION 8

A leases a harvesting machine from B to be used during the harvesting season in Ontario, which is from the beginning of August to the end of September. In this case, the lease is best described as

a financing lease.

an operating lease.

a purchase or capital lease.

a hire-purchase agreement.

none of the above

QUESTION 9

A buyer who specifies goods purchased under a trade name can always rely on the implied condition of fitness for purpose in the Sale of Goods Act.

True

False

QUESTION 10

The president of A Co. introduces B to a third party as his vice-president of marketing and sales. In reality, however, A Co.'s president makes it clear to B that he is only the vice-president of marketing and has no authority to make sales. If B now enters into a contract for the sale of A Co.'s goods to the third party, as between A Co. and the third party,

there is no contract because B does not have express authority over sales.

there is a contract because B had apparent or ostensible authority to enter into it.

there is no contract because B can only deal with matters of marketing.

there is no contract because it was not ratified by A Co.

none of the above

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