Business Law Chapter

If a company cannot ship a product when promised, the company must cancel the order unless the customer indicates he wants the item. (d)elf a company cannot ship the product within 30 days of the original shipping date, the company must cancel the order unless the customer indicates he still wants the item. (e)Each time the shipping date changes, the company must notify the customer. 2. If you receive a product In the mall that you did not order: (a) You must pay for It or return it. (b) You must pay for it only if you use it. (c) You must throw it away. (d) It is a gift toy. ) You must return it but the company must reimburse you for postage. (a) The buyer has three days to cancel the order. (b) Each must tell the buyer of her rights. (c) Each must give the buyer a written notice of her rights. (d) The seller can cancel orally or in writing. (e) If the seller cancels, Each must return her money within 10 days. 4. Depending on state law, if a lender violates the usury laws, the borrower could possibly be allowed to keep: l. The interest that exceeds the usury limit II. All the interest Ill. All of the loan and the interest (a) l, II, and Ill (b) Only I (c) only II d) only Ill (e) Neither l, II, nor Ill 5.

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Jodie is upset because her credit card bill shows a charge of $39 too pornographic website that she never visited. Under the FACE: (a)She should call the credit card company to tell them that this charge is wrong. (b)She should call her parents to let them handle the problem. (c) The credit card company has 90 days to respond to any complaint she makes. (d) The credit card company has the right to close out her account until the dispute is resolved. (e) The credit card company must investigate a complaint and respond within 90 days. Essay Questions .

Process cheese food slices must contain at least 51 percent natural cheese. Imitation cheese slices, by contrast, contain little or no natural cheese and consist primarily of water and vegetable oil. Kraft, Inc. Makes Kraft Singles, which are individually wrapped process cheese food slices. When Kraft began losing market share to imitation slices that were advertised as both less expensive and equally nutritious as Singles, Kraft responded with a series of advertisements informing consumers that Kraft Singles cost more than imitation slices because they are made from five ounces of milk.

Kraft does use five ounces of milk in making each Kraft Single, but 30 percent of the calcium contained in the milk is lost during processing. Imitation slices contain the same amount of calcium as Kraft Singles. Are the Kraft advertisements deceptive? Yes because the amount of milk Kraft said that the cheese contains is inaccurate. 2. Josephine was a 60-year-old widow who suffered from high blood pressure and epilepsy. A bill collector from Collections Accounts Terminal, Inc. Called her and demanded that she pay $56 she owed to Cabin Hospital.