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b. 15. Home Products Store buys furniture from Imperial Fumiture, Inc. The parti

ID: 2591055 • Letter: B

Question

b. 15. Home Products Store buys furniture from Imperial Fumiture, Inc. The parties agree that the furniture will be shipped "F.O.B, Imperial's warehouse" (shipment point) via Jiffy Shipping Corporation. The furniture is lost in transit. The loss is suffered by Home Products and Imperial Furniture, but not Jifty Shipping- Home Products, Imperial Furniture, and Jifty Shipping. Home Products. d. Imperial Furniture. Royal Cafe buys 100 bags of oranges from Sweet Citrus Company. The parties agree to ship the oranges “F.O.B, Royal" (destination) via Terrific Trucking Company. The oranges rot in transit. The loss is suffered by Royal and Sweet, but not Terrific. b. Royal, Sweet, and Terrific. C. Royal only. Sweet only. Global Produce Corporation in Hawaii sells fifty tons of pineapple to Ideal Groceries, Inc., in California, F.O.B, Hawaii (shipment point). During transit from Hawaii to California, Risk of loss (ROL) is with: 17. a. C. California. Global Produce Ideal Groceries. Hawaii. 18. Mica buys 1,000 bales of hay from Nuevo Farms. The parties agree that the hay will be transported E.A.S. via Overland Transport, Inc. Nuevo Farms' truck carrying the hay explodes before reaching Overland Transport. The loss is suffered by Mica and Nuevo Farms, but not Overland Transport. Mica, Nuevo Farms, and Overland Transport. Mica only. d. Nuevo Farms only. 19. Whenever there are only two parties to the negotiable instrument, the paper is commonly called: a. a bank draft. a check. a promissory note. a third party beneficiary. 5

Explanation / Answer

15. c Home products

16. d sweet only

17. c Ideal Groceries

18. d Nuevo Farms only

19. c a promissory note, In a promissory note there are two parties - the maker (debtor) and the payee (creditor).