Buying and Selling Goods Flashcards
Deposit
A sum paid to hold an item fora specific time, ensuring it won’t be sold to anyone else during that period.
Return
A seller accepts a returned item from the buyer in exchange for the purchased price, other merchandise, or a credit voucher.
What are the 3 arrangements for returns
Refund of purchase price, exchange (choose another item in its place, will have to pay a difference if the new item costs more), store credit (credit voucher with which you can buy something else from the store).
Look for ____ in return policy
Signs explaining return policies, ask sales person about return policies, get all promises in writing.
Warranty
A promise made by a manufacturer or retailer that the goods being sold meet a certain standard.
Features of a warranty
Time limit, what is covered, what is not covered, conditions (what you do), conditions (what you don’t do), what will happen.
Express warranty
A written or verbal promise warranty
The guarantee may allow a consumer to…
Get the item repaired, get a refund, replace the item with another one, bring legal action against the manufacturer/retailer if that party fails to live up to its promise.
Implied warranty
A warranty created by law (Sales of Goods Act)
Sales of Good Act
Sellers has legal title to the goods and has right to them, the merchandise is of merchantable quality and is suitable for the required purpose, items are similar to any samples or descriptions provided.
Merchantable quality
Suitable for sale
Breach of contract
The failure to perform an obligation owed to another under a contract.
Credit
Money (or goods or services) advanced to another for repayment at a later date.
Credit rating
A personal financial profile detailing a person’s history of taking out and repaying loans.
Credit bureau
A business that provides lenders with info about the credit history of prospective borrowers.
