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    PracticeCPA®CPA REG Practice Exam 2Question 27
    Hard1 markMultiple Choice
    Area II: Business LawREGBusiness LawContracts

    CPA · Question 27 · Area II: Business Law

    Under the Uniform Commercial Code (UCC) Sales Article, which of the following warranties is created by an express affirmation of fact made by the seller to the buyer?

    Answer options:

    A.

    Express Warranty

    B.

    Implied Warranty of Merchantability

    C.

    Implied Warranty of Fitness for a Particular Purpose

    D.

    Warranty of Title

    How to approach this question

    Identify the source of the warranty. Words/Promises = Express. Law/Status = Implied.

    Full Answer

    A.Express Warranty✓ Correct
    An express warranty is created by an affirmation of fact, promise, description, sample, or model that becomes part of the basis of the bargain. Implied warranties arise by operation of law, not by specific statements of the seller.

    Common mistakes

    Confusing express statements with implied legal protections.
    Question 26All questionsQuestion 28

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