Question 1

Carol took her earrings off at Marcia's beauty shop and put them on the counter.She left the shop without remembering the earrings.Betty finds them and wants to keep them.Can she?

Accepted Answer

A) Yes, since she is a finder. 
B) Yes, she now is the true owner. 
C) No, since the earrings were personal property. 
D) No, Marcia would have the right to keep them as against anyone but Carol.

Question 2

If Jim,Ken,and Lee each deposit 10,000 bushels of wheat in a grain elevator,they would own one-third of the mixture by:

Accepted Answer

A) accession. 
B) adverse possession. 
C) prescription. 
D) confusion.

Question 3

Why are delivery and acceptance both necessary to have a valid gift?

Accepted Answer

The answer of Why are delivery and acceptance both necessary...

Question 4

Harold says in the presence of three other people that he is giving his automobile to his nephew,and then hands the keys to the car to the nephew.Delivery of the auto has taken place.

Accepted Answer

A) True 
 B)False

Question 5

Personal property so firmly attached to real property that an interest in it arises under real property law is known as a(n):

Accepted Answer

A) fixture. 
B) tangible property. 
C) intangible property. 
D) None of the above.

Question 6

Name and briefly describe the special features or extraordinary duties of five special types of bailments.

Accepted Answer

The answer of Name and briefly describe the special features...

Question 7

At the end of a bailment,a bailee may correctly deliver the bailed property to a third party (other than the bailor)in certain cases.

Accepted Answer

A) True 
 B)False

Question 8

A bill of lading serves as:

Accepted Answer

A) a receipt for the storage of goods. 
B) evidence of the contract of insurance. 
C) a document of title. 
D) a contract for employment.

Question 9

Sales of tangible personal property involve the transfer of title.

Accepted Answer

A) True 
 B)False

Question 10

Dr.Olson is a board-certified ophthalmologist who constructs some specially designed examining tables to use in looking at his patient's eyes.The tables are firmly attached to the floor of the space he rents for his office.If Dr.Olson decides to move his office,which of the following is correct?

Accepted Answer

A) The tables are fixtures that cannot be removed. 
B) The tables are trade fixtures. 
C) Dr. Olson may remove the tables if they can be removed without materially damaging the realty. 
D) Both (b) and (c) are correct.

Question 11

Collin insures his building for $250,000.At the time of loss,the property is valued at $220,000.Under:

Accepted Answer

A) an open policy, Collin would recover $220,000. 
B) an open policy, Collin would recover $250,000. 
C) a valued policy, Collin would recover $220,000. 
D) Both (a) and (c). 
E) Both (b) and (c).

Question 12

The UCC does not cover:

Accepted Answer

A) negotiable instruments. 
B) investment securities. 
C) sales of goods. 
D) gifts.

Question 13

The regulation of insurance has been left to the states.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following is a requirement of a valid gift?

Accepted Answer

A) An adult donor. 
B) Payment of money. 
C) A writing. 
D) Delivery.

Question 15

The coverage of fire insurance policies varies by state,but the policies are written for no more than one-year terms.

Accepted Answer

A) True 
 B)False

Question 16

An example of a bailment for the bailor's sole benefit is when Sherri,without compensation,lends her Cappuccino maker to Ed for Ed's party.

Accepted Answer

A) True 
 B)False

Question 17

The most frequently used documents of title are the warehouse receipts issued by warehousers and the bills of lading issued by carriers.

Accepted Answer

A) True 
 B)False

Question 18

Mark wants to give Susan his car.How can he effectively "deliver" it?

Accepted Answer

A) By giving Susan the keys. 
B) By giving her an indorsed title certificate. 
C) By making her take it for a period of time. 
D) By giving her a bill of sale for it. 
E) Both (a) and (b) are correct.

Question 19

Temporary insurance coverage prior to the issuance of the actual policy may be obtained by use of a(n):

Accepted Answer

A) premium agreement. 
B) coinsurance clause. 
C) option clause. 
D) binder.

Question 20

The anthropology department of Towers University is doing an excavation on property that belongs to the Browns.If,in the process of excavation,the university finds some valuable lost items,they will belong to the Browns and not to the university.

Accepted Answer

A) True 
 B)False

Exam 47: Introduction to Property, property Insurance, Bailments, and Documents of Title

Carol took her earrings off at Marcia's beauty shop and put them on the counter.She left the shop without remembering the earrings.Betty finds them and wants to keep them.Can she?

If Jim,Ken,and Lee each deposit 10,000 bushels of wheat in a grain elevator,they would own one-third of the mixture by:

Why are delivery and acceptance both necessary to have a valid gift?

Harold says in the presence of three other people that he is giving his automobile to his nephew,and then hands the keys to the car to the nephew.Delivery of the auto has taken place.

Personal property so firmly attached to real property that an interest in it arises under real property law is known as a(n) :

Name and briefly describe the special features or extraordinary duties of five special types of bailments.

At the end of a bailment,a bailee may correctly deliver the bailed property to a third party (other than the bailor)in certain cases.

A bill of lading serves as:

Sales of tangible personal property involve the transfer of title.

Dr.Olson is a board-certified ophthalmologist who constructs some specially designed examining tables to use in looking at his patient's eyes.The tables are firmly attached to the floor of the space he rents for his office.If Dr.Olson decides to move his office,which of the following is correct?

Collin insures his building for $250,000.At the time of loss,the property is valued at $220,000.Under:

The UCC does not cover:

The regulation of insurance has been left to the states.

Which of the following is a requirement of a valid gift?

The coverage of fire insurance policies varies by state,but the policies are written for no more than one-year terms.

An example of a bailment for the bailor's sole benefit is when Sherri,without compensation,lends her Cappuccino maker to Ed for Ed's party.

The most frequently used documents of title are the warehouse receipts issued by warehousers and the bills of lading issued by carriers.

Mark wants to give Susan his car.How can he effectively "deliver" it?

Temporary insurance coverage prior to the issuance of the actual policy may be obtained by use of a(n) :

The anthropology department of Towers University is doing an excavation on property that belongs to the Browns.If,in the process of excavation,the university finds some valuable lost items,they will belong to the Browns and not to the university.