Ruppart Manufacturing has a contract for the sale of 100 cases of teaching supplies to Teachers Co-op,Inc.Payment of the order is to be made in installments over the next year.Ruppart Manufacturing keeps a security interest in the cases sold to assure payment by Teachers Co-op,Inc.When the order is completed,Ruppart ships the order.Legally

Question

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Both Ruppart and Teachers have an insurable interest in the supplies because Ruppart has a security interest in the cases sold and Teachers Co-op, Inc. has ownership of the supplies after payment of the installments. Therefore, both parties have a financial stake in the supplies and can insure them against any potential loss or damage.

Ruppart Manufacturing Has a Contract for the Sale of 100