Article 2 allows the parties to enter into a binding agreement even though the contract price is to be determined at a later date.

Question

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This statement is correct. Article 2 of the Uniform Commercial Code (UCC), which governs commercial transactions in the United States, allows parties to enter into a binding contract even if the price is not initially determined, as long as there is some method for determining the price in the future, such as market value or a formula based on cost. This is known as a "open price term" or "output/requirement contract."

Article 2 Allows the Parties to Enter into a Binding