Fungible goods are mixed goods that are identical and cannot be separated (such as grain or coal). These must be of average quality for the kind of goods described in the contract, as it serves as one of the tests of merchantability for all sales contracts. The common test for merchantability is whether the goods are fit for the ordinary purpose for which such goods are used.

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Fungible Goods Are

Question 6

Multiple Choice

Fungible goods are:

A) goods which are packaged and labeled separately (such as units which come in cartons or cases) .
B) mixed goods that are identical and cannot be separated (such as grain or coal) .
C) perishable goods which have been improperly packaged or which have damaged packaging and are prone to contamination.
D) goods which conform to any promises or statements of fact made on the container or label.

Correct Answer: