Future Business Leaders of America (FBLA) Business Law Practice Exam

Which of the following terms refers to a transaction in which goods are transferred from seller to buyer?

1. Transfer of Ownership

2. Bill of Sale

3. Sales Agreement

4. Transfer of Title

The correct answer is: Bill of Sale

The term that best describes a transaction in which goods are transferred from seller to buyer is recognized as a Bill of Sale. A Bill of Sale is a legal document that serves as evidence of the sale and transfer of ownership of personal property. It outlines the details of the transaction, such as the buyer and seller's names, a description of the goods, the sale price, and the date of the transaction. This document provides both parties with a record of the transfer and can be important for legal purposes. While other terms like "Transfer of Ownership" and "Transfer of Title" are relevant to the concept of transferring goods, they are broader terms that can imply various legal concepts associated with ownership or rights rather than the specific action of selling and transferring items. A Sales Agreement is a contract detailing the terms of the sale, but it doesn't constitute the act of transferring goods itself. The specific action of transferring goods is most accurately captured by the Bill of Sale.