Answer to Question #74259 in Accounting for Brodie

Question

FNSINC401
The information you convey to customers about the product/ service you offer must be truthful, accurate, current and reliable. Describe the consequences of failing to do this by commission or omission.

Answer 1

Truthfulness is a necessary condition for normal communication and social interaction. A lie destroys the coherence, the coordination of interactions between people. The seller is responsible for providing false information.
Current information is important at the moment. Inappropriate information may be outdated or unnecessary, unimportant. Outdated information can lead to complaints and claims.
If customer is not provided with the opportunity to receive information about the product at the conclusion of the contract, it has the right to claim damages from the seller and demand a refund of the amount paid for the product.
The seller, who has not provided the customer with the opportunity to obtain the relevant information about the product, is responsible for the defects of the product, arising after its transfer to the customer.