Final answer:
The statement that a purchase contract term can be an impediment to the completion of a sale is true. Imperfect information in the market can lead buyers and sellers to disagree on pricing.
Step-by-step explanation:
A purchase contract term can indeed be an impediment to the completion of a sale; the answer to the statement is true. A purchase contract often includes various terms and conditions that both parties must agree upon before a sale is finalized.
These may include price, delivery dates, quality standards, warranties, and other pertinent details. If either party disagrees with a term or finds it unacceptable, it can stop the sale from going through.
When imperfect information exists in the market, it can make it difficult for a buyer and seller to agree on a price. This is because the buyer may be unable to accurately determine the product's quality.
leading to a reluctance to pay a higher price without guarantee of quality. On the other hand, sellers of high-quality goods may find it challenging to command higher prices since they cannot demonstrate their product's superior quality to the buyers.