Final answer:
A buyback agreement, wherein the seller retains the risks of ownership despite the transfer of the title, is true. This allows the seller to finance inventory while providing a money-back guarantee to assure buyers of the product's quality. Such guarantees are crucial in the online market and influence the liquidity of goods in secondary markets.
Step-by-step explanation:
The statement that a sale with a "buyback" agreement allows the seller to finance their inventory and retain the risks of ownership even though the technical title has been transferred is true. A buyback agreement is a contractual arrangement where the seller has the option to purchase the goods back from the buyer at a later date. This arrangement can be beneficial for the seller as it allows them to manage their inventory while still transferring the technical title of the goods.
Further, a money-back guarantee is a common strategy in the goods market which assures the buyer of the quality of the product and provides them with the confidence to purchase, especially when the purchase is made sight-unseen, such as through online shopping. This guarantee is particularly valuable when the customer is unable to physically inspect the goods before the purchase.
Additionally, these guarantees can impact the liquidity of these goods in secondary markets, which is crucial for investments and assets that need to be convertible to cash with minimal loss of value. As such, buyback agreements and money-back guarantees serve essential roles in the market by adding a layer of security for both sellers and buyers.