Which of the following is incorrect regarding the meaning of ‘merchantable quality of goods’?

Correct option is D

Under Section 16(2) of the Sale of Goods Act, 1930, “merchantable quality” means goods should be saleable under the description and free from latent defects that make them unfit for ordinary use.
There is no requirement that the goods must be marketable at full value – that makes option (d) incorrect. The focus is on fitness for sale and reasonable usability, not maximum value.
Information Booster:
· Patent defects are observable and don't always void merchantability unless hidden.
· Important case: Bristol Tramways v. Fiat Motors (1910) – court interpreted merchantability to mean usability for ordinary purposes.