Which of the Following Is Not True Regarding the Contracts

question 68

Multiple Choice

Which of the following is not true regarding the contracts of incompetent persons?

• A) An incompetent person is liable for necessaries.
• B) Unlike a minor,an incompetent person can never ratify a contract.
• C) To avoid a contract,a person need not be permanently incompetent.
• D) A person is competent unless he is unable to understand the nature and effect of his act.

Identify and evaluate the implications of taxes on consumer behavior and market efficiency.

Understand the concepts of elasticity of demand and supply

Recognize factors determining whether demand or supply for a product is elastic or inelastic

Identify how changes in price affect total revenue depending on the elasticity

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Definitions:

Accounting Principles

The standardized guidelines and rules followed by accountants to record, report, and summarize financial transactions, ensuring consistency and transparency.

Income Statement

A financial report that calculates a company's performance over a specific period, summarizing revenue, expenses, and profits.

Expense Recognition Principle

An accounting principle that dictates that expenses should be recognized in the period in which they contribute to the generation of revenue.

Income Statement

A financial report that shows a company's revenues, expenses, and profits over a specific period, indicating its financial performance.