To Prove That a Person Intended to Deceive an Innocent

question 158

Multiple Choice

To prove that a person intended to deceive an innocent party,the person making the misrepresentation must have either had knowledge that the representation was false or made it without sufficient knowledge of the truth.This is called ________.

• A) primogeniture
• B) scienter
• C) debenture
• D) accenture
• E) indenture

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Definitions:

Balance Sheet

A document that presents a snapshot of a corporation's financial health, by detailing assets, liabilities, and shareholders' equity on a specific date.

Direct Financing Leases

Leases where the lessor purchases an asset and leases it out, and the lease payments cover the purchase cost, plus a return on investment to the lessor.

Net Investment

The total amount spent on purchasing new assets and maintaining existing ones, minus any depreciation.

Initial Direct Costs

Expenses directly associated with acquiring or initiating a lease, which can include commissions, legal fees, and other incremental costs.