Which of the Following Is True of an Assignment of a Right

question 11

Multiple Choice

Which of the following is true of an assignment of a right?

• A) Unconditional assignment of a contract right retains all the assignor's rights.
• B) The obligor is entitled to performance from the assignor.
• C) The assignor loses the right to sue the obligor directly for nonperformance in an unconditional assignment.
• D) The obligor cannot raise personal defenses against the assignee.

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Definitions:

Income Statement

A financial statement that shows a company's revenues and expenses over a specific period, indicating its net income or loss.

Manufacturing Company

A type of business that produces finished goods from raw materials through the use of labor, machinery, tools, and chemical or biological processing or formulation.

Indirect Labor

Labor costs of employees who do not directly work on a product, but whose services are necessary for the production process.

Factory Overhead

All indirect costs associated with manufacturing, excluding direct materials and direct labor costs, such as utilities, depreciation, and maintenance expenses.