What Is "Course of Dealing" When Interpreting the Express Terms

question 55

Multiple Choice

What is "course of dealing" when interpreting the express terms of a written statement?

• A) the previous conduct of the parties regarding the contract in question
• B) the conduct of the parties in prior transactions and contracts
• C) the conduct of contractual parties with parties not involved in the contract
• D) any practice of dealing that is regularly observed or adhered to in an industry

---

Definitions:

Interest Rate

The amount of interest levied on a loan, represented typically as an annual percentage of the loan's remaining balance to the borrower.

Miller-Orr Model

Describes a cash management strategy aiming to maintain an optimal cash balance through upper and lower cash limit controls.

Opportunity Rate

The return rate a company foregoes by investing in a certain project, often compared to the risk-free rate or another investment option.

Monthly Cash Flows

The net amount of cash and cash-equivalents being transferred into and out of a business in a given month.