Which of the Following Is True

question 51

Multiple Choice

Which of the following is true?

• A) A contract that contemplates the commission of a tort is not legal unless the tort is committed and someone is injured.
• B) Where a portion of a contract is void, the whole contract is affected and a court will set aside the whole contract as being void.
• C) The common law supercedes statute law when determining the legality of contracts.
• D) A statute can only make a contract illegal, it cannot make a contract void.
• E) Where a portion of a contract is void, the remainder of the contract is not affected provided a court can sever the void parts without doing injustice to the parties.

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Definitions:

Parking Lot

An area designated for the parking of vehicles, commonly found adjacent to buildings or in urban areas.

Capital Expenditures

Funds used by a company to acquire, upgrade, and maintain physical assets such as property, plants, or equipment.

Utility of Fixed Assets

The value or service that fixed assets, such as machinery and buildings, provide to a business over their useful lives.

Accounting Period

A period of time used for calculating financial performance, commonly a quarter (three months) or a year, during which all financial transactions are recorded and reported.