What Is a Condition Precedent

question 47

Multiple Choice

What is a condition precedent?

• A) An event that is related to a contract and happens before a contract takes effect.
• B) An unconditional undertaking given by a promisee to the promisor to perform an event before a contract takes effect.
• C) An undertaking, conditional on the execution of a contract between the parties, that a promisee makes to a promisor prior to entering into a contract.
• D) An event that happens before a contract takes effect.
• E) Any set of circumstances or events that the parties agree must be satisfied or must happen before their contract takes effect.

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Definitions:

Telecommunications Equipment

Hardware used in the transmission, reception, and processing of data and communication signals.

Investment

The allocation of resources, such as time, money, or effort, in hope of generating a future return or profit.

Internal Rate

Often referred to as the internal rate of return (IRR), it is the discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero.

Automated Molding

A manufacturing process using machines to produce molds for creating parts or products, often utilized for its precision and efficiency.