What Is the Legal Term Given to a Provision in a Contract

question 5

Multiple Choice

What is the legal term given to a provision in a contract whereby the parties agree in advance the amount to be paid in the event of a contract breach?

• A) an applied term
• B) a liquidated damages clause
• C) a punitive clause
• D) an exemption clause

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Definitions:

Controllable Cost

Expenses that a manager or business has the power to influence or change directly.

Bottling Wine

Bottling wine involves the process of filling wine bottles with wine after fermentation and aging, preparing them for distribution and sale.

National TV

Broadcast or cable television networks that provide programming across a country, reaching a wide and diverse audience.

General Ledger

A comprehensive record of all financial transactions over the life of an organization, serving as the primary source for preparing financial statements.