A Contract Must Be Written in Plain English If It

question 36

Multiple Choice

A contract must be written in plain English if it is

• A) a consumer contract.
• B) for money, goods, or services.
• C) for merchandise valued at less than a certain amount.
• D) all of these.

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Definitions:

Salary Owed

The amount of money that an employer is required to pay to an employee for work performed, which has not yet been paid at the statement date.

Unearned Gym Memberships

Income received by a gym or fitness center from memberships that have been paid for but not yet fully utilized, considered a liability until the services are rendered.

Gym Memberships Revenue

Income received from customers for granting access and use of a gym's facilities.

Adjusting Journal Entry

An entry made in the books at the end of an accounting period to allocate income and expenditure to the correct period.