In Most States (Majority Rule) a Minor May Disaffirm a Contract

question 29

True/False

In most states (majority rule) a minor may disaffirm a contract even though the consideration received cannot be returned.

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Definitions:

Project Risk

The potential for losses or less-than-expected outcomes in a specific project, due to factors such as cost overruns, underperformance, or delays.

Funding Sources

Various origins of capital used to start or expand a business, including debt financing, equity financing, and internal funds.

Cost of Capital

The cost of capital is the rate of return a company must earn on its investments to maintain its market value and attract funds, including the cost of equity and debt.

Weighted Average Cost of Capital (WACC)

The average rate of return a company is expected to pay its security holders to finance its assets, weighted according to the proportion of equity and debt in the company's capital structure.