Which of the Following Terms Is Not Implied into a Mortgage

question 7

Multiple Choice

Which of the following terms is not implied into a mortgage at common law?

• A)The mortgagee will release the mortgage upon payment of all money due under the mortgage.
• B)On default by the mortgagor, the mortgagee can demand payment of the principal and interest in full.
• C)All money spent by the mortgagee in maintaining the mortgaged property represents additional charges for which the mortgagor must pay interest.
• D)The mortgagee must insure against loss or damage by fire all buildings and improvements on the property.

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Definitions:

Petty Cash Fund

A small amount of cash kept on hand for making minor, immediate purchases or reimbursements in a business.

Reimbursed

The act of compensating someone for an expense they have incurred, often related to their employment or a specific task they have undertaken.

Deposits In Transit

Refers to funds that have been deposited by a company but not yet recorded by the bank, often leading to a discrepancy in the balancing of accounts.

Deposits In Transit

Deposits in transit are amounts that have been received and recorded by a company, but have not yet been processed or acknowledged by the bank.