Which of the Following Involves a Creditor Beneficiary Relationship

question 12

Multiple Choice

Which of the following involves a creditor beneficiary relationship?

• A) A contract where the insured names a bank with which he has a loan as the beneficiary of a life insurance policy
• B) A contract between an employer and a union representing the employees,which contract is made for the benefit of the employees
• C) A contract between the owner of a building and the contractor stating that the contractor will pay his employees at a stated rate
• D) A contract between a governmental unit and business for services to be rendered to area citizens

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Definitions:

Product Cost

The total cost incurred to create a product, including direct labor, direct materials, and manufacturing overhead.

Marketing Department

A division within a company that focuses on strategies and tactics to promote products or services to the target audience.

Personal Computer

A compact, relatively inexpensive computer designed for individual use, capable of running general-purpose applications and accessing the internet.

Cost Per Unit

The total cost to produce a single unit of product, including fixed and variable costs.