Which of the Following Contracts Does NOT Have to Be

question 13

Multiple Choice

Which of the following contracts does NOT have to be in writing to be valid?

• A)the sale of a $200,000 painting
• B)a third party guarantee of another person's debt
• C)a marriage contract
• D)a 4 year lease of an apartment
• E)all of the above must be in writing to be valid

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Definitions:

ABC Analysis

A method for classifying inventory or items into three categories (A, B, and C) based on their importance, usually determined by value or usage rate.

Inventory Savings

Reductions in costs achieved through efficient management of stock, including ordering, storing, and using goods or materials.

Economic Order Quantity

A calculation that determines the optimal order quantity that minimizes total inventory costs, including holding, ordering, and shortage costs.

Safety Stock

An extra quantity of inventory kept on hand to prevent stockouts caused by unpredictable demand or supply delays.