The Contract for an Oakville Property Had Been Signed by Both

question 17

Multiple Choice

The contract for an Oakville property had been signed by both parties. Which of the following is necessary for the contract to be set aside on the grounds of misrepresentation?

• A) The misrepresentation must have been a false statement of a fact; false statements of opinion are never misrepresentations.
• B) The misrepresentation must have been a term of the contract.
• C) The misrepresentation must have induced the party to enter the contract.
• D) The misrepresentation must have been in writing.
• E) The misrepresentation must have been made recklessly or wilfully.

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Definitions:

Taxation Depreciation

The allowance for the depreciation of assets that can be deducted from taxable income for tax purposes.

Accounting Depreciation

Accounting depreciation is the systematic allocation of the cost of a tangible asset over its useful life, reflecting its consumption, wear and tear, or obsolescence.

After-Tax Consequences

The financial results of an event or transaction taking into account the effects of taxes.

Working Capital

The difference between a company's current assets and current liabilities, indicating the short-term financial health and operational efficiency of a business.