"In-Substance Defeasance" Is a Term Used to Refer to an Arrangement

question 49

Multiple Choice

"In-substance defeasance" is a term used to refer to an arrangement whereby

• A) a company gets another company to cover its payments due on long-term debt.
• B) a governmental unit issues debt instruments to corporations.
• C) a company provides for the future repayment of a long-term debt by placing purchased securities in an irrevocable trust.
• D) a company legally extinguishes debt before its due date.

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Definitions:

Codominance

A genetic scenario where two different alleles for a specific trait are both expressed fully in an individual's phenotype, leading to a blend or coexistence of both traits.

Preponderance

The condition of being greater in number, quantity, or importance; often used in legal contexts to describe the standard of proof in civil cases.

Ascendance

The act of rising to a position of dominance or control in various contexts such as social, corporate, or military fields.

Down's Syndrome

A genetic disorder caused by the presence of an extra 21st chromosome, leading to developmental and physical differences.