In Many Cases, an Entity May Have an Implicit Obligation

question 26

Multiple Choice

In many cases, an entity may have an implicit obligation even if it is NOT explicitly noted in a sales contract. This is called a(n)

• A) onerous obligation.
• B) legal obligation.
• C) constructive obligation.
• D) earnings obligation.

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Definitions:

Reminder-Oriented

Characteristics of a system or tool designed to prompt or alert users about specific tasks, deadlines, or important events.

Usefulness

The state or quality of being useful, beneficial, or serving a purpose effectively.

Advertising

The practice of promoting products, services, or brands through various forms of media to attract potential customers and increase sales.

Rebate

A partial refund to someone who has paid for a product or service as a promotion or incentive, often used to encourage purchases or repeat business.