Forbearance to Assert a Claim Is Binding Consideration

question 16

Multiple Choice

Forbearance to assert a claim is binding consideration:

• A) only if the claim has legal merit.
• B) regardless of whether the claim has merit, and regardless of whether the claim has been asserted in good faith.
• C) only if the claim has legal merit and has been asserted in good faith.
• D) when the claim, regardless of whether it has legal merit, has been asserted in good faith.

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Definitions:

Substitution

The economic principle whereby consumers replace more expensive items with less costly alternatives, or firms use different inputs in their production process.

Mangoes

A tropical stone fruit with a sweet yellowish or orangish flesh, known for its nutritional value and distinct flavor.

Indifference Curve

A graph that represents combinations of goods among which a consumer is indifferent, showing the same level of satisfaction to the consumer.

Utility

A measure of satisfaction, usefulness, or pleasure derived from consuming goods and services.