A 'Voidable' Contract Is One That

question 15

Multiple Choice

A 'voidable' contract is one that:

• A)is effective and enforceable only if the court declares it to be so.
• B)is effective and enforceable unless terminated by either party to the contract.
• C)is effective and enforceable unless terminated by the innocent party.
• D)is effective and enforceable unless terminated by the court.

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Definitions:

Marginal Cost

The additional expense associated with manufacturing one extra unit of a product, emphasizing the cost variation.

Marginal Revenue

The additional income that is generated by selling one more unit of a product or service.

Loss Minimization

A strategy in economics and business focused on reducing the losses incurred by a firm or individual to the lowest possible level.

Average Total Cost

The total cost of production divided by the number of goods produced, representing the cost per unit of output.