The Effect of a Condition Precedent Is That the Contract

question 22

True/False

The effect of a condition precedent is that the contract does not come into effect unless the condition is satisfied.

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Definitions:

Accounting Records

Documents and books that keep track of all financial transactions of a business or individual.

Internal Control

Procedures and processes implemented by a company to safeguard its assets, ensure financial reporting accuracy, and promote operational efficiency.

Assets

Economic resources controlled or owned by a person or company, expected to provide future benefits.

Misappropriation

The intentional, illegal use of another's funds or property for one's personal use.