_____ Can Be Defined as Failure of One of the Parties

question 18

Multiple Choice

_____ can be defined as failure of one of the parties to live up to the terms and conditions of the contract.

• A)Cancellation for default
• B)Cancellation for convenience of the seller
• C)Cancellation for convenience of the purchaser
• D)Cancellation by mutual assent
• E)None of these answers.

---

Definitions:

Annual Rates

Refers to the interest rate or growth rate over a one-year period, often used in financial contexts.

Strip Bond

A financial instrument resulting from the separation of the coupon payments and the principal of a regular bond, where each part is sold separately as a zero-coupon bond.

Market Yield

The return on investment for a security anticipated in the marketplace, reflecting its current price and income it generates.

Compounded Semi-Annually

Interest calculation method where the interest is added to the principal balance twice a year, leading to interest on interest.