Under the Doctrine of Strict Liability, Liability Is Imposed Only

question 56

True/False

Under the doctrine of strict liability, liability is imposed only if a person fails to use reasonable care.​

Grasp the legal concept of incapacity, including intoxication and insanity, in contract law.

Recognize the requirements and exceptions under the Statute of Frauds for a contract to be enforceable.

Identify the regulatory framework governing corporate bodies and individual's contractual capacity.

Understand the distinctions between types of contracts and their enforceability.

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Definitions:

Bad Debt Expense

An estimated expense that represents accounts receivable that a company does not expect to collect due to customer defaults.

Net Credit Sales

The total amount of sales made on credit minus returns and allowances, representing actual sales revenue.

Matching Concept

An accounting principle that dictates expenses should be matched with the revenues they help to generate within the same accounting period.

Clearinghouse Collection Fee

A charge levied by a clearinghouse for handling the processing and settlement of transactions between financial institutions.