A Novation Does Not Need to Be in Writing and Can

question 16

True/False

A novation does not need to be in writing and can be implied from the parties' actions. ​

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Definitions:

Discount

A reduction from the usual cost of something, often used as a sales strategy to encourage purchases.

Amortize

The process of spreading out a loan or intangible asset cost over a specific period of time for accounting and tax purposes.

Par Value

The nominal or face value of a bond, share of stock, or coupon as stated by the issuer; it is not indicative of the security's market value.

Semiannually

Happening biannually or once every six months.