The Clause That Gives the Trustee of a Deed of Trust

question 3

Multiple Choice

The clause that gives the trustee of a deed of trust the right to sell the property at public auction if the borrower defaults on his or her loan obligation is the:

• A) due-on-sale clause
• B) power-of-sale clause
• C) buy-down clause

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Definitions:

Raw Materials Account

An account used to track the cost of raw materials not yet used in production in a company's inventory.

Ending Balance

The amount of money remaining in an account at the conclusion of a time period, after all additions and subtractions have been accounted for.

Work in Process Account

An account used in the manufacturing process to track the costs associated with production that is not yet completed, including labor, materials, and overhead.

Ending Balance

The final amount in an account at the end of a period, after all additions and subtractions have been accounted for.