A Valid Contract May Be Unenforceable for Which Reason(s)

question 48

Multiple Choice

A valid contract may be unenforceable for which reason(s) ?

• A) Failure to satisfy the statute of frauds.
• B) Running of the statute of limitations.
• C) Both f ailure to satisfy the statute of frauds and r unning of the statute of limitations.
• D) A valid contract is always enforceable.

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Definitions:

Accounts

Records that summarize all the transactions related to a specific financial aspect, such as assets, liabilities, equity, expenses, and income.

Basic Accounting Equation

Assets = Liabilities + Owner’s equity.

Assets

Economic resources owned or controlled by an individual, company, or entity, expected to provide future benefits.

Liabilities

Financial obligations or debts owed by a business to external parties or creditors.