Express Contracts and Implied in Fact Contracts

question 1

Multiple Choice

Express contracts and implied in fact contracts:

• A) are both genuine contracts.
• B) are equally enforceable.
• C) are not really contracts.
• D) Two of these are true.

---

Definitions:

Long-Term Investments

Assets that a company intends to hold for more than a year, such as stocks, bonds, or real estate.

Fixed Assets

Long-term tangible assets used in the operation of a business and not expected to be converted into cash within one year, such as buildings, machinery, and equipment.

Long-Term Liabilities

Liabilities that will not be due for a long time (usually more than one year).

Price-Earnings Ratio

A valuation ratio of a company's current share price compared to its per-share earnings, used to evaluate if a stock is over or undervalued.