An Implied in Fact Contract Is Not as Enforceable as an Express

question 46

True/False

An implied in fact contract is not as enforceable as an express contract.

Understand the different classifications of costs including direct and indirect costs, and their implications on financial statements.

Distinguish between product costs (manufacturing costs) and period costs.

Identify specific examples of direct materials, direct labor, and manufacturing overhead.

Analyze the financial statement implications of various cost classifications.

---

Definitions:

Mortgage Loans

Loans secured by real property through the creation of a mortgage note, enabling borrowers to purchase property.

Subprime Mortgages

Loans given to borrowers with lower credit ratings, often at higher interest rates due to the increased risk of default.

Restrictive Covenants

Restrictive covenants are clauses in contracts that impose limitations or conditions on one party's actions, typically used in employment and real estate to protect business interests.

Subdivisions

The act of dividing land into plots or parcels for the purpose of sale, lease, or development.