Suppose That There Are Two Laws Proposed for Eviction Notices

question 8

Multiple Choice

Suppose that there are two laws proposed for eviction notices: Plan A requires landlords to give a renter 30 days to vacate an apartment once he has been served an eviction notice and Plan B requires landlords to give a renter 60 days to vacate an apartment once he has been served an eviction notice. It follows that landlords will find

• A)Plan A more expensive than Plan B.
• B)Plan B more expensive than Plan A.
• C)both plans to be equally expensive.
• D)Plan A to be so expensive that there is no incentive to invest in rental properties.

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Definitions:

Note Receivable

A financial asset representing a written promise to receive a specific amount of money, plus interest if applicable, by a certain date.

Dishonored

A term used when an instrument such as a check is not accepted or paid upon presentation.

Accounts Receivable

Money owed to a business by its customers for goods or services delivered or used but not yet paid for.

Short-Term Notes Receivables

Short-duration financial assets representing amounts owed to a company that must be paid within a year.