An Agreement to Refrain from a Particular Trade, Profession, or Business

question 7

Multiple Choice

An agreement to refrain from a particular trade, profession, or business is enforceable if:

• A) the purpose of the restraint is to protect a property interest of the promisee.
• B) the agreement is for no longer than two years.
• C) the restraint is no more extensive than is reasonably necessary to protect the promisee's property interest.
• D) Two answers are correct but not all three.

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Definitions:

Quarterly Compounding

The process of generating earnings on an investment's reinvested earnings four times a year.

Annual Rate of Increase

The percentage by which a specific variable, such as salary or investment, grows each year.

Annual Compounding

Determining annual interest by taking into account both the initial amount invested and the interest it has generated in the past.

Compounded Monthly

The calculation of interest using the principal sum along with its accrued interest, with this process happening every month.