Fernando Owes Lucia $8,000

question 401

Multiple Choice

Fernando owes Lucia $8,000. They both realize he is unlikely to be able to repay that much, so Lucia says: "Pay me $5,000 and we'll call it good." Fernando pays the $5,000. This settlement is called:

• A) preexisting duty
• B) liquidated debt
• C) unliquidated debt
• D) rescission
• E) none of the other choices

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Definitions:

Honesty

The quality of being truthful, transparent, and free from deceit or fraud.

Strategic

Pertaining to the identification of long-term or overall aims and interests and the means of achieving them, often within a competitive context.

Improving Society

Involves actions and initiatives aimed at enhancing the well-being, quality of life, and equitable opportunities for all members of a community or nation.

Implemented Plan

A strategy or program that has been put into action to achieve specific goals or objectives.