Which of the Following Statements Is TRUE

question 59

Multiple Choice

Which of the following statements is TRUE?

• A)As long as the required formalities are satisfied, any contractual obligation can be assigned by using either a statutory assignment or an equitable assignment.
• B)All common law provinces and territories allow statutory assignments, but only some of them allow equitable assignments.
• C)An assignee acquires rights against the debtor only if it provides new consideration to the debtor.
• D)If there are two assignees of the same debt, a court will always favour the assignee that received its assignment first.
• E)The parties to a contract may agree at the outset that the rights that arise under their agreement cannot be the subject of assignment.

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Definitions:

Stockholders' Equity

The equity held by shareholders in a company, calculated as the company's assets minus its outstanding debts, representing their residual ownership.

Net Operating Income

A measure of a company's profitability from its regular business operations, excluding deductions of taxes and interest expenses.

Turnover

Turnover refers to the rate at which employees leave a workforce and are replaced, or the total volume of sales made by a company during a particular period.

Return on Investment

A performance measure used to evaluate the efficiency or profitability of an investment, expressed as a percentage of the return on the investment relative to its cost.