Which of the Following Statements Regarding Boilerplate Clauses Is Most

question 8

Multiple Choice

Which of the following statements regarding boilerplate clauses is most likely to be TRUE?

• A)The phrase "boilerplate clause" refers to the very strong and durable sheets of metal that were used to print newspapers in the first half of the twentieth century.
• B)A force majeure clause is used to indicate which of the two parties is the "major power" in the contract and therefore responsible for drafting the written agreement.
• C)The phrase "boilerplate clause" refers to the case in which the courts first approved of such contractual terms: Boilerplate Union 505 (New York) v T Malloy Inc.
• D)An "entire agreement clause" indicates that a contract contains only one promise by each of the parties.
• E)The phrase "boilerplate clause" refers to the fact that water constantly changes its shape when it is heated over a hot plate.

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Definitions:

Tax Rate

The percentage at which an individual or corporation is taxed, which can vary based on income level, type of income, or legal jurisdiction.

Noncontrolling Interest

A minority ownership in a subsidiary, where the parent company owns the majority but not all of the subsidiary's shares.

Treasury Stock Approach

A method of accounting for repurchased shares of stock by reducing the total available shares in the market, often affecting the calculation of earnings per share and other metrics.

Patent

A government-granted right giving an inventor exclusive rights to make, use, or sell an invention for a certain number of years.