Which of the Following Is an Example of Substantive Law

question 3

Multiple Choice

Which of the following is an example of substantive law?

• A) the rule that a tort action must be commenced within two years of the action complained of
• B) the rule that establishes the type of document by which an action is commenced
• C) the rule that hearsay evidence is not permitted in a trial
• D) the rule that a victim of fraud can sue
• E) the rule that any action under $10,000 must be brought in the small claims court

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Definitions:

Goodwill

Goodwill is an intangible asset that arises when a company acquires another business for a price higher than the fair value of its net tangible assets, representing aspects such as brand reputation and customer loyalty.

Times Interest

A financial ratio that measures a company's ability to meet its interest payments based on current earnings. Often referred to as the interest coverage ratio.

Stock Market

A public market for the trading of company stock and derivatives at agreed upon prices.

Economic Value Added

A measure of a company's financial performance based on the residual wealth calculated by deducting its cost of capital from its operating profit.